Amore Pacific


Company Headquarters

100 Hangang-daero, Yongsan-gu, Seoul, South Korea

Driving Directions

Brand Description

South Korea

Sales: $3.0 billion

Key Personnel: Suh Kyung-Bae, chairman and chief executive officer; Young-so Kwon, luxury; Sang-bae Shim, SCM; Dong-hyun Bae, planning and finance; Min-jeon Lee, premium; Hak-hee Kang, R&D; Yoon Lee, human resources and public relations; Chan-hoe Kim, mass market; Jaoe-cheon Yoo, new growth.

Major Products: Cosmetics—Amorepacific, Hera, Sulwhasoo, Lirikos, Verite, Laneige, Iope, Mamonde, TeenClear, Primera, InnisFree, Lolita Lempicka, Odyssey, Etude, Espoir. Personal Care—Mise-en-Scene, Ryoe, Happy Bath, Dantrol, Median, Songyeum; Health Care (including tea, beauty foods/supplements and drugs).

New Products: Time Response Skin Renewal Mist and Intensive Hand Creme, Future Response Age Defense Crème SPF 30, Line Revolution Firming Neck Crème, Moisture Bound Refreshing Masque, Luminous Effect Brightening Serum.

Comments: AmorePacific is the No. 1 beauty company in Korea with a 39% share of the domestic market. Heady stuff, but the company is aiming to become one of the seven largest beauty companies in the world in less than a decade via its Vision 2020 plan.  The plan calls for group sales of $8 billion (at 2012 exchange rates), with international sales accounting for 39% of sales. To get there, the company expects to build 10 outer beauty megabrands and five inner beauty megabrands.

To achieve those goals, AmorePacific is committed to maintaining market dominance in the direct sales channel, even as it secures the largest share in department stores by attracting younger consumers. In addition, the company will try to boost sales of premium hair and body care products and expand its offerings in baby care and men’s care and develop products for an aging population.
Last year, international sales accounted for 11% of total turnover, as the company introduced its Mamonde brand in Japan; Sulwhasoo in Taiwan, Thailand Singapore and the US; Iope in Japan and Innisfree in China. To keep growing in China, AmorePacific is expanding both its product offerings and distribution channels in the country, even as it expands into the ASEAN region and India.
For the first quarter of 2013, sales rose 8.4% to more than $723 million billion due primarily to new product launches and accelerated international growth.



Key Personnel

  • Suh Kyung-Bae
    Chairman and Chief Executive Officer
  • Sang-bae Shim
  • Dong-hyun Bae
    Planning and Finance
  • Min-jeon Lee
  • Hak-hee Kang
  • Yoon Lee
    Human Resources and Public Relations
  • Chan-hoe Kim
    Mass Market
  • Jaoe-cheon Yoo
    New Growth

Yearly results

Sales: 3.3 Billion

Sales: $3.3 billion

Comments: Sales fell 15% last year for the K-Beauty market leader. Net profit plunged 50%. The company blamed covid-related declines in China and a still-recovering travel retail business.

Last year, Amorepacific launched a “New Beauty” campaign that values “the unique beauty that each one of us has and focuses on its potential.” The company is committed to digitalization to build stronger bonds with Millennial and Gen Z consumers. Along those lines, Amorepacific is committed to drastically reducing products that are out sync with the times.

The tough times continued in the new year. Q1 sales fell 20% and operating profit slumped 52%. Amorepacific’s domestic sales fell 24.6% and international sales dropped 16.8%. The company blamed a double-digit decline in travel retail and e-commerce.

International sales fell 17%, but results were mixed. With China accounting for more than half of revenue, sales in Asia dropped 27%. In contrast, sales in North America (+80%) and EMEA (+94%) soared. Similarly, subsidiary revenue was mixed. Sales of Innisfree (-7.1%) and Osulloc (-4.3%) fell, while sales of Etude (+8.8%), Amos Professional (+7.9%) and Espoir (+1.8%) rose.

Covid-related lockdowns battered results in Asia. Here’s a Sulwhasoo storefront in Jakarta.

Sales: 4.6 Billion

Sales: $4.6 billion

Sales rose 9.7%. Domestic sales increased 14% to account for 63% of sales. Amorepacific said online sales grew 40%. Sales of luxury cosmetics jumped 22% driven, in part, by the launches of Sulwhasoo Concentrated Ginseng Renewing line and Hera Black Cushion.

Premium domestic sales rose 13%, driven by demand for Laneige and online sales. But daily beauty sales fell 3%. The company blamed the decline on lower global e-commerce sales of major brands.

International sales increased 3%. Sales in Asia rose 2%, and Amorepacific noted that China accounts for more than 70% of Asia sales. Last year, sales in China rose, in part, by a 50% gain in Sulwhasoo sales. Laniege sales grew double digits due to demand for skin care products.

North American sales jumped 29%, driven by strong growth of multi-brand shop channels. Online sales grew with the launch of Laneige and Innisfree in Amazon. Sulwhasoo sales rose, in part, to a new e-commerce platform. Sales also rose following the debut of Laneige and Innisfree in Sephora at Kohl’s.

Sales in Europe increased 16% due to an expanded brand portfolio. The company launched Laneige on a new e-commerce platform and Innisfree debuted in Sephora.


Sales: 4 Billion

Sales: $4.0 billion

Amorepacific is the cutting edge of skin care research.

Sales fell 22.2% last year. The company blamed COVID-19 for domestic offline channel sales to decline by double digits. Domestic travel retail sales fell due to a lack of tourists; however, international travel retail sales recovered in the second half of 2020. More good news was that online sales jumped 50%—including a 90% gain in China for the Amorepacific brand. Every subsidiary’s sales fell in 2020. Etude’s sales fell 38% and Innisfree’s revenue declined 37%. Elsewhere, Amos Professional sales dropped 19%, Aestura sales fell 11% and Espoir sales fell 9%,

First quarter sales rose nearly 11% and operating profit soared 190%. Revenue increased thanks to a 19.6% gain in international sales. Sales in China grew mid-30% in local currency, but other revenue in Asia declined due to the pandemic. Sales in North America declined due to restricting of physical retail stores. Sales in Europe rose due to gains in Sephora. Domestically, cosmetics sales rose 9.9%, but daily beauty product sales fell 5.9%. Amorepacific noted that domestic online sales jumped 30% in Q1.

For the remainder of the year, the company has set a revenue target of $4.7 billion at last year’s exchange rate To get there, the company has a three-pronged approach built on nurturing next-generation brands, growing digital platforms and improving profitability.

Sales: 5.4 Billion

Sales: $5.4 billion

Sales rose 3.4% last year. Within Amorepacific’s domestic cosmetics business, the continued popularity of Sulwhasoo helped drive domestic cosmetic sales. In the daily beauty category, sales gains were attributed to Ryo hair care, as well as relatively new brands like Illiyoon and Fresh Pop.

Espoir’s sales rose 11% due to the popularity of seasonal makeup sales and better sales promotions. The unit enhanced communication with its customers by co-developing a social networking system platform (#CrewSays) and opening showroom stores with customized services. Aestura sales rose 11%, helped along by the sales of 365, a new skin care formula. However, Innisfree revenue fell 8% and Etude sales dropped 18%. Amorepacific blamed the Etude sales decline on travel retail and roadshop woes. Amos Professional’s sales declined 1%, which the company attributed to heavy competition in the hair care market.

A year ago, Amorepacific launched Primera, its clean skin care brand in Sephora and on The brand fits in well with the retailer’s Clean at Sephora program, which only includes products that are free from more than 50 ingredients currently out of favor with non-government organizations and some consumers; you know, ingredients like parabens, sulfates and mineral oil.

In December, Amorepacific took a minority stake in Milk Makeup, as part of the cult beauty brand’s planned expansion into South Korea. The companies describe the deal as a partnership; Milk Makeup expects to learn more about the Korean beauty market and Amorepacific hopes to uncover the indie brand’s fast-growing sales strategy. Last year, Milk Makeup expanded into the UK, Germany, Spain and Scandinavia.

The pandemic hammered Q1 2020 results. Domestic sales fell more than 22%, but there was a bright spot—online sales rose 80%. Amorepacific noted that 50-60% of stores were closed in China in February. It was even worse elsewhere; in the rest of Asia, as more than 80% of stores were closed at the end of March and in North America and Europe, more than 95% of stores were closed.
And yet, Amorepacific is moving ahead with new products and entry into new markets. For example, last month it launched Sulwhasoo in Nykaa in India. Sulwhasoo is Amorepacific’s signature luxury brand and it joins Innisfree (2013), Laneige (2018) and Etude (2019), which are available in India.

“In recent years, Nykaa has led the Korean beauty conversation in India, focusing on educating Indian customers on the novelty of the products and ingredients,” said Falguni Nayar, founder and CEO of Nykaa. “This has resulted in an incremental growth of the skin care category as our customers become more demanding and discerning about their choices. We are very excited to launch Sulwhasoo in India with its unique and innovative solutions which are sure to delight our customers.”

Last month, Amorepacific introduced Enough Project, which is billed as a “pragmatic beauty brand offered and delivered to those who do not comply to the rules set by others and live the life that is ‘enough’ for themselves.”

The simple design is said to appeal to all regardless of gender. All seven products are vegan-friendly, according to Amorepacific. The star product is Enough Project Moisture Cream, which contains the proprietary beta-hyaluronic acid, which is said to have about 1.5 times the skin regeneration effect of the hyaluronic acid shown in 24 hours. The formula also contains bakuchiol, a plant-based ingredient with similar benefits to retinol and a great antioxidant, according to Amorepacific, which maintains that the brand, “reflects the voices of our customers, taking note of the increasing customer needs for digital channel.”

Suh Kyung-bae, 57, is chairman and chief executive officer of Amorepacific. His father founded the company in 1945. According to Forbes, he is the ninth wealthiest person in South Korea, with a net worth of $3 billion.


Sales: 5.7 Billion

Sales: $5.7 billion.

Corporate sales rose less than 1% last year. AmorePacific beauty sales rose 3%, driven by an 8.2% increase in international sales, which accounted for 35.5% of revenue in 2018. Within AmorePacific’s domestic business, Luxury division sales rose 3.6% due to gains in travel retail and the success of several products including Sulwhasoo Bloomstay Vitalizing line, Hera Rosy-Satin cream and Vitalbeautie Jaeumbo Ampoules. Premium channel sales fell 11.3% due to adjustments in home shopping channel’s brand portfolio, according to the company. In contrast, the Daily Beauty business reported solid revenue growth within the digital channel, yet total revenue declined due to lower sales in hypermarkets and other offline channels. Within AmorePacific’s international business, sales in Asia rose 8.2% as the company expanded new market entry. Sales in North America rose on the strength of skin care sales; however, sales in Europe declined due to the termination of the Lolita Lempicka license.

Innisfree sales fell 7%, due to a decline in “roadshop” sales; yet, online revenue increased. Similarly, declining roadshop sales were blamed for a 16% drop in Etude division sales. Roadshops are simply shops on roads instead of high-end department stores.

During his New Year speech in January 2019, chairman Suh Kyungbae proposed this year’s management policy by saying, “Changes are golden opportunities for new innovations. We should not fear or hesitate and enjoy all changes happening now.”

In particular, Kyungbae mentioned changes of times and customers such as the 4th Industrial Revolution, Millennials and Generation Z, emphasizing, “Amorepacific must become a company that makes cosmetics with a better understanding of cosmetics than anybody rather than a company that merely produces good products.” He also added, “Let’s concentrate all our commitment and capabilities on creating and spreading Asian Beauty, which is a fundamentally new-level goal that goes beyond the K-Beauty trend.”

Kyungbae stressed the importance of “customer-centricity,” while focusing on three major tasks:

  • Development of innovative products;
  • Improvement of customer experience; and
  • Digital changes.

For the development of innovative products, “Beyond comparison” were proposed as the main keywords.

“Based on deep understanding and research, we have to develop the world’s first and world’s best products that are highly differentiated and could not be copied by others,” Kyungbae said.

Later, he proposed that in this omni-channel age that breaks the boundaries between online and offline, the group should offer infinitely multifarious customer experiences in and outside of stores while striving to create fandom based on interactions with customers.

Finally, Suh called for company-wide maximized use of digital media. Noting that “Digital and mobile have the largest impact on today’s cosmetics industry,” he emphasized that the group “should communicate with customers on all levels through multi-brands, multi-categories and multi-channels utilizing AI, big data and cloud computing from various angles.”

Still, Q1 2019 corporate sales fell 1.3%. Sales of beauty products declined just 0.4%. Taking a closer look at cosmetics results, AmorePacific’s sales rose 1%, but sales of Innisfree dropped 5% and Etude’s sales fell 23%.

Sales: 5.3 Billion

Sales: $5.3 billion

After years and years of year-on-year growth, sales fell 10% last year. To right the ship, the company is pursuing an aggressive overseas expansion plan. That makes sense considering Amorepacific’s domestic sales fell 16%, due to declines in the number of Chinese tourists and declining sales in duty-free channels and retail stores in tourist areas. CEO Suh Kyungbae blamed the domestic decline on economic recession and changing consumer environment. However, international sales rose 10%.

Sales of Innisfree fell 1% due to declines in tourism; but the brand increased the number of Green Lounges and VR zones, places where customers can experience the brands and the products. Etude sales fell 18% and AP blamed that decline on fewer tourists, too. To buck the trend, the brand opened a new flagship store and launched Color Factory, a personalized color service. Among smaller brands, sales of Espoir fell 14%, but sales of Aestura increased 10%, thanks to “robust” sales of medical beauty products such as Atobarrier and Regedermrx. Sales of Amos Professional products increased 5%.

For the first quarter of 2018, sales fell 10% too, although online sales grew, especially through direct-owned online malls, thanks to specialized digital marketing efforts and the launch of online-only products. Looking outside Korea, the company said it accelerated its global expansion with a focus on its five key brands (Sulwhasoo, Laneige, Mamonde, Innisfree and Etude House). For example, AP entered Australia via the launch of Laneige in Sephora, Mamonde entered the US through its debut in Ulta, Innisfree opened its first store in Japan, Etude House expanded into the Middle East and Hera entered Singapore. The strategy is working. Sales in Asia rose 7% helped by several new product launches such as Innisfree’s local launch of White Peony Tone-Up cream in China. In North America, sales surged more than 30% due to the launch of Laneige in Sephora, but sales in Europe dropped 54% when the Lolita Lempicka license expired.


Sales: 5.7 Billion

Sales: $5.7 billion

With 2016 sales rising 18% in local currency, AmorePacific continues to climb the ranks of the world’s biggest beauty companies. It ranks No. 8 on The International Top 30 list, but the company cracked the Top 10 in Women’s Wear Daily’s Global 100 beauty companies. Hitting that milestone has been a goal of the company for more than a decade.
As CEO Suh Kyungbae noted, the results underscored the company’s management slogan, “Together, We Can.”

Sales in Korea rose 12% to just over four billion won, but international sales jumped 35% as all five major brands— Sulwhasoo, Laneige, Mamonde, Innisfree and Etude—all posted an increase in sales.

Within the Korean market, prestige beauty sales increased as Sulwhasoo opened a flagship store and Hera expanded its Seoulista brand. Travel retail got a lift through the expansion of global and online stores and a new digital platform improved door-to-door efficiency. Mass sales were mixed, as the oral care business suffered from a toothpaste recall, but hair and body care sales benefitted from the consumer’s desire for premium-priced formulas. Outside Korea, Asian sales soared 38% thanks to the successful launch of Hera in China. Sales in North America got a double-digit lift following an expansion in Canada. Sales increased just 4% in Europe.

For the first quarter of 2017, sales rose 5.5% in local currency, but the rate of increase slowed due to a stagnant Korean economy and a decline in the country’s tourism. However, international sales rose 17% as the company opened new Sulwhasoo stores and Laneige expanded its customer base throughout Asia. Innisfree, too, grew throughout the region, especially in the large Indonesian market. European sales increased 7% following the decision to invest more in Annick Goutal. Only North American sales fell in Q1, as AmorePacific rejiggered its business portfolio to reverse a 16% decline in US results.


Sales: 4.1 Billion

Sales: $4.1 billion

With the beauty industry’s obsession for all things Korean, it’s no wonder that sales rose 23% last year at AmorePacific, Korea’s largest beauty company. After all, the company’s cushion cosmetic technology has become the darling of the beauty world with competitors introducing versions of their own and others, like Parfums Christian Dior, buying access to the concept.

In the luxury cosmetics category, Sulwhasoo’s sales topped 1 trillion won, while Hera makeup lines entered the Hong Kong travel retail channel. In fact, AmorePacific’s travel retail business exceeded 1 trillion won for the first time.

Korea still accounts for more than 70% of sales, but it is AmorePacific’s explosive growth in China that’s catching everyone’s eye. After years of watching from the shoreline, Chinese consumers are finally riding the Hallyyu Wave; i.e., the phenomenon of Korean entertainment and popular culture that gripped the rest of the world years ago. The surging interest in Korean culture helped AmorePacific’s sales in China to jump more than 60% in 2015 to account for more than 20% of revenue.

Just last month, the company opened two counters in Beijing’s Shin Kong Place and Hanguang department stores. According to AmorePacific, Chinese customers account for 67% of Hera’s duty-free sales in Korea. Online, the brand’s UV Mist Cushion recorded more than 160,000 search clicks per year on the China’s major online marketplace Taobao.

“Having created fundamental K-beauty values, Hera created a sophisticated culture around our vision of modern Korean women, namely ‘Seoulista’” said Eunim Lee, senior vice president of Hera division at Amorepacific. “I am convinced that our brand will resonate with Chinese customers. Through innovative products that perfect radiant skin, Hera aims to establish itself as the leading beauty brand in China.”

Elsewhere, the company increased US distribution for Sulwhasoo and Laneige and expanded into Canada. In addition, the AmorePacific brand was launched in Bloomingdale’s. Earlier this year, the company introduced its Aritaum shops in North America. Aritaum, derived from the Korean words beauty and place, feature a large but curated collection of premium Korean beauty products such as Iope, Laneige, Mamonde, Hanyul and Sulwhasoo. By the end of the year, Amore Pacific expects to have nearly 100 Aritaum locations in the US and Canada.

While Americans are grabbing all kinds of “K-beauty” items, the concept hit a snag in the Old World. AmorePacific said 2015 European sales declined due to weak consumer spending, euro depreciation and channel restructuring, according to the company.

The trend continued through Q1, as sales rose more than 23% during by a 45% gain in international markets.


Sales: 4.2 Billion

Sales: $4.2 billion

When industry executives talk about the Korean influence in the global beauty industry, they’re talking about AmorePacific. While most industry-leading companies are tickled with double-digit gains, AP has been posting 20%+ gains for years in a quest to become a top 10 company in the global beauty market. In recent years, Korean formulators in general and AmorePacific R&D in particular, have given the world a host of beauty concepts, such as BB creams and BB cushions. One of the newest to watch are products formulated with ingredients derived from Jeju Island, a popular tourist spot off the coast of the Korean Pennisula.

Following 2014’s results, AmorePacific has nearly reached its goal, despite beauty market weakness at home and abroad. Sales rose 21% last year. Domestic sales rose nearly 16% in 2014 and international sales surged more than 53%; during that time, duty-free sales jumped as Chinese visitors flocked to Korea.

Still the year wasn’t without challenges. Company executives noted that traditional luxury department store sales slumped, but AmorePacific increased its door-to-door efforts and found new growth in duty free channels, thanks to the opening of dufree stand-alone stores. Verite, an online-exclusive brand, continued to gain a following. AmorePacific boasts it is the No 1. player in the body care segment, thanks to the success of Happy Bath and Illi.

Within the domestic cosmetics market, the company is rebuilding its Etude brand to appeal to younger consumers. As part of that plan, company executives moved the eSpoir cosmetics line out from under the Etude umbrella and aimed eSpoir at consumers interested in the growing professional cosmetics market.

International sales surged on the growing popularity of the big five brands—Sulwhasoo, Laneige, Mamonde, Innisfree and Etude. China and other ASEAN countries led the way. Outside Asia, the US business turned a profit for the first time, thanks to the success of the Amorepacific and Aritaum brands in department stores.

For the first quarter, sales jumped nearly 27%. In June, Amore Pacific formed a partnership with Christian Dior regarding its cushion technology.

“This agreement holds great significance in that our ‘cushion’ technology is appreciated by one of the world’s most respected luxury brand companies and a powerhouse in the global beauty industry,” said Sang-Bae Shim, president, AmorePacific.


Sales: 3.5 Billion

Sales: $3.5 billion

Sales rose despite a sluggish domestic market that remained weak following recession and reduced consumer spending. That trend led to lower demand for luxury products in department stores, yet higher sales of mid- and low-priced products in mass retailers. Also providing a lift to AmorePacific’s sales was greater demand from online and home shopping channels.

Sales of cosmetics accounted for nearly 85% of sales last year, with personal care and green tea products representing the rest. By region, Korea accounted for 82.6% of sales, followed by China (10.8%), Asia (3.4%), Europe (2.4%) and North America (0.8%).

Sales of the AmorePacific brand rose 6%, even as sales in high-end department stores declined. To overcome that obstacle, the company focused on moderately priced brands and online sales. To boost door-to-door sales, AmorePacific introduced new products under its Iope and Laniege brands and introduced the moderately priced Modi Nail line. Online sales rose significantly, as demand for Verite, available only through home shopping networks, soared. Online sales of Sulwhasoo and Hera were also strong, according to the company. Sales of personal care products, such as hair care and body care, increased 8%, driven by gains for Illi.

Sales in China jumped 30%, due to the popularity of Laneige, Mamonde, Innisfree and Etude. In fact, AmorePacific says Laneige is the preferred premium cosmetic brand among young Chinese women, which explains its 40% sales gain last year.

Elsewhere, sales in North America increased 26% due to the introduction of new AmorePacific products in the US. And while sales declined overall in Europe, results in France got a boost from the popularity of Lolita Lempicka fragrances.

For the first quarter of 2014, sales increased nearly 16%, driven by gains in department store and travel retail sales, tempered by a decline in door-to-door sales. Outside Korea, sales in China were up on the strength of Laneige and Sulwhasoo. Sales rose in the US, too, as Laneige debuted in Target.


Sales: 3 Billion

Sales: $3.0 billion

AmorePacific is the No. 1 beauty company in Korea with a 39% share of the domestic market. Heady stuff, but the company is aiming to become one of the seven largest beauty companies in the world in less than a decade via its Vision 2020 plan.  The plan calls for group sales of $8 billion (at 2012 exchange rates), with international sales accounting for 39% of sales. To get there, the company expects to build 10 outer beauty megabrands and five inner beauty megabrands.

To achieve those goals, AmorePacific is committed to maintaining market dominance in the direct sales channel, even as it secures the largest share in department stores by attracting younger consumers. In addition, the company will try to boost sales of premium hair and body care products and expand its offerings in baby care and men’s care and develop products for an aging population.
Last year, international sales accounted for 11% of total turnover, as the company introduced its Mamonde brand in Japan; Sulwhasoo in Taiwan, Thailand Singapore and the US; Iope in Japan and Innisfree in China. To keep growing in China, AmorePacific is expanding both its product offerings and distribution channels in the country, even as it expands into the ASEAN region and India.
For the first quarter of 2013, sales rose 8.4% to more than $723 million billion due primarily to new product launches and accelerated international growth.


Sales: 2.3 Billion

Sales: $2.3 billion

Sales rose 12.4% last year. Luxury product sales were strong (up 11.4%) due to good results in department stores and duty-free shops. Sales rose more than 10% in door-to-door sales, although the company noted that sales slowed in the second half of 2011.

According to AmorePacific, sales rose more than 15% within its Aritaum store channel (1,300 stores in Korea) and the online and home shopping sales channel, driven by customer communication via social media and increased marketing activities. Premium brands such as Laneige and Iope posted good gains.

Mass market sales (which include the Sulloc tea business) surged 18%, driven by AmorePacific’s top hair care brands, Ryoe and Mise-en-Scene, which expanded its line of functional products to cater to more customized individual needs. In addition, the company’s top cleansing line, Happy Bath, expanded its market share with the addition of a body cleansing line as well as moisturizing products.

Korea accounts for more than 80% of company sales, but the company has operations throughout Asia, France and the US. Last year, international sales rose 30% to more than $350 million. China accounted for 46% of international sales last year. This year, AmorePacific is expanding its duty-free business in Hong Kong and Singapore, and is entering Indonesia, Malaysia and Vietnam.

Meanwhile, AmorePacific’s R&D program is for the beans—literally. The company created a beauty bean garden (2,803 meters square) in Paju City to identify beans that would make good candidates for beauty ingredients.

According to its Vision 2015, AmorePacific’s goal is to become a “global total care provider of beauty and health.” The company’s strategy is to grow into one of the world’s top 10 cosmetics companies by developing 10 megabrands. Company executives say that they will build a foundation for sustainable growth by continuously searching for new growth drivers. Based on its core competency in Asian beauty, AmorePacific is developing products that satisfy the demands of the global market. At the same time, company executives insist they are determined to make AmorePacific of the most respected beauty companies that represents social contribution, environmental responsibility and positive stakeholder engagement.

Sales: 1.7 Billion

Amore Pacific’s sales rose 16.4% in 2010 but operating profit fell 13.2% to about $296 million. Net profits rose 25.9% to $248 million. By channel, door-to-door sales represented 29.8% of total sales, posting year-over-year growth of 9.5%. Department stores accounted for 20.6% of sales, up 39.1% and the specialty channel accounted for 13.2%, up 1.5% for the year. The hypermarket channel accounted for 8.4% of sales, with 7.1% year-over-year growth, according to the firm.

Sales of Amore Pacific’s cosmetic unit were $1.4 billion, up 16%. Within cosmetics, the luxury segment represented 63% of sales, posting a gain of 20%. By brand, Sulwhasoo was up 22%, Hera gained 14% and Amore Pacific was up 36%, according to the company.The premium segment of its cosmetics unit accounted for 33% of sales, with brands such as Laneige (up 15%), Hannule (up 69%) and Iope (up 17%), turning in solid performances.

Sales within Amore Pacific’s Mass Cosmetics & Sulloc division rose 19% for the year to about $304 million. Mis-en-scene was up 19%, Happy Bath and Sulloc both posted 27% growth and Ryoe proved especially robust, posting a gain of 62%.

Looking at its international performance, Amore Pacific was pleased to report that the overseas business turned profitable, backed by solid sales growth and profitability in all regions. Sales were $292 million and operating profit was nearly $8 million, according to the company. China represented 42% of overseas sales (+22%), followed by France (29%), Asia, excluding China, (25%), and the US (3%).

This spring, Amore Pacific rolled out Sulwhasoo into mainland China. The range of premium herbal medicinal cosmetics is now being sold at Parkson department store and Shin Kong Place in Beijing. The firm plans to add as many as eight shops in high-class department stores in other major cities like Shanghai before the end of this year.

The move into China further expands Sulwhasoo’s international presence beyond its Korean routes; it entered Hong Kong in 2004 and launched in Bergdorf Goodman in New York City in June 2010. In addition, Amore Pacific opened the doors to the new Sulwhasoo Spa in Hong Kong in 2010.

Be sure to log on to this month to see and hear Mintel’s Taya Tomasello talk about AmorePacific’s Innisfree White Tone Up Sleeping Mask.


Sales: 1.3 Billion

Sales: $1.3 billion

Sales rose more than 15% last year, while net income soared nearly 33%. Sales of cosmetics accounted for 83% of sales. By distribution, door-to-door sales rose 6.2% to account for 31.7% of sales. Department store sales gained 19.3% to 17.2% of sales, specialty store sales rose 23% to 15.1% of sales and hypermarket sales jumped 24.9% to 9.2% of sales.

Sales of luxury cosmetics rose 10% on the strength of major brands such as Sulwhasoo, Hera and Amorepacific.

The remaining 17% of revenue is derived from the Amore Pacific’s personal care and green tea business. During the year, Mis-en-scene launched a premium product line and Ryoe became the No. 1 shampoo in the hair loss segment, as its sales jumped 137%. That helped the division’s sales rise 13% last year.

Fast Fact:
Amore Pacific’s founder Sung-Hwan Suh was a firm believer in the benefits of green tea. In fact, he created Amore Pacific’s tea garden at the foot of Halla Mountain on Jeju Island.

Sales outside Korea represent just 16% of sales, with China alone accounting for 42% of international sales. Last year, Chinese sales jumped 55% on the strength of the Laneige and Mamonde brands. Sales in Asia, excluding China, rose 8% to account for 20% of overseas sales. Sales rose in several countries including Taiwan (up 10%), Hong Kong (up 12%) and Malaysia (up 81%). France represented 34% of overseas sales, but posted a gain of just 1%. Finally, while the U.S. represents just 4% of overseas sales, the business posted a 25% gain in sales due to increases in Amore Shops, the company’s specialty store chain.

Last spring, the Sulwhasoo skin care brand made its U.S. debut at Bergdorf Goodman. Sulwhasoo is founded on the traditional philosophy of “Sang-Seng,” the belief that all things exist in relation to one another, and optimal vitality is achieved when these objects exist in harmony and balance. The highly coveted collection is synonymous with skin care, boasting more than half the herbal medicine cosmetics market share in Korea, according to the company. Headlining the collection is Sulwhasoo’s Concentrated Ginseng Cream ($220)—formulated with roots, berries and the water of rare six-year-old Korean ginseng.

This year, the company is targeting sales growth of 10%.

Sales: 1.4 Billion

Sales: $1.42 billion

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.

Sales: 1.8 Billion

Sales: $1.78 billion.

“2007 was a meaningful year in that we strengthened the foundation for long-term growth. We enhanced the company’s competitiveness, and reinforced the foundations for globalization amid  various changes in the global business environment,” Kyung-Bae Suh, president and chief executive officer of Amore Pacific wrote in his company’s 2007 annual report. As a result, AmorePacific’s sales were $1.78 billion.

Cosmetics sales rose 9.3% in Japan  and 24.8% in overseas markets. AmorePacific continued strong growth in the domestic market, securing its leading position in the prestige channels and exhibiting a strong performance in the mass cosmetics channel. The company said it was able to increase per counselor sales and enhance its business structure for a secure and stable level of growth in the door-to-door channel. In the department store sector, AmorePacific saw continued strong performance by reinforcing its men’s brands and the makeup categories. The firm also revamped its discount store channel distribution structure, which has “ironed out” the disparities among the various channels.

By brand, Sulwhasoo strengthened its leading position in the oriental herbal cosmetics  market, backed by the release of new products such as Su Essence, and the continuous growth of products such as Jaeumsaeng Cream and Yunjo Essence.

Seen as a growth driver, AmorePacific extended its inner beauty brand V=B with Yeginseng, a red ginseng line.

Amore Pacific has a lofty goal: it wants to become one of the world’s top 10 cosmetics companies by 2015. And like its competitors, Amore is looking to neighboring China to grow sales. Among its many efforts, the firm has been increasing Mamonde’s presence at specialty and department store counters and boosting promotional activities

In North America, AmorePacific is re-launching its brand, and is seeking sales space in duty-free shops.

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