The influence of "K," once represented by "K-pop" and "K-dramas," is spreading worldwide across multiple retail industries. In the past, localization was considered essential when entering overseas markets, but now Korea's unique methods and sensibilities are being accepted as the new standard. This report highlights cases where Korean traits have become global competitive strengths and examines the direction "K" should take in the global market going forward. [Editor's note]
The United States and Europe, which have led global beauty trends to date, have focused on color cosmetics technologies that correct skin flaws. Korea, by contrast, has prioritized proactively preventing and protecting against skin issues, advancing technologies centered on basic skincare and beauty devices.
This Korean-style beauty routine and technology is now taking hold as a new benchmark in the global beauty market. Last year, Korea's cosmetics exports overtook the United States to rank second worldwide after France. Cumulative exports from January to November last year reached $10.361 billion (about 14.95 trillion won), surpassing total exports for 2024 ($10.178 billion, about 14.68 trillion won). Cosmetics also entered Korea's top 10 export items, emerging as a new growth engine for the nation.
The Guardian in Britain said, "In the West, it has been a cultural norm to finish skincare quickly with minimal time and effort, but K-beauty requires time," and noted, "What defines K-beauty is not simply that it is made in Korea, but 'barrier care (Barrier Care).'"
◇ Overseas retailers rush to "host K-beauty"
According to related industries on the 2nd, Amazon, the world's largest e-commerce corporations, has made K-beauty a key growth driver since last year, launching dedicated sections and ramping up promotions. Amazon U.S. opened its first K-beauty store last October, showcasing about 200 Korean brands, and sold about 60 of them exclusively. K-beauty accounts for more than 20% of total searches in Amazon's beauty category, and sales are growing more than three times faster than other beauty segments.
K-beauty's presence also stands out during major discount events such as Amazon Prime Day. APR Co., powered by the popularity of its Medicube brand, recorded 30 billion won in sales during Prime Day from July 8 to 11 last year. Mask products from BIODANCE and VT Cosmetics also topped the bestseller lists on Amazon stores in the United States and Japan, respectively.
Sephora and Ulta Beauty, the two major U.S. beauty retail chains, are competing to secure promising K-beauty brands. Last year, skincare brands HANYUL, AESTURA, Beauty of Joseon, and Torriden signed exclusive distribution deals with Sephora and entered the U.S. market. Last year, Sephora doubled its K-beauty lineup from its previous offering and plans to add more brands this year.
Ulta Beauty also signed exclusive distribution agreements last year with new K-beauty brands including Anua, Medicube, TirTir, Fwee, and Unleashia. Since July last year, it has partnered with the K-beauty curation platform "K-beauty World" to install dedicated K-beauty sections in more than 1,400 stores across the United States.
◇ "Beauty devices" emerge as K-beauty's new growth driver
Recently, K-beauty's growth axis has shifted to beauty devices. Beauty devices are electronic products that use radio frequency, ultrasound, and light-emitting diode (LED) wavelengths to help with whitening and improving pores and elasticity. Korean companies are miniaturizing dermatology equipment principles for at-home use, winning over global consumers.
Most devices released recently maximize K-beauty's strengths with "personalized skincare" features. Users diagnose their skin condition via the device and a smartphone app and set an appropriate skincare routine. Since 2020, Korean beauty device products have swept the Innovation Awards at CES, the world's largest IT and home appliance show, earning recognition for their technology.
APR Co.'s Medicube Age-R is regarded as the brand that stood out most in beauty devices last year. Medicube Age-R's cumulative global product sales surpassed 5 million units in October last year. More than half of total revenue came from overseas markets such as the United States and Japan.
LG H&H and Amorepacific are also doubling down on beauty devices. LG H&H received LG Electronics' beauty device brand LG Pra.L last June and has been rolling out new products, developing it into a core business. Amorepacific likewise has been introducing various products, including massagers and LED masks, since 2014 through its beauty device brand "makeON," linked to its own cosmetics.
◇ Korean ODMs draw global attention
ODMs (original design manufacturers) with world-class technological prowess are also supporting K-beauty's global expansion. Korea's ODMs, represented by COSMAX and Kolmar Korea, go beyond simple manufacturing to develop new formulations through in-house research and development, advance process technologies, and secure a wide range of global clients from indie to luxury brands.
COSMAX, the No. 1 global ODM, has an annual production capacity (CAPA) of 3.3 billion units across Korea, China, Indonesia, and the United States. It reinvests more than 5% of annual revenue into research and development, and more than 1,100 researchers are based at R&I (research and innovation) centers in Korea, China, the United States, Indonesia, and Thailand. As of last year, it filed more than 1,800 patents, with about 770 cumulative patent registrations.
Kolmar Korea, the world's No. 3 ODM, completed its second U.S. plant in June last year, boosting local CAPA to 300 million units. Including its Canada plant, CAPA is about 470 million units, the largest among North American cosmetics ODMs. Leveraging its local production capacity, Kolmar Korea aims to mitigate tariff risks that beauty brands from Korea and other countries face when entering the U.S. market.
President Lee Jae-myung said, "K-beauty is no longer just a product; it is becoming a culture," adding, "We plan to provide focused support so that the achievements of our cosmetics industry do not remain one-offs but can operate sustainably as a core national growth engine."