Modern characteristics of the development of cosmetics industry in the Republic of Korea Khabibullayev Komiljon Murodulla ogli

1-picture. Breakdown of the cosmetic market worldwide 2022, by geographic zone³
In 2020, five countries, including China, accounted for 80 percent of total exports. Among them, exports to China increased by 50.3 percent, and exports to Japan by 58.9 percent compared to 2019⁴.
Korean beauty startups have been able to enter the global market due to the high demand for K-beauty products. K-beauty companies are investing more in product packaging, making them more attractive and creative to emphasize the features of the products. However, several companies are strategically acquiring K-Beauty startups and brands to stay ahead of current trends in the beauty market. Products with clean labels and claims such as cruelty-free and eco-friendly are becoming increasingly popular in the market.
People in South Korea are obsessed with their K-pop idols and follow their idols’ every instruction. 2022 K-pop trends such as under-eye glitter, gradient lips, puppy eyes and more are attracting consumers in the region. Therefore, people are interested in this type of makeup. These factors drive the market. In addition, K-pop idols and groups are collaborating with beauty and personal care brands. This will further increase the purchase of the products.
For example, in October 2022, Amorepacific released the limited edition BTS I Amorepacific Lip Sleeping Mask Lip & Pop. The lip mask claims to smooth and nourish the lips by controlling the dead skin cells on the lips and moisturizing them.

2-picture. Percentage share of countries in Korean cosmetics export⁵
The Japanese market is experiencing rapid growth amid the global growth trend of K-beauty. According to a 2020 report by the Korea Cosmetics Industry Institute, K-beauty became popular in Japan thanks to the third wave of hallyu, which attracted teenage and twenty-something consumers.
A few years ago, Korean cosmetics available in Japan were limited to certain categories such as color cosmetics. But recently, popular products in South Korea, such as skin care and basic cosmetics, have enjoyed strong sales in Japan. While K-beauty used to be showcased through Korean dramas, now there are various channels such as online media and YouTube.
According to Japanese trade group KOTRA, products used by trend-sensitive Koreans reach Japanese consumers through word of mouth via YouTube. Even products that are not yet available in Japan are bought and shipped overseas, and high demand often results in their being officially sold in that market⁶.
Several groups such as AmorePacific, LG Household & Healthcare and Able C&C are at the top and showing excellent growth. Their secret: reducing product development time and introducing fast fashion codes.
The wellness trend has recently taken over the market and introduced new rules in the field of hygiene and beauty. As a result, natural and organic cosmetics account for almost 5% of total sales in South Korea. This trend is only in its infancy. The environmental emergency and health crisis have reminded consumers to get back to nature and feel good about themselves. New products enter the market and promise to attract followers.