In recent years, the Korean cosmetics market has been in the spotlight. However, due to factors such as prices**, Korean consumers have reduced their spending on cosmetics this year. The unattainable ** discourages more and more consumers. At the same time, cost-effective Chinese cosmetics have risen strongly in the Korean market and have been warmly sought after by consumers.
According to the latest data, in the third quarter of this year, the operating profit of many well-known low- and medium-priced cosmetics brands in South Korea nearly tripled compared with the same period last year. This growth not only reflects consumer demand for affordable products, but also reflects the market's love for low- and medium-priced cosmetics brands.
With prices remaining high, the purchasing power of Korean consumers continues to decline. Korean cosmetics companies, which used to focus on high-end products, have suffered a decline in this market environment. According to the latest data, in the third quarter, the operating profit of two large cosmetics companies in South Korea decreased by more than 10% and 30% year-on-year respectively. While high-end brands have been hit, low- and medium-priced cosmetics brands have ushered in opportunities to flourish.
As an upstart in the Korean cosmetics market, Chinese cosmetics brands are rapidly expanding their share in the Korean market. With the increase in the sales of low- and medium-priced cosmetics, China's cosmetics imports are also rising. According to data released by the relevant departments of the Korea ** Association, in the first eight months of this year, the export value of Chinese cosmetics to South Korea increased by about 190% year-on-year. This data not only reflects the popularity of Chinese cosmetics in the Korean market, but also shows the strong demand for Chinese cosmetics in South Korea.
It is worth mentioning that the recent rapid rise of Chinese e-commerce platforms in the Korean market has also become another favorable factor for Chinese cosmetics to enter the Korean market. Through the combination of online and offline channels, Chinese cosmetics brands have gained greater popularity and sales opportunities in the Korean market.
Faced with the pressure of many factors such as prices**, Chinese cosmetics brands have successfully conquered the Korean market with their ultra-high cost performance and quality assurance. It can be said to kill two birds with one stone, which not only satisfies the demand of Korean consumers for high-quality and affordable cosmetics, but also promotes the reputation of Chinese cosmetics in the international market.
Although the competition in the Korean market is becoming more and more fierce, the rise of Chinese cosmetics brands in South Korea has undoubtedly given a strong impact to other international brands. Whether they can win in this highly competitive market also requires Chinese cosmetics companies to continuously improve their quality and innovation capabilities. We will wait and see if Chinese cosmetics brands can continue to create more brilliant results in the Korean market!