Lee Chang-kyoo, Head of Amorepacific's Group Strategy Unit, said the company decided to launch Etude House in India to strengthen its footprint in the fast-growing Indian beauty market.
"The Indian beauty market is growing by nearly 10% every year and this fast growth is driven by millennial customers with increasing disposable incomes and growing interests in global beauty. We see tremendous potential in India to support our goal of strengthening the experience of Asian Beauty in the region.”
He added: “With the launch of Etude House, we seek to offer the best beauty experience to our Indian customers - with products that are backed by over 70 years of studies in natural ingredients and world-class innovative technology.”
Nykaa exclusive
Etude House has launched exclusively on Nykaa, a local beauty retailer which has previously worked with Amorepacific.
"To continue to offer our customer the best of beauty, we are very excited to launch the playful and quirky K-beauty brand Etude House, exclusively on Nykaa with its innovative and fun products across makeup and skincare,” said Nihir Parikh, Nykaa’s chief business officer.
Last November, the South Korean firm launched skin care brand Laneige exclusively through Nykaa.
Its best-selling product, the Laneige Water Sleeping Mask, sold out a week after its release on the platform.
"Over the last two years, Nykaa brought Korean beauty to India, introducing customers to their unique innovations and ingredients. The category has been a great success with our customers, who are keen to experience such global trends,” said Parikh.
Lee said the company plans to capitalise on previous success and boost Etude House through online channels to reach millennial consumers.
Innisfree, the group’s first entry into India is currently available through e-commerce channels such as Purplle, Flipkart and Myntra to reach India’s wide customer base.
Etude House sales decline
The news comes after Amorepacific announced its first-quarter results.
The company reported 4% growth year-on-year in APAC, but saw operating profit decline by 44% due to increased investment to strengthen its growth potential.
The group reported that Etude House sales decreased by 23% and increased deficits because of the poor performance of the brand in travel retail and in its brick-and-mortar stores.
However, the brand is seeing steady growth in other parts of Asia, including Japan, Thailand and Malaysia.
Last month, the group continued to strengthen its international position by launching Laneige in Europe in 800 Sephora stores across 18 European countries including France, Russia, Spain and Italy.
