Top Companies Report

18. Amore Pacific

August 6, 2009

South Korea
Sales: $1.42 billion

Key Personnel: Kyung-Bae Suh, president and chief executive officer; Sang-Bae Shim, executive director; Young-So Kwon, executive director production and logistics and chief production officer, sales and marketing; Dong-Hyuan Bae, chief financial officer; Chang-Soo Yang, director of marketing; Hak-Hee Kang, director of R&D.

Major Products: Skin care and makeup—Laneige, Iope, Mamonde, Innisfree, Hera. Fragrances—Lolita Lempika, Castel Bajac, Espoir. Personal care—Mise-en-Scene, Happy Bath, Median, Songyeum.

New Products: Ryoe premium hair care.

Comments: Amore Pacific’s sales rose 12.8% to $1.42 billion in 2008. The company’s door-to-door channel (which accounted for 34.5% of 2008 revenues) rose 5.8%, specialty store sales (14.2% of revenues) rose 12.5% and sales from department stores (16.7% of revenues) jumped 13.6%. Sales recorded in Amore Pacific’s smallest channel, discount stores, skyrocketed 71.1%, according to the company.

In the U.S., despite slowing economics, the company said sales rose 12% over 2007 figures, representing 4% of Amor Pacific’s total overseas revenue for 2008.

Chief executive officer Kyung-Bae Suh is largely responsible for Amore Pacific’s dramatic growth during the past several years. Taking over in the late 1990s, he spearheaded the company’s restructuring plan, shedding or shuttering many divisions—fashion houses, a brokerage and even baseball and basketball teams—to focus on the beauty business.