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By Park Jae-hyuk
Korean cosmetics firms, which have inspired K-beauty fever in China, are seeking to expand their presence in the world's largest market, the U.S., riding on the changes of American consumers' spending patterns.
The firms had initially supplied their products to multi-shops in department stores or discount chains, but have opened their own brand shops, expanding their stores.
Local business news outlet MoneyToday reported Monday that AmorePacific will open a flagship store of its cosmetics brand Innisfree in Manhattan early next year, citing cosmetics industry officials in the U.S.
The officials said Korea's top cosmetics company is choosing the best location in the U.S. to open its store soon, according to the report.
However, an AmorePacific official denied the report, saying the launch of Innisfree store is uncertain.
"The source of the report may be our rival company," he told The Korea Times. "Innisfree targeting the U.S. market has been well known among industry sources, but timing and location are yet to be decided."
After establishing a corporate body in Los Angeles in 1986, the cosmetics firm first expanded toward the U.S. market in 2003 with its signature brand AmorePacific. The firm currently sells several brands, including Sulwhasoo, Laneige and Annick Goutal there.
LG Household & Healthcare released its brand Belif last year and supplies the product to over 100 stores in the U.S.
Nature Republic launched its brand in the U.S. in 2012 and has opened 17 brand stores, supplying its products to the four largest shopping malls in the U.S. ― Simon Malls, Westfield, GGP Malls and Macerich.
Smaller firms, such as It's Skin, Goodal, Leaders Cosmetics and Skinfood, also sell their products in the U.S.
The American consumers prefer Korean cosmetics, because they are "natural," according to a report of the Korea Trade-Investment Promotion Agency (KOTRA) released in July.
KOTRA wrote those consumers will continue to prefer Korean cosmetics which don't use harmful chemicals but natural components.
"Natural" also means make-up that looks like a naked-face and the American consumers are attracted by the natural make-up of K-beauty, KOTRA said.
Some industry officials said various components, such as snail slime or volcanic ash, attracted the consumers.
The export of Korean cosmetics to the U.S. reached $217.5 million last year, a 71 percent rise from a year earlier.
"Korea has ranked fifth in market share in the U.S. since June this year," a KOTRA official said.
Korean cosmetics hold 6.84 percent of U.S. market share as of July, following cosmetics companies in France, China, Canada and Italy.
However, observers point out that Korean cosmetics firms still lack products for the various races of the U.S.
KOTRA pointed out in the July report that the word "whitening," written on some cosmetics containers, should be changed to "brightening."
