Korean Beauty Trends & Industry News: 24-02-19

AmorePacific's New Initiative to Strengthen Cosmetic Container Recycling

AmorePacific Group is making strides to enhance the recycling of cosmetic glass bottles, a challenging issue due to the difficulty of recycling these containers. For the first time in the Korean beauty industry, they have launched a pilot project targeting apartment complexes to collect and recycle glass bottles, starting on Earth Day, April 22nd, in Gyeonggi Province where AmorePacific Group's logistics center is located. The aim is to reuse the collected glass bottles as high-quality raw materials for new cosmetic containers.

This pilot project was solidified through a partnership with the Korea Circulation Resource Center, focusing on efficiently collecting and recycling hard-to-recycle cosmetic glass bottles. AmorePacific Group plans to provide separate collection bins and bags for this purpose, establishing a system for proper collection and recycling.

Sangmok Lee, CEO of AmorePacific Group, emphasized the company's efforts to reduce environmental impact from production to disposal, continuously seeking ways to realize the value of resource circulation even at the disposal stage. This initiative reflects AmorePacific's sincere efforts to create sustainable products.

Furthermore, AmorePacific Group has been leading in cosmetic container collection and has started an online container collection campaign this year. These efforts are in response to the increasing ESG standards and investor interest in resource recycling, with major cosmetic companies at the forefront of research and practice in this area.

Kolmar Korea and its subsidiary Yonwoo have also engaged in expanding eco-friendly packaging by signing a business agreement with Hanwha Solutions to commercialize cosmetic packaging materials using eco-friendly materials. These efforts are expected to not only improve the recycling system for hard-to-recycle cosmetic glass bottles but also encourage producer participation in expanding the use of eco-friendly materials in cosmetic packaging.

MFDS Hosts Industry Meeting to Discuss Cosmetic Regulatory Innovation

On the 16th, the Ministry of Food and Drug Safety (MFDS), led by Commissioner Oh Yoo-kyung, held a meeting with the cosmetic industry at the Korea Cosmetic Association to discuss regulatory innovation in cosmetics. The meeting aimed to share achievements in regulatory innovation and discuss policy support that the industry can tangibly feel.

The MFDS plans to actively identify and pursue regulatory innovation tasks that need urgent resolution by listening to the industry and association's on-site difficulties. Bio-Pharmaceuticals Director Shin Jun-soo stated that the MFDS has achieved results such as harmonizing domestic colorant testing methods with international regulations and hopes that the meeting will lead to on-site centered regulatory innovation measures that the industry can feel.

Representatives from major cosmetic companies, including AmorePacific, LG Household & Health Care, Cosmax, and Kolmar Korea, shared their diverse opinions at the meeting. The MFDS intends to actively promote regulatory innovations that can contribute to the development of the cosmetic industry and enhance its international competitiveness.

An MFDS official stated that the priority is to strictly manage cosmetics to ensure public safety and support K-Beauty's active entry into the global market. This meeting is expected to be an important step for the cosmetic industry and the government to collaborate on regulatory innovation and promote the development of the domestic cosmetic industry.

Olive Young Becomes a Growth Incubator for Small and Medium-Sized K-Beauty Brands

CJ Olive Young solidifies its role as a K-Beauty incubator, driving the growth of small and medium-sized enterprises (SMEs) and new beauty brands. As of 2023, the number of brands in Olive Young's "100 Million Club" (brands that have surpassed 100 million KRW in annual sales) has increased by 30% compared to the previous year, with some SME brands even breaking the 1 billion KRW mark. This achievement demonstrates the growth of small and medium-sized K-Beauty brands, including notable names like Clio and Round Lab, with SMEs accounting for 51% of the brands.

Olive Young provides a platform for these brands to grow through its 1,300 offline stores nationwide and the "Today's Dream" online delivery service. The company's "Olive Young Sale" and seasonal campaigns not only lead K-Beauty trends but also significantly contribute to raising brand awareness and sales both domestically and internationally.

Brands like Torriden and Numbersin, which have been recognized as "Olive Young Clean Beauty" brands, have seen rapid growth due to increased consumer awareness. Torriden, for instance, saw its sales quadruple after joining the "100 Million Club" in 2022, highlighting Olive Young's critical role in the growth of small brands.

Additionally, Olive Young aims to expand the K-Beauty industry by introducing categories like "Slow Aging" and "Inner Beauty" and plans to invest a total of 300 billion KRW over three years starting this year to support the discovery and international expansion of new brands.

Olive Young's efforts are expected to strengthen the symbiotic management philosophy, helping small K-Beauty brands grow quantitatively and enhance their competitive edge internationally. This represents a new model of coexistence in the domestic fashion and beauty industry, establishing Olive Young as a leading partner in spearheading K-Beauty trends.

Beautykurly Launches Spring Festival with a "Lowest Price Challenge"

Retail tech company Coupang's Beautykurly is introducing a "Lowest Price Challenge" for the first time during its "Beautykurly Festival," offering customers the chance to receive a refund of the difference if they find a lower final discount price on other online malls. The challenge includes over 100 products from more than 70 brands, such as Jung Saem Mool Essential Skin Nuder Cushion, Goodal Vitamin C Serum, and Atopalm Top to Toe Wash.

Nam Kyung-ah, head of Beautykurly marketing, stated that the challenge was designed to provide customers with better prices and options. The festival will feature up to 82% off on 3,000 products, including spring makeup and high-moisture products for the changing seasons. Additionally, customers can enjoy twice-daily discount coupons, 15% off luxury beauty products, and free shipping on orders over 20,000 KRW.

Coupang card and Shinhan card users will also receive an extra 20% off at checkout. This "Lowest Price Challenge" and the accompanying benefits offer customers an opportunity to purchase spring beauty products at competitive prices.