• International Area Studies Review
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• v.21 no.2
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• pp.121-141
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• 2017

The world whitening cosmetics market is fast being taken in 'complex functional cosmetics' including complex function. And highly functional cosmetics market that call cosmeceutical market is growing up with highly functional cosmetics market. In addition, natural cosmetics market including whitening function is growing up in the world in complex functional cosmetics. Distribution channel of the world functional cosmetics is digital communication through beauty and digital. Global companies are adding relationship in new space between customer and brand. So worldwide change phenomenon of whitening cosmetics distribution channel will suggest importance that it should be able to communication with customer in non-traditional space. Domestic whitening cosmetics market is decreasing to reference compound annual growth rate -3.61%. While complex type market is increasing to annual growth rate 33.28%. Since 2008, domestic whitening cosmetics market was changed in distribution channel of center of traditional door-to-door sales. Especially, online channel is about 1/6 level of offline, but since 2014, year-on-year increase rate of online showed 27.1%. In the future, it is anticipated that ratio of online sales is above offline. Whitening cosmetics distribution is being changed, and online channel is growing up, so domestic companies will need tragedy targeting new whitening cosmetics distribution channel and traditional offline channel at the same time. If new company go into whitening cosmetics market, the new company will have to consider natural cosmetics in complex functional cosmetics than whitening cosmetics market. To secure domestic competitiveness whitening cosmetics market, securing differentiation of brand or pursuing change of distribution channel, and we need to seek a method that company and customer can forge communication in new space.

• Journal of Distribution Science
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• v.18 no.1
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• pp.5-13
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• 2020

Purpose: The purpose of this study is to examine the growth and change process of Korean cosmetic market that has grown more than three times since 2000. It also examined how the growth and decline of the cosmetics brands are related to the change of the cosmetic distribution structure. Research methodology: This study tried to classify the change of the Korean cosmetics market into four stages based on the market sales information. It analyzed the sales information of Korean cosmetic companies and the relationship with the sales of the brands by distribution channel. Results: One-brand store channel had played a leading role in the market growth, and multi-brand stores have grown and a number of brands also grew through that channel since 2013. Since 2016, multi-brand stores have continued to grow and have dominated the market beyond one-brand store channel. Conclusions: The changes in sales of domestic cosmetics companies have been classified based on the distribution channel type in four stages: the emergence of one-brand store, the growth of one-brand store channel, the growth of multi-brand store channel, and the decline of one-brand store channel. In conclusion, multi-brand store channels have recently grown in the Korean cosmetics market, and this trend is expected to continue.

• Journal of Distribution Science
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• v.19 no.7
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• pp.75-85
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• 2021

Purpose: This study is focused on analyzing the key reasons why One-brand Shop has been shrinking and Multi-brand shop is rising from the perspective of the trend changes of customer behavior and distribution channel in the Korean cosmetic market. The purpose of this study is to examine the factors influencing the attractiveness of cosmetics distribution channels from a store perspective and a consumer perspective. Research methodology: This study conducted a survey to define the factors that influence the attractiveness of cosmetics distribution channels. A total of 300 samples were investigated. Results: The store factors that influence the attractiveness of the cosmetics distribution channel were product quality, shopping convenience, and store accessibility in the group of single-brand store preferences, and product diversity and store experience in the group of multi-brand store preferences. Conclusions: Core competing factors of One-brand shop include product value, shopping convenience and accessibility. In contrast, Multi-Brand shops offer core competing factors of diversified product portfolio and shop function experience. A new trend has been found that the customer segments of the price-oriented group and the pleasure-oriented group have become the mainstream segments in the Korean cosmetic market. In conclusion, Multi-brand Shops are suggesting better overall customer experiences in terms of distribution channel attractiveness and customer values.

• Journal of Distribution Science
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• v.16 no.5
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• pp.17-29
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• 2018

Purpose - This study analyzed the success strategy of Korean small & medium cosmetics exporting companies to enter the Southeast Asian market. Research design, data, and methodology - The independent factors are classified into firm capacity, financial factor, institutional factor, and operational factor. The results of the selection of distributor partners of cosmetics related export companies as a were classified as financial performance and non - financial performance. In order to analyze this, 65 Korean small and medium export companies were recruited through structured online questionnaire for 44 days from September 18, 2017 to October 31, 2017. These data were analyzed by frequency analysis, correlation analysis, factor analysis and regression analysis using SPSS. Results - The Cronbach's alpha coefficient was found to be 0.846. Factor analysis between variables revealed that the eigen value exceeded 1 and was considered valid. As a result of the correlation analysis between the variables, the financial factor and the corporate's competence showed the highest correlation with 0.774. Conclusions - Among the factors influencing the financial performance of the exporting firms, the factors influencing the financial performance of the exporting companies are the factors that influence the non - financial performance rather than the financial performance.

• Journal of Fashion Business
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• v.20 no.1
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• pp.1-16
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• 2016

Korean cosmetic distribution channels were formerly divided into sales visits and specialty shops, which made up the entire cosmetics market. However, recently the market and cosmetic distribution channels have become much more diversified. Thus, research for this study focused on the usage and purchase situations of cosmetic distribution channels depending on cosmetic type perception. This study also focused on the intent to purchase cosmetics by a cosmetic distribution channel in order to provide a precise cognitive background of consumers regarding cosmetic distribution channels. In doing so, the competitiveness of those channels could be procured and the causal relationships between these variables can be investigated. To achieve these purposes, the research model and hypotheses were derived through literature research on the cosmetics industry, cosmetic distribution channels, and consumers' intent to purchase. A survey was implemented from September $1^{st}$ to $14^{th}$, 2014 for empirical testing. and was given to female consumers in their 20s. 468 out of 500 surveys were collected; a total of 415 were used for analysis while the others were excluded due to with unreliable responses. The SPSS 21.0 program was used for analysis of materials. The overall conclusion of this study is that there is a relationship between perception of cosmetic distribution channels and intent to purchase. The above research results may stimulate establishment of marketing implications and research material when establishing marketing strategies to promote cosmetic distribution and consumption.

• The Journal of Industrial Distribution & Business
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• v.14 no.9
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• pp.1-11
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• 2023

Purpose: The cosmetics industry is dynamic and constantly evolving. The hair and beauty field is characterized by being very sensitive to social trends. Therefore, it is necessary to understand the intellectual structure of the social function of hair beauty and to analyze the research and industrial trends related to the beauty field. This study is a literature review and presents specific and practical development plans and growth strategies for the hair care market. Research design, data, and methodology: This review study was conducted by searching PubMed, Google Scholar, Riss, Scopus, and Research Gate. We prepared this by referring to keywords such as the beauty care industry, sustainable development, hair care, hair cosmetics, and hair care market. A total of 468 papers were searched, of which 60 were finally included in this study on the PRISMA flowchart. Results: For good consumption and continuous development of hair cosmetics, it will be necessary to clearly understand the beauty and cosmetic needs of various generations. Conclusions: As income level improvement and quality of life become more important, Korea's beauty industry is attracting a lot of attention as a growth industry that transcends gender and age amid social and cultural development, and its importance is expected to grow in the future.

• Journal of Fashion Business
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• v.21 no.1
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• pp.88-98
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• 2017

This study intended to investigate correlations between the consumption tendency, determination factors of the distribution of Korean cosmetics, and purchasing patterns of Korean cosmetics. This study investigated characteristics and differences between each factor by analyzing consumption tendency, determination factors of distribution channels, and purchasing patterns of Korean cosmetics of adult women in their 20 ~ 50s who have used Korean cosmetics and reside in Beijing, China. It also, investigated the effect of the shopping propensity of consumers on determination factors of the distribution channels and purchasing patterns of Korean cosmetics. According to the results of our investigation, it was identified that 'pleasure-seeking tendency' and 'brand-seeking tendency' have postive effects on 'service', and 'pleasure-seeking tendency', 'brand-seeking tendency', and 'rational purchasing propensity' have positive effects on 'professionalism'. In regards to the effect of shopping propensity on purchasing patterns of Korean cosmetics, it was identified that 'brand-seeking tendency' has a positive effect on 'planned purchasing behavior', 'brand reputation seeking behavior', and 'dedicated purchasing behavior'. It was verified that 'rational purchasing propensity' has positive effect on 'planned purchasing behavior', 'pleasure-seeking tendency' and 'trend-seeking tendency' on 'brand reputation seeking behavior', and 'trend-seeking tendency' on 'dedicated purchasing behavior'. This study is expected to provide basic data for Korean cosmetics brands to use for improving the marketing of products entering the Chinese market by using appropriate distribution channels. These channels are determined through identifying the correlation of each factor consumption tendency of Chinese women, determination factors of the distribution channels Korean cosmetics, and purchasing patterns of Korean cosmetics.

• Journal of Distribution Science
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• v.13 no.6
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• pp.79-86
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• 2015

Purpose - The cosmetics industry is a traditional high value-added industry in terms of the domestic demand, small batch production systems, exclusive competition, and raw materials highly dependent on overseas countries as well as an oligopolistic market structure. However, new foreign brands and growing consumer awareness of inexpensive products, has triggered a shift. In line with changing lifestyles and the polarization of consumption, the industry faces a new market structure. Among its key characteristics is the cosmetics industry's numerous distribution channels (i.e., department stores, door-to-door sales, online shopping malls, brand shops, and discount stores). Therefore, the study of its distribution channels is essential. Research design, data, and methodology - The study analyzed channel distribution power divided into coercive and non-coercive power. The factors of coercive power included: unilateral request of an increase in commissions, interference in sales by taking advantage of a superior status, unilateral buck-passing at the time of a problem, unilateral request to stop sales activities, and a unilateral business contract; the factors of non-coercive power included favorable payment conditions, offers of various kinds of information, policy on commission reduction, pride in market entrance, and promotion support. In addition, the mediating variable "interdependence" was applied to the execution of department store (or mart) power and their shop conflicts and satisfaction to examine direct and indirect influential power. The methodology was a survey of managers of cosmetics shops in department stores (or marts). The questionnaire, based on a five-point Likert scale, included questions about basic personal information, execution of power, interdependence, conflict, and satisfaction. The study distributed 198 questionnaires and collected 131. Ten questionnaires with missing or hard to analyze data were excluded. Thus, 121 copies were analyzed. Results - According to the analysis, the execution of coercive power by department stores (or marts) did not affect interdependence, but the execution of non-coercive power did. Interdependence did not influence conflict, but did affect satisfaction. Additionally, the analysis revealed direct influential power: the execution of coercive power positively affected conflict and negatively influenced satisfaction; the execution of non-coercive power positively affected satisfaction. Conclusions - To offer suggestions for distribution business relations in the cosmetics industry, this study investigated how the execution of power by department stores (or marts) affected their shops. More specifically, it examined how much the execution of both coercive power and non-coercive power influenced conflict and satisfaction, and analyzed the mediating role of interdependence. In line with previous study results in various areas, coercive power was shown to be the source of conflict, leading to a decrease in satisfaction, whereas non-coercive power significantly positively influenced satisfaction. Moreover, non-coercive power increased interdependence, which led to greater satisfaction. As a result, interdependence had a mediating effect on non-coercive power and satisfaction. Based on the results, department stores (or marts) should look for improvements plans that increase interdependence. Such plans could alleviate conflict with the shops, increasing their satisfaction.

• Journal of Distribution Science
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• v.17 no.1
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• pp.73-87
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• 2019

Purpose - This research aims to investigate the effects that the selection of oriental medicine cosmetics and brand asset attributes have on consumers' economic, emotional and social values in order to shed light on the forms and characteristics of consumption within the globally developing oriental medicine cosmetics market, and in the end positively verify how such perceived values affect purchase intention. In addition, it proposes research outcomes by comparing the differences between national and cultural consumer purchase behavior based on the comparisons of consumer groups in South Korea and China, the major markets for oriental medicine cosmetics. Research design, data, and methodology - Based on advanced research a total of 9 hypotheses were designed and questionnaires consisting of 16 questions to identify six major variables were conducted. Research was carried out centered on Seoul, South Korea, and its surrounding metropolitan area as well as Beijing and Shanghai, China, and a total of 577 sets of significant data were collected. A comparison analysis was then conducted on the data from 285 Koreans and 292 Chinese. A regression analysis and path analysis were also carried out based on a structural equation model to suggest results. Results - Research results show brand value assets had a more crucial impact on consumers' perceived value than consumer selection of oriental medicine cosmetics, while emotional value had a bigger effect on purchase intension than social or economic values. For Chinese consumers in particular, social, economic and emotional values affected purchase intention, while emotional value was the most crucial factor for Korean consumers. Conclusions - With oriental medicine cosmetics, brand characteristics and images that helped express emotional desire proved to be more effective in marketing than the performance aspect of cosmetics, including their functions and ingredients. In the end, products that highlight individual desire and emotion should be introduced instead of those that emphasize price, functions and social characteristics in order to expand the global market of oriental medicine cosmetics.

• Fashion & Textile Research Journal
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• v.24 no.4
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• pp.460-470
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• 2022

Customized cosmetics are emerging as a consumer product that companies should pay attention to in the beauty industry due to the combination of market trends and institutional introduction of customized cosmetics. In this study, six offline service brands and online service brands currently in Korea were selected to understand the current status of domestic customized cosmetics online and offline services and to derive detailed characteristics, and the cases of each brand were analyzed. The results are as follows. First, customized cosmetics services could be classified online and offline. Second, customized cosmetics brands could be divided into general brand types and brand extension types. Third, skin data measurements could be classified into genetic analysis, big data-based surveys, and device measurements. Fourth, customized cosmetics manufacturing could be classified into a device manufacturing system, a consultant manufacturing system, and an individual production process system. Fifth, customized cosmetics distribution and delivery could be classified into same-day sales, general delivery, and regular delivery. The results of this study are meaningful in that they have identified and analyzed the current status of personalized cosmetics on-line and offline systems in recent trends, and it was confirmed that creative attempts in the domestic customized cosmetics market continue to change. It is hoped that this study will provide information and ideas to the beauty industry and related experts in the future and be used as basic data for customized cosmetics marketing