The document discusses current trends in the Korean cosmetics market, highlighting the shift towards 'masstige' products and the growing influence of media like the 'Get It Beauty' program. It notes the rapid growth of domestic brands, which often offer similar products at lower prices, and the global rise in popularity of Korean cosmetics, partly fueled by the K-pop wave. Key insights include the importance of direct selling for premium products and the competitive landscape featuring brands like Missha, Estée Lauder, and others.

1. The
Dynamic
Korean
Wave

2. 1. BUYING
PATTERNS
AND
SHIFTING
TRENDS

3. there is
a growing
trend
towards
so-called
“masstige”
IN SKINCARE
SEGMENT.

4. ‘Get it beauty’ TV program became one of
the most influential forces in Korea’s
7-trillion-won cosmetics market.

5. HOME SHOPPING CHANNEL AND BEAUTY SPECIALIST
RETAILERS ARE BECOMING INCREASINGLY IMPORTANT
FOR COSMETIC BRANDS.

6. the direct
selling
channel
will be more
effective
FOR super
premium
products

7. 2. Domestic
Cosmetic
brands
Growth

8. domestic cosmetic brands tend to quickly
introduce new products with similar
functionality or ingredients at a much
lower price.

9. Myung-dong is one
of the most famous
fashion streets,
which contains
over 100 DOMESTIC
beauty specialist
retailers.

10. 3. THE
RISE OF
K-POP
WAVE

11. Korean
cosmetics
have become
so popular
outside
of Korea.

12. MISSHA
VS.
ESTee
LAUDER

13. 200,000
BOTTLES
IN 2 MONTHS

14. Top 7 BEAUTY BRANDS IN KOREA
Chinese
RANK
JAPANESE
Sulwhasoo
1
ETUDE HOUSE
MISSHA
2
Tony Moly
INNISFREE
3
MISSHA
ETUDE HOUSE
4
The Face Shop
The Face Shop
5
Nature
Republic
ESTEE LAUDER
6
CHNAEL
Tony Moly
7
INNISFREE
source: LOTTE DEPARTMENT STORE

15. MISSHA PROFIT
Million
300
250
200
150
100
50
2004
2006
2008
2010
2012

16. MISSHA'S Success strategy
Satisfying
quality
competitive
pricing
Aggressive
introduction
of Prosumer
Celebrity
Ad campaign

17. The
Dynamic
Korean
Wave