LVMH-owned beauty giant Sephora is set to withdraw from South Korea after more than four years in the market.

The company announced all stores, including online platforms and mobile apps, are scheduled to close on May 6.

Sephora debuted in the country in 2019 with a flagship store in Seoul’s Gangnam district, followed by five more stores in the city. The brand failed to achieve profitability since 2020. Sephora Korea posted losses of 12.4 billion won (US$9.26 million) in 2020, 14.5 billion won in 2021, and 17.6 billion won in 2022.

Meanwhile, the brand’s struggle was influenced by the fierce competition in the country, where about 90 per cent market share belongs to local beauty giant CJ Olive Young, which operates more than 1300 stores across South Korea.

According to the International Trade Administration, the country’s beauty market was worth $3.9 billion in 2022, making the country one of the top 10 beauty markets in the world.

The French beauty retailer’s move follows its withdrawal from Taiwan last year.