Let’s go global with today’s post and visit South Korea. Specifically, the South Korean cosmetic makers and the continued attention from Western investors. Flawless, youthful skin is the goal of South Korean women and, according to Euromonitor, they spend twice as much on skincare as their American counterparts, and on average they use 15 products a day. As the search for perfect skin is an endless quest, South Korean cosmetic makers are in overdrive with innovation and product releases to satisfy this very active consumer base.
Propelling optimism and excitement about this marketplace and helping to move “local” brands beyond the country’s boundaries is K-pop, South Koreans’ powerful pop culture industry. With consumer demand plus thriving culture queue up two big-name investors. Last week kicked off with Goldman Sachs Group Inc and Bain Capital Private Equity announcing they took a controlling stake in Carver Korea Co, and to close the week LVMH announced taking a minority stake in Clio Cosmetics Co.
Many South Korean cosmetic brands haven’t reached beyond Asia, yet. No doubt these investments will lead to growth and expansion, and I say, bring it – the more choices of “hope in a jar” we gals have the better!
Visit The Wall Street Journal for thorough coverage.
Photo credit: cnn.com