Market Overview
| Study Period | 2020 - 2030 |
|---|---|
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 3.22 Billion |
| Market Size (2030) | USD 4.32 Billion |
| Growth Rate (2025 - 2030) | 6.05% CAGR |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
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South Korea Cosmetic Products Market Analysis by Mordor Intelligence
The South Korea cosmetic products market size is estimated at USD 3.22 billion in 2025, and is expected to reach USD 4.32 billion by 2030, at a CAGR of 6.05% during the forecast period (2025-2030). Core growth stems from surging demand for clean-label ingredients, the proliferation of live-commerce, and technology-enabled personalization tools that improve product matching and lessen return rates. Domestic majors leverage vertically integrated R&D to refresh legacy hero SKUs while hundreds of indie labels, supported by ODM giants, feed consumers’ appetite for novelty and niche positioning. Luxury houses are migrating to local e-commerce marketplaces, where mobile-first millennials and Gen Z shoppers seek convenience and exclusive drops, offsetting sluggish department-store traffic. Meanwhile, the government’s stricter ingredient-safety protocols and counterfeit crackdowns heighten compliance costs yet lift overall consumer confidence, creating a regulatory moat that favors well-capitalized players. Exports top USD 10.2 billion, ranking third globally, underscoring the sector’s dual domestic and outbound opportunity mix.
Key Report Takeaways
- By product type, Facial Cosmetics led with 41.22% of the South Korea cosmetics products market share in 2024, while Lip and Nail Make-up Products are projected to record the fastest 7.32% CAGR through 2030.
- By category, Conventional formulations captured 73.44% share of the South Korea cosmetics products market size in 2024; Organic products will expand at an 8.32% CAGR to 2030.
- By price range, Mass-market lines accounted for 55.67% share of the South Korea cosmetics products market size in 2024, whereas Premium lines are set to rise at a 6.52% CAGR through 2030.
- By distribution channel, Health and Beauty Stores held 54.62% of the South Korea cosmetics products market share in 2024, with Online Retail Stores predicted to post the quickest 7.55% CAGR over the outlook period.
South Korea Cosmetic Products Market Trends and Insights
Driver Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Inclusive Product Assortments for Diverse Consumers | +0.6% | National, with early gains in Seoul metropolitan area and Busan | Medium term (2-4 years) |
| Increasing Preference for Natural and Clean Formulations | +0.9% | National, spill-over to export markets (US, Japan, Europe) | Long term (≥ 4 years) |
| Enhanced Brand Visibility Through Promotions and Sampling | +0.5% | National, concentrated in Seoul, Seongsu-dong, and tier-2 cities | Short term (≤ 2 years) |
| Influence of Social Media and Online Personalities | +1.1% | National, amplified by the global K-pop and Hallyu wave, reaches | Short term (≤ 2 years) |
| Heightened Awareness of Contemporary Beauty Trends | +0.7% | National, with Seoul and Gyeongsang regions leading adoption | Medium term (2-4 years) |
| Growth of E-Commerce and Digital Sales Platforms | +1.2% | National, accelerated by Coupang, Naver, and Olive Young, online expansion | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Inclusive Product Assortments for Diverse Consumers
Brands are expanding shade ranges and formulation options to address South Korea's increasingly heterogeneous consumer base, which includes expatriates, multicultural families, and domestic consumers seeking personalized solutions. Amorepacific introduced an in-store robot foundation matching across more than 100 shades, enabling precise color selection that previously required multiple testers. This inclusivity extends beyond complexion products. Hera's expansion into Thailand in August 2024 showcased liquid foundations and lip tints tailored for Southeast Asian skin tones, signaling that domestic learnings are informing export strategies. The shift reflects recognition that one-size-fits-all formulations no longer satisfy consumers who expect brands to acknowledge individual skin types, undertones, and lifestyle preferences.
Increasing Preference for Natural and Clean Formulations
Consumer demand for natural and organic ingredients is accelerating, driven by heightened awareness of synthetic chemical risks and a broader wellness movement. Isoi's whitening serum, which contains Bulgarian rose oil and arbutin, held the number-one position in Olive Young's essence category for 11 consecutive years and launched a limited 1+1 promotional set in March 2024, underscoring sustained interest in plant-derived actives. PNStory, a vegan K-beauty SME founded in 2017, reported a significant year-on-year sales growth after securing listings at Incheon Airport duty-free and Olive Young, leveraging patented phytoncide and bamboo-water formulations that underwent clinical trials and hypoallergenic testing. The Ministry of Food and Drug Safety's 2025 amendments to ingredient-safety protocols further incentivize brands to adopt clean formulations, as compliance with stricter standards becomes a competitive differentiator [1]Source: The Ministry of Food and Drug Safety, "Regulations", mfds.go.kr.
Enhanced Brand Visibility Through Promotions and Sampling
Experiential marketing and large-scale promotional events are proving effective in driving trial and conversion, particularly for emerging indie brands lacking established distribution. Musinsa hosted a Beauty Festa pop-up in Seongsu-dong from August 29 to 31, 2024, featuring 36 brands, 86% of which were small- and medium-sized enterprises, 28% launched within the past three years, and 81% lacked their own physical stores. The event attracted significant foot traffic through experiential features such as a photo booth generating personalized "Beauty ID Cards" based on skin type and color, alongside Lucky Box promotions offering products worth KRW 500,000 (approximately USD 375). Lotte Duty Free ran a month-long online festival in April 2024 with 486 brands and discounts up to 70%, leveraging rising international travel.
Influence of Social Media and Online Personalities
Social media platforms and beauty creators wield outsized influence over purchase decisions, with brands increasingly structuring campaigns around influencer partnerships and live-commerce broadcasts. Amorepacific's Mise-en-scène launched a global campaign in May 2024 with K-pop group aespa as ambassadors, releasing five short-form ads tailored to each member and promoting personalized hair-serum solutions across approximately 10 countries, including Korea, China, Japan, Thailand, Indonesia, and Malaysia. Olive Young's live-commerce platform recorded seven broadcasts in orders in the first half of 2024, all featuring new-entry brands or product launches, demonstrating that creator-led content can generate material sales for emerging players. The integration of KakaoTalk Gift and Naver Brand Store into daily consumer routines amplifies reach, as younger cohorts prefer seamless mobile purchasing over traditional e-commerce checkouts.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Increase in Counterfeit and Fake Products | -0.4% | National, with a higher incidence in online marketplaces and cross-border e-commerce | Short term (≤ 2 years) |
| Elevated Import Duties on International Cosmetic Brands | -0.3% | National, affecting international brands without FTA benefits | Medium term (2-4 years) |
| Strict Safety and Regulatory Compliance Requirements | -0.5% | National, governed by the Ministry of Food and Drug Safety (MFDS) | Long term (≥ 4 years) |
| Allergic Reactions to Synthetic Cosmetic Ingredients | -0.3% | National, with heightened scrutiny on parabens, phthalates, and formaldehyde | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Increase in Counterfeit and Fake Products
Counterfeit cosmetics undermine brand equity and pose safety risks, prompting intensified enforcement by the Ministry of Food and Drug Safety. MFDS launched crackdowns in 2024, imposing penalties on distributors selling fake products and tightening traceability requirements for online marketplaces. The proliferation of counterfeit goods is particularly acute in cross-border e-commerce, where lower-priced imitations exploit consumer price sensitivity and erode trust in authentic products. Brands are responding by integrating blockchain-based authentication and QR-code verification, but the cat-and-mouse dynamic with counterfeiters persists. The reputational damage from safety incidents linked to fake products can spill over to legitimate brands, making industry-wide collaboration on anti-counterfeiting measures a strategic priority.
Elevated Import Duties on International Cosmetic Brands
South Korea applies an 8% general tariff on cosmetics imports, raising landed costs for international brands without free-trade agreement benefits. This duty structure creates a pricing disadvantage relative to domestic manufacturers, particularly in the mass-market segment where consumers exhibit high price elasticity. While FTAs with the European Union and the United States mitigate tariffs for certain brands, smaller international players lacking FTA coverage face margin compression or must pass costs to consumers, limiting their competitiveness[2]Source: European Commission, "EU-South Korea Free Trade Agreement", trade.ec.europa.eu. The tariff environment indirectly benefits domestic majors and ODM specialists, who can leverage local production to avoid import duties and respond more rapidly to trend shifts without cross-border logistics delays.
Segment Analysis
By Product Type: Facial Cosmetics Lead, Lip and Nail Surge
Facial Cosmetics held a 41.22% share in 2024, reflecting entrenched consumer investment in skincare-makeup hybrids such as cushion compacts, BB creams, and tinted moisturizers that deliver coverage while addressing hydration and UV protection. Lip and Nail Make-up Products will grow fastest at 7.32% CAGR through 2030, propelled by the demure makeup trend's emphasis on subtle, muted lip colors and the rise of gel-polish formulations that extend wear time without salon visits. Eye Cosmetics occupies a middle position, benefiting from innovations in long-wearing eyeliners and multi-use shadow sticks that simplify application for time-pressed consumers. Hera's Sensual Powder Matte lip tint, introduced during the brand's Thailand expansion in August 2024, exemplifies the shift toward MLBB (my lips but better) shades that align with natural aesthetics.
The product-type segmentation reveals a strategic tension between established categories and emerging opportunities. Facial Cosmetics remains the largest segment due to the Korean beauty ritual's emphasis on pre-makeup skincare, and the global popularity of cushion compacts. Laneige's Neo Cushion, which won a Red Dot Award in May 2025 for its refillable design, illustrates how sustainability concerns are being integrated into core product formats. Lip and Nail products are gaining share as consumers seek affordable self-expression tools that deliver visible transformation without the complexity of full-face makeup. Eye Cosmetics face competition from minimalist trends that prioritize skin over color, yet innovations such as CLIO's Kill Cover line, offering multiple cushion variants and high-coverage concealers, demonstrate that brands can sustain relevance by addressing specific pain points like dark circles and blemishes.
Note: Segment shares of all individual segments available upon report purchase
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By Category: Conventional Dominates, Organic Accelerates
Conventional products commanded a 73.44% share in 2024, underscoring the reality that most consumers prioritize efficacy, texture, and price over organic certification. The Organic segment will expand at 8.32% CAGR through 2030, driven by younger cohorts who view clean-label formulations as aligned with broader wellness values and environmental responsibility. Brands such as PNStory, which secured vegan certification and underwent hypoallergenic testing, reported year-on-year sales growth after entering Olive Young and Incheon Airport duty-free, demonstrating that organic positioning can unlock premium pricing and distribution access. The Ministry of Food and Drug Safety's 2025 amendments to ingredient-safety protocols further incentivize organic formulations, as brands seek to preempt regulatory risk by adopting cleaner ingredient decks.
The category split highlights a bifurcation in consumer priorities. Conventional formulations benefit from decades of R&D investment, established supply chains, and consumer familiarity, making them the default choice for mass-market buyers focused on value. Organic products appeal to a smaller but growing segment willing to pay premiums for transparency, natural sourcing, and sustainability claims. Isoi's Cera MD Repair Lotion, which received functional approval from MFDS for itch relief caused by dryness, combines organic positioning with clinical efficacy, bridging the gap between wellness and performance. Brands that successfully communicate both clean credentials and tangible benefits, such as improved barrier function or reduced irritation, will capture disproportionate share in the Organic segment's high-growth trajectory.
By Price Range: Mass Holds Majority, Premium Gains Momentum
Mass-market products accounted for 55.67% of 2024 sales, reflecting South Korea's price-sensitive consumer base and the dominance of value-oriented retailers such as Olive Young, which operates over 1,400 stores domestically and has become the primary discovery channel for new brands. Premium offerings will grow at a 6.52% CAGR through 2030, propelled by luxury brands' strategic pivot to Korean e-commerce platforms and the aspirational appeal of imported prestige labels among affluent millennials. Naver Brand Store brands rose from 61 in 2021 to 87 in 2024, as luxury players recognized that digital channels could reach younger consumers who avoid department stores. Shiseido's Clé de Peau Beauté opened a spa in Seoul in March 2025, combining retail with experiential services to justify premium pricing and deepen brand engagement.
The price-range dynamics underscore a market where volume and value strategies coexist but serve distinct consumer segments. Mass-market brands leverage ODM partnerships with Cosmax and Kolmar Korea to achieve cost efficiencies and rapid product iteration, enabling aggressive promotional pricing. Olive Young's live-commerce broadcasts frequently feature discounts up to 70%, driving trial among budget-conscious shoppers. Premium brands, facing margin pressure from elevated import duties and distribution costs, are investing in brand storytelling, limited-edition collaborations, and personalized services to justify higher price points.
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By Distribution Channel: Health and Beauty Stores Anchor, Online Surges
Health and Beauty Stores captured 54.62% of 2024 distribution, anchored by CJ Olive Young's near-monopoly in the specialty retail segment. The retailer opened a dedicated live-commerce studio in October 2024 to strengthen its mobile broadcast platform, where viewers rose year-on-year in the first half of 2024. Online Retail Stores will grow fastest at a 7.55% CAGR through 2030, driven by live-commerce adoption, AI-powered virtual try-on tools, and same-day delivery services that compress the gap between discovery and purchase. Supermarkets and Hypermarkets serve a convenience-driven segment seeking everyday essentials, while Other Distribution Channels, including duty-free, direct-to-consumer, and pop-up formats, cater to niche audiences and experiential shoppers.
The channel landscape reflects a structural shift from passive browsing to active engagement. Olive Young's introduction of "Partner Live" in October 2024 allows merchant brands to run their own live broadcasts with production and marketing support, democratizing access to live-commerce and enabling smaller brands to build direct relationships with consumers. Online channels offer superior economics for brands, lower overhead, real-time inventory visibility, and granular consumer data, but require investment in content creation, influencer partnerships, and logistics infrastructure. The 7.55% CAGR for Online Retail Stores suggests that digital-first brands will capture disproportionate growth, while traditional retailers must integrate experiential elements and omnichannel capabilities to defend share.
Competitive Landscape
The South Korea cosmetics products market exhibits moderate concentration, as domestic majors Amorepacific and LG Household & Health Care command substantial shares through vertically integrated operations spanning R&D, manufacturing, and multi-brand portfolios, yet face persistent pressure from indie brands enabled by ODM specialists Cosmax and Kolmar Korea. The competitive dynamic favors agility; brands that rapidly iterate on trends, leverage influencer partnerships, and adopt AI-powered personalization tools are capturing share from incumbents burdened by legacy product lines and slower decision cycles.
Opportunities exist in personalized cosmetics, and grew year-on-year, with 64.7% of consumers aware of customized offerings and 85.4% expressing willingness to recommend such products. Technology adoption is becoming a strategic imperative for competitive positioning. Amorepacific's six consecutive CES Innovation Awards, including recognition in 2025 for an AI makeup application tool, illustrate how integrating generative AI, voice interaction, and virtual try-on can differentiate brands in a crowded market.
APR Corp, a beauty-tech startup, reported overseas sales exceeding KRW 100 billion (approximately USD 75 million) in the third quarter of 2024, with overseas revenue rising 78.6% year-on-year, demonstrating that device-led strategies can unlock premium pricing and global distribution. Emerging disruptors such as Mixsoon and Skinidea are securing listings at Costco and developing dedicated brands for US consumers, leveraging K-beauty's global reputation while avoiding the commoditization risks of mature domestic channels. The interplay between scale advantages and niche innovation creates a dynamic ecosystem where no single strategy guarantees sustained leadership.
South Korea Cosmetic Products Industry Leaders
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Amorepacific Corporation
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LG Household & Health Care Co., Ltd.
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Kolmar Korea Co., Ltd.
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Cosmax Co., Ltd.
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CJ Olive Networks
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- November 2025: Major Korean retail companies intensified their efforts to enter the beauty market by launching in-house cosmetic brands and investing in original design manufacturers (ODMs), as K-beauty gained global recognition. Lotte On, the online platform operated by Lotte Shopping, showcased its new beauty brand TwinWhale during Lotte On's “Viewcera” beauty promotion event. The brand was co-developed with partner firms and focused on skin-radiance products targeting consumers in their 20s and 30s.
- July 2025: Cosmetics contract manufacturer Kolmar Korea reportedly completed its second U.S. factory in Scott Township, Pennsylvania. This expansion effectively increased its tariff-free production base for K-beauty brands aiming to grow in the West, as well as for Western brands requiring production for the North and South American and European markets.
South Korea Cosmetic Products Market Report Scope
Cosmetics are products applied to the body for cleansing, beautifying, and altering appearance. These include makeup products for the face, eyes, lips, and nails that enhance physical appearance, hygiene, and well-being. The South Korea cosmetics market is segmented by product type, category, price range, and distribution channel. Based on product type, the market is segmented into facial cosmetics, eye cosmetics, and lip and nail make-up products. The price range segment is divided into premium and mass products. Based on category, the market is segmented into natural and organic and conventional/synthetic. Based on the distribution channels, the market is segmented into specialty stores, supermarkets/hypermarkets, online retail stores, and other distribution channels. The market sizing has been done in value terms in USD for all the abovementioned segments.
By Product Type
| Facial Cosmetics |
| Eye Cosmetics |
| Lip and Nail Make-up Products |
By Category
| Conventional |
| Organic |
By Price Range
| Mass |
| Premium |
By Distribution Channel
| Supermarkets/Hypermarkets |
| Health and Beauty Stores |
| Online Retail Stores |
| Other Distribution Channels |
| By Product Type | Facial Cosmetics |
| Eye Cosmetics | |
| Lip and Nail Make-up Products | |
| By Category | Conventional |
| Organic | |
| By Price Range | Mass |
| Premium | |
| By Distribution Channel | Supermarkets/Hypermarkets |
| Health and Beauty Stores | |
| Online Retail Stores | |
| Other Distribution Channels |
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Key Questions Answered in the Report
What is the current value of the South Korea cosmetics products market?
The market is valued at USD 3.22 billion in 2025 and is projected to reach USD 4.32 billion by 2030.
Which product segment is growing fastest in South Korea?
Lip and Nail Make-up Products are forecast to grow at a 7.32% CAGR through 2030, the quickest among all categories.
How significant are online channels for beauty sales in South Korea?
Online Retail Stores are the fastest-growing channel, expected to post a 7.55% CAGR as live-commerce and AI virtual try-ons gain traction.
Why are clean-label cosmetics gaining popularity?
Heightened awareness of synthetic ingredient risks, stricter MFDS regulations, and wellness trends are driving an 8.32% CAGR for Organic products.
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