South Korea’s make-up market set to grow at 6.9% CAGR between 2019-2024, forecasts GlobalData

The make-up market in South Korea is expected to grow from KRW2.12 trillion (US$1.81bn) in 2019 to KRW2.95 trillion (US$2.52bn) by 2024, at a compounded annual growth rate (CAGR) of 6.9% between 2019 and 2024, says GlobalData, a leading data and analytics company.

GlobalData’s report, ‘South Korea Make-Up- Market Assessment and Forecasts to 2024’, reveals that ‘face make-up’ was the largest category with value sales of KRW1.26 trillion (US$1.07bn) in 2019. However, the nail make-up category is projected to witness the fastest value sales at a CAGR of 7.4% over the forecast period 2019–2024, followed by lip make-up and face make-up categories with CAGRs of 7.3% and 6.8%, respectively.

Anchal Bisht, Consumer Analyst at GlobalData, says: “Continued innovation and launch of novel make-up products with increasing focus on sustainability and incorporation of natural ingredients are driving the sector growth in South Korea. Increasing spending power and demand for customized beauty products among the Korean consumers are fueling this growth in the sector.”

The per capita expenditure on make-up in South Korea stood at US$35, which was higher than the global per capita expenditure of US$8.5 and regional per capita expenditure of US$4.6 in 2019.  

Amorepacific Corporation, LG Corp, and The Estee Lauder Companies Inc. are the top three players in the South Korean make-up sector. The Face Shop, Sulwhasoo and Etude House are the leading brands in the South Korean make-up sector.

Health and beauty stores registered a value share of 28.4% and emerged as the largest distribution channel in 2019 in the South Korea make-up sector. It was followed by department stores and direct sellers in the same year. 

Ms. Bisht concludes: “Increasing beauty awareness among the Koreans, especially the young working age populace blessed with easy access to social media is resulting in growing penchant for innovative beauty products. In line with this shift, manufacturers are increasingly offering novel products with environment friendly organic ingredients to attract discerning consumers. This strategy is expected to yield significant returns in future too.”

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