Amorepacific makes Australian debut
Korean cosmetics giant Amorepacific Group has made its Australian debut this week.
While the company has yet to open a standalone store there, it has opened a counter for its mid-range brand Laneige inside Sephora stores and started selling the range online. It describes the launch as “its forerunner to the Australian market”.
After opening a Melbourne head office last year, Amorepacific’s is making plans to launch its luxury flagship brand Amorepacific, and eco-friendly Innisfree label later this year.
Caroline Dunlop – Amorepacific Australia’s first GM, said working with Sephora in the US had proven a success and it had high expectations in their Australian partnership.
“Our journey of beauty in Australia will begin with the launch of Laneige and as we progress, we will continue to present many unique brand experiences to local customers.”
Amorepacific is ramping up its international expansion to compensate for a sharp decline in the number of Chinese tourists into South Korea.
“I am very excited to meet with Australian customers after a long preparation,” Suh Kyung-bae, chairman of Amorepacific Group, said.
Australia’s cosmetics market was estimated at about 7 trillion won (US$6.56 billion) in 2016, with an average annual growth rate of 5 per cent, the company said, citing data from market research house Euromonitor.
In a statement, Amorepacific said it has studied the advanced beauty market in Australia and its customers over several years. “The study revealed that Australian customers are indeed very beauty conscious with a keen interest in global trends and innovation developed particularly to protect against strong UV rays and other environmental factors that can cause skin damage. It was also found that their preference for a natural makeup look with healthy skin has led to a growing interest in Korean beauty trends (K-beauty).”
The Chinese tourist challenge has affected Amorepacific’s earnings, which last year fell 39.7 per cent.