Jamie Matusow, Editor10.01.14
Update: Amorepacific ranks at #19 on our latest report Top 20 Global Beauty Companies 2021.
Seoul, South Korea
www.amorepacific.com
Beauty Sales: $2.4 billion
Key Personnel: Kyung-Bae Suh, president and chief executive officer; Jeonggy Baek, vice-chairman of AmorePacific Group; Kyung-bae Suh, chairman-CEO; Sang-bae Shim, president; Jae-wan Shim, New Growth Beauty; Chan-hoe Kim, Mass Beauty; Jae-cheon Ryu, Luxury Beauty; Min-jeon Lee, Head of Premium Beauty.
Major Products: Sulwhasoo, Laneige, IOPE, Mamonde, Innisfree, Etude, AmorePacific, Hera, Aritaum, Primera, Lirikos, Hanyul, Annick Goutal, Iope, Verite, Lolita Lempicka, Illi, Happy Bath, Mise-en-Scene, Ryo.
New Products: Mamode Total Solution Essence BB Balm, IOPE Plant Stemcell Emulsion, Apple Juicy Liquid Foaming Cleanser, Lirikos Marine Expert Restoring Cream, Laneige Water Bank Essence, Sulwhasoo Ageless Complexion with SPF 30, Sulwhasoo Microdeep Intensive Filling Cream & Patch.
Comments: Four wildly popular products continued to gain users and in part led to a good year at AmorePacific—and also showed the company’s breadth in the beauty world: Aritaum Modi nail polish, Iope Air Cushion Compact, Verite (a home-shopping network exclusive) and Sulwhasoo First Care Activating Serum. Iope was the first to launch the year’s sensation—the air cushion compact, a sponge soaked with foundation and enclosed in a portable case that allows for easy, no-mess application. A focus on customer service at retail also generated positive results.
Sulwhasoo’s First Care Activating Serum just hit $1 billion in sales worldwide. This means that one First Care Activating Serum is sold every nine seconds throughout the world.
AmorePacific recorded $2.6 billion in sales in 2013, a 6% year-over-year growth. Sales rose despite a still-sluggish domestic market, which led to lower demand for luxury products in department stores, yet higher sales of mid- and low-priced products in mass retailers. Online and home shopping channels also gave sales a boost.
Cosmetics accounted for nearly 85% of sales last year, with personal care and green tea products representing the rest. Sales of hair cosmetic products grew 8% compared to the previous year. For hair care products, mise-en-Scène’s hair dye and nourishing products exhibited high growth, while Illi saw an increased market share with its premium anti-aging body care product line.
By region, Korea accounted for 82.6% of sales, followed by China (10.8%), Asia (3.4%), Europe (2.4%) and North America (0.8%). Sales of the AmorePacific brand rose 6%, even as sales in high-end department stores declined. To balance the situation, the company focused on moderately priced brands and online sales. To boost door-to-door sales, AmorePacific introduced new products under its Iope and Laniege brands and introduced the moderately priced Modi Nail line. Sales in China jumped 30%, due to the popularity of Laneige, Mamonde, Innisfree and Etude. In fact, Laneige, a premium cosmetic brand popular with young Chinese women, skyrocketed with a 40% sales gain last year. Laneige also hit the shelves in Target.
Sales in North America increased 26% to more than $22 million due to the introduction of new AmorePacific products in the U.S. And while sales declined overall in Europe, results in France got a boost thanks to Lolita Lempicka fragrances.
In March 2013, AmorePacific officially declared a ban on unnecessary animal testing on cosmetic products, and sought to find alternatives.
In March 2014, the company’s Hanyul brand was renewed into a natural-oriented skincare brand focusing on the traditional beauty care methods and plants of Korea.
As part of its sustainability efforts, AmorePacific is working on developing materials and alternatives, with the goal of reducing the amount of product packaging by 25% by 2020.
Sulwhasoo’s First Care Activating Serum, which just hit $1 billion in sales worldwide, is described as “the one universal product on the market that helps boost the effectiveness of subsequent treatments.” In September, the brand launched a new product in the U.S.: Luminature Essential Finisher. Sulwhasoo introduced the “Finisher” category to Korea in 2013 with the Luminature Essential Finisher. Not only were they the first to launch internationally, they are the first to introduce this category in the U.S.
Seoul, South Korea
www.amorepacific.com
Beauty Sales: $2.4 billion
Key Personnel: Kyung-Bae Suh, president and chief executive officer; Jeonggy Baek, vice-chairman of AmorePacific Group; Kyung-bae Suh, chairman-CEO; Sang-bae Shim, president; Jae-wan Shim, New Growth Beauty; Chan-hoe Kim, Mass Beauty; Jae-cheon Ryu, Luxury Beauty; Min-jeon Lee, Head of Premium Beauty.
Major Products: Sulwhasoo, Laneige, IOPE, Mamonde, Innisfree, Etude, AmorePacific, Hera, Aritaum, Primera, Lirikos, Hanyul, Annick Goutal, Iope, Verite, Lolita Lempicka, Illi, Happy Bath, Mise-en-Scene, Ryo.
New Products: Mamode Total Solution Essence BB Balm, IOPE Plant Stemcell Emulsion, Apple Juicy Liquid Foaming Cleanser, Lirikos Marine Expert Restoring Cream, Laneige Water Bank Essence, Sulwhasoo Ageless Complexion with SPF 30, Sulwhasoo Microdeep Intensive Filling Cream & Patch.
Comments: Four wildly popular products continued to gain users and in part led to a good year at AmorePacific—and also showed the company’s breadth in the beauty world: Aritaum Modi nail polish, Iope Air Cushion Compact, Verite (a home-shopping network exclusive) and Sulwhasoo First Care Activating Serum. Iope was the first to launch the year’s sensation—the air cushion compact, a sponge soaked with foundation and enclosed in a portable case that allows for easy, no-mess application. A focus on customer service at retail also generated positive results.
Sulwhasoo’s First Care Activating Serum just hit $1 billion in sales worldwide. This means that one First Care Activating Serum is sold every nine seconds throughout the world.
Cosmetics accounted for nearly 85% of sales last year, with personal care and green tea products representing the rest. Sales of hair cosmetic products grew 8% compared to the previous year. For hair care products, mise-en-Scène’s hair dye and nourishing products exhibited high growth, while Illi saw an increased market share with its premium anti-aging body care product line.
By region, Korea accounted for 82.6% of sales, followed by China (10.8%), Asia (3.4%), Europe (2.4%) and North America (0.8%). Sales of the AmorePacific brand rose 6%, even as sales in high-end department stores declined. To balance the situation, the company focused on moderately priced brands and online sales. To boost door-to-door sales, AmorePacific introduced new products under its Iope and Laniege brands and introduced the moderately priced Modi Nail line. Sales in China jumped 30%, due to the popularity of Laneige, Mamonde, Innisfree and Etude. In fact, Laneige, a premium cosmetic brand popular with young Chinese women, skyrocketed with a 40% sales gain last year. Laneige also hit the shelves in Target.
Sales in North America increased 26% to more than $22 million due to the introduction of new AmorePacific products in the U.S. And while sales declined overall in Europe, results in France got a boost thanks to Lolita Lempicka fragrances.
In March 2013, AmorePacific officially declared a ban on unnecessary animal testing on cosmetic products, and sought to find alternatives.
In March 2014, the company’s Hanyul brand was renewed into a natural-oriented skincare brand focusing on the traditional beauty care methods and plants of Korea.
As part of its sustainability efforts, AmorePacific is working on developing materials and alternatives, with the goal of reducing the amount of product packaging by 25% by 2020.
Sulwhasoo’s First Care Activating Serum, which just hit $1 billion in sales worldwide, is described as “the one universal product on the market that helps boost the effectiveness of subsequent treatments.” In September, the brand launched a new product in the U.S.: Luminature Essential Finisher. Sulwhasoo introduced the “Finisher” category to Korea in 2013 with the Luminature Essential Finisher. Not only were they the first to launch internationally, they are the first to introduce this category in the U.S.
