In recent years, the Korean cosmetic market changed and grew as competitive large companies emerged. In particular, many mid-sized cosmetic brands do not produce their own products and instead outsource production to cosmetic ODM (Original Design Manufacturing) companies, which have the ability to make custom-made cosmetics according to a specific customer’s product specifications. This change has led to a significant shift in the distribution channel structure for domestic cosmetics, and it is important to analyze the cause of this change.
In the past, cosmetics were sold through large discount stores. However, in 2002, Able C & C introduced the one-brand store channel with its first “Missha” brand store and created a new era in the cosmetic market by offering reasonable prices and high quality products. The company’s sales rose quickly and it became the largest cosmetic retailing company in Korea with a sales rank of 1.2 trillion won in 2022.
The cosmetic industry is also experiencing a growth in eco-friendly beauty products. Known as clean beauty, these products are free of harmful chemicals and contain organic and natural ingredients. Some even use recycled paper packaging and soy ink. In the future, we expect more beauty brands to adopt these environmental-friendly products.
KOSMECCA Korea is one of the leading private label skincare manufacturers in the country, with over 10 years of research & development and production expertise. The company offers customized formulation, testing, and production of cosmetics for customers around the world. Besides providing OEM services, KOSMECCA has also partnered with Black Bird to offer high-quality private label cosmetics for a lower price. korean cosmetics manufacturer