took place at the Shilla Hotel in Jung-gu, Seoul, on the 18th. This event brought together key industry figures and aimed to explore strategies for Korean companies to expand their global footprint. (Lee Seung-hwan)

South Korean Beauty Sellers on Amazon: A Surge in Sales

South Korean beauty sellers on Amazon have witnessed an astonishing year-on-year sales increase of over 90 percent. This significant growth reflects the rising demand for K-fashion and beauty products, especially from independent brands. It showcases the potential and importance of the cross-border e-commerce market. 1: The surge in sales is a clear indication of the global appeal of Korean beauty. Independent brands like COSRX, TIRTIR, ANUA, and Beauty of Joseon have been at the forefront of this trend. Their unique innovations and high-quality offerings have helped them build a strong word-of-mouth success, reaching consumers not only in Korea but also in the United States and Europe. 2: The digitalization of consumption and the diversification of online shoppers, ranging from children to the elderly, have played a crucial role in driving this growth. Platforms like Amazon have provided a wider range of consumer options, enabling smaller brands to thrive and gain a significant market share.

Amazon's Role in Connecting Korean Sellers

Amazon Global Selling Korea Head Hannah Shin highlighted the importance of global expansion for the survival of Korea’s retail industry. Since 2017, Amazon has connected over 10,000 South Korean sellers to 22 Amazon marketplaces. In 2024 alone, the revenue from newly onboarded sellers grew more than fourfold, emphasizing the significant impact of cross-border e-commerce. 1: This connection has opened up new opportunities for Korean sellers to reach a global audience. It has allowed them to showcase their products and build their brands on an international stage. Amazon's extensive reach and infrastructure have been instrumental in facilitating this growth. 2: The success of these sellers also highlights the importance of e-commerce platforms in today's global marketplace. They provide a level playing field for both large and small brands, enabling them to compete and succeed.

Driving Factors of the K-beauty Phenomenon

Shin identified three key factors driving the K-beauty phenomenon: independent brands, skincare, and innovation. Many independent brands partner with manufacturers like Kolmar Korea and Cosmax to produce affordable yet high-quality products. 1: The rise of independent brands has been a significant trend in the K-beauty industry. These brands offer unique products that cater to different consumer needs and preferences. They have been able to build a loyal customer base through their innovative products and marketing strategies. 2: Skincare is another important aspect of the K-beauty phenomenon. Korean skincare products are known for their effectiveness and quality. The focus on skincare has helped Korean beauty gain a global reputation and has attracted a large number of consumers.

Innovation in the Beauty Industry

Innovation is the most critical factor for success in overseas markets, regardless of industry. Shin emphasized the evolution of products like toner pads and serum ampoules, which have catered to changing consumer needs. 1: Examples of innovation in the beauty industry include color-changing hydrogel masks and advanced toner pads that double as facial masks. These innovative products have helped expand market opportunities and attract new customers. 2: The beauty industry is constantly evolving, and companies that fail to innovate risk being left behind. By investing in research and development and staying ahead of the curve, Korean beauty companies have been able to maintain their competitive edge.

Leadership for Global Expansion

Leadership was highlighted as a crucial element for global expansion. Shin stressed the need for executives to take direct responsibility for localization strategies and branding. 1: CEOs and senior executives need to lead with commitment and actively engage in overseas ventures. They need to understand the local market and consumer preferences and adapt their products and strategies accordingly. 2: Lack of proactive decision-making in some organizations can hinder global expansion. By taking a proactive approach and investing in global expansion, companies can unlock new growth opportunities and achieve sustainable success.