AmorePacific Group Chairman Suh Kyung-bae
South Korea’s largest cosmetics conglomerate AmorePacific Group is set to conquer the fast-growing Middle Eastern beauty market with its first cosmetics outlet in the region slated to be opened in Dubai, the United Arab Emirates later this year.
The cosmetics company said on Wednesday that it late last month signed an agreement with Kuwait-based retail giant Alshaya Group to join hands to launch the first shop of Etude House, AmorePacific’s color make-up brand targeting young consumers, in Dubai by the second half of this year. The company plans to tap into the beauty product market in other Middle Eastern countries including Kuwait, Saudi Arabia, and Qatar later.
The opening of the first Etude House comes after the company’s relentless efforts to enter the Middle Eastern cosmetics market for a long period. The company has conducted various market researches to look into the feasibility of its beauty business in major cities across the Middle East like Dubai, Abu Dhabi, Tehran, and Istanbul before it finally established a wholly-owned subsidiary AmorePacific Middle East in U.A.E’s state-led fashion and beauty hub Dubai Design District, or D3 in May last year.
AmorePacific’s Middle Eastern partner Alshaya Group, founded in 1890, is the largest retailer in the region. It runs various businesses ranging from real estate, financial services to leisure and entertainment on top of retail business that operates outlets of more than 70 global labels including Starbucks, H&M, Victoria’s Secret in the region.
The Middle Eastern cosmetics and skin care product market has been growing at a pace of 15 percent annually. The market estimated at $18 billion in 2015 is projected to double to $36 billion by 2020.
By Jeon Ji-hyun
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]