Amorepacific accelerates growth in U.S. amid global rebalance

Panoramic view of Laneige’s ‘Bouncy & Firm Sleeping Mask’ pop-up store in LA, on April. [Photo provided by Laneige America instagram]

Amorepacific is intensifying its efforts to capture the U.S. market, leveraging the growing popularity of K-beauty among America’s youth. As part of a broader global rebalancing strategy, the South Korean beauty giant is seeking new growth opportunities outside its traditional markets. The company has taken a significant step by partnering with a U.S. women’s professional basketball team, a first for a K-beauty brand.

According to Amorepacific on Tuesday, its flagship beauty brand, Laneige, entered a partnership with the Women’s National Basketball Association (WNBA) team Phoenix Mercury. Phoenix Mercury also announced Laneige as its official skincare partner.

This groundbreaking partnership signifies the first time a K-beauty brand has sponsored a U.S. professional basketball team, coinciding with the WNBA All-Star season that has seen unprecedented TV viewership and record attendance since it began in May 2024. Laneige will kick off promotional activities with local basketball fans during the WNBA All-Star Weekend in Phoenix on Thursday.

The partnership was orchestrated by Giovanni Valentini, the new head of Amorepacific’s U.S. operations who appointed in May. Valentini, a seasoned expert with experience at global cosmetic giants such as Unilever, L’Oréal’s Kiehl’s, and Lancôme, was brought in to bolster Amorepacific’s presence in the U.S. market.

Laneige, a standout among Amorepacific’s brands in North America, gained significant traction via social media platforms including TikTok. The brand’s Lip Sleeping Mask became a highly recommended product as it is known to reduce lip flakiness and enhance hydration during sleep. This product saw skyrocketing popularity, particularly 2023’s Black Friday and Cyber Monday sales events, where Laneige’s limited edition Holiday Lip Sleeping Mask topped sales at Sephora.

In addition to the Lip Sleeping Mask, other popular Laneige products in the United States include Lip Glowy Balm and Water Bank. To increase competitiveness, Laneige is diversifying its product portfolio within the lip care category, with the brand naming popular actress Sydney Sweeney as a global ambassador earlier in 2024 and launching new products such as the Bounce and Firm Sleeping Mask afterwards. Laneige plans to continue its aggressive marketing strategy by opening pop-up stores in major cities.

Amorepacific has also strengthened its brand portfolio with additions such as Sulwhasoo, Hera, and Cosrx. Cosrx, which became a Amorepacific subsidiary in October 2023, is rapidly emerging as a global skincare powerhouse with its Snail Line and THE RX Line.

Amorepacific’s revenue in the North American market surged to 286.7 billion won ($207.2 million) in 2023 from 76.6 billion won in 2020, a fourfold increase, and the company recorded 87.8 billion won in sales in North America in the first quarter of 2024 alone.