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Tag: Sulhwasoo

  • Multi-brand Korean cosmetic shops thrive

    Multi-brand Korean cosmetic shops thrive

    Korean cosmetic shops that sell various brands under one roof have steadily expanded their presence across the country, giving sophisticated customers more options, according to industry sources.

    AmorePacific, South Korea’s No. 1 cosmetic company, operates about 1350 multi-brand stores, called Aritaum nationwide, which offer a wide selection of its products, including such mass brands as Laneige and IOPE. The company also operates single brand shops such as Innisfree and Etude House in the lower-end and Sulhwasoo and Hera in the higher-end segment as part of a two-track strategy.

    Also showcasing multi-brands are beauty and health care stores, such as CJ’s Olive Young and its smaller rival Watsons, which have expanded and enjoyed growing popularity among urban youngsters.

    To catch up with the latest trend, local cosmetic companies have launched multi-brand cosmetic shops in major retail strips.

    LG Household & Health Care Ltd., the nation’s second-largest cosmetic maker, launched a multi-brand shop called Nature Collection, in February, operating 11 stores in major retail strips in Seoul. The store features brands that focus on a natural look, including The Face Shop and Beyond.

    “Nature Collection is promoted through word-of-mouth, with various products and promotional events,” a company spokesman told Yonhap news service.

    Able C&C, which created the boom for the single brand shop with Missha, has recently opened a multi-brand shop called Beauty Net on a popular street in Seoul to display a wide range of select products.

    Beauty Net Korea store

    Industry officials say multi-brand shops are effective in improving customer convenience and brand management and promotion, providing easier access to new brands.

    “Expansion of these multi-brands provide the other brands with more chances to be introduced to customers,” said an Able C&C spokesman.

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  • Korean department stores struggle

    Korean department stores struggle

    Chinese travellers have emerged as one of the few bright spots for Korean department stores suffering from dull domestic consumption.

    The arrival of a new demographic of consumers has prompted an all-out fight to attract deep-pocketed clients, industry officials told Yonhap.

    Sales at department stores inched down 0.4 per cent on-year to 29.22 trillion won (US$23.69 billion) in 2015, Statistics Korea showed, mostly attributable to the Middle East Respiratory Syndrome (Mers) outbreak and rapidly rising online marketplaces.

    While consumption among locals has steadily slowed over the past years, major department stores in downtown Seoul saw growing sales among Chinese nationals.

    At Lotte Department Store in the famous shopping district of Myeongdong, sales by Chinese customers accounted for 18.1 per cent of the total, rising 6.8 per cent from a year ago.

    At the nearby Shinsegae Department Store, sales by Chinese customers rose 21.8 per cent in 2015 from a year ago, though the pace slowed from 131 per cent in 2014 and 87 per cent in 2013 in the wake of the Mers outbreak. The store did not release exact sales figures.

    Foreign luxury watch and jewellery brands topped their shopping list, while leading Korean fashion and cosmetic brands were also picked up by Chinese travellers.

    Among them, the Seoul-based luxury bag manufacturer MCM was the second-most selling brand by the Chinese, while sunglass brand Gentle Monster and Amore Pacific’s high-end cosmetic lineSulhwasoo were named as popular items.

    “While the Chinese mostly preferred foreign luxury brands and local cosmetic brands, a wider range of Korean products have been selling among Chinese customers,” said Park Young-hwan, a marketing official at Lotte Department Store.

    In response to the changing consumption trends, Korean department stores have launched a variety of promotional events through social networking services and invited China’s popular bloggers to embrace rich Chinese customers.

    Some stores have even assigned assistants for VIP customers to provide guidance while they shop. Others have offered limousines and pick-up services.