Financial focus: Phyto, LG H&H, Estée Lauder and more in our beauty business update

Phyto adopts 'less is more' strategy as it takes on more competitive hair care market​

French hair care brand Phyto is streamlining its offerings to strengthen its position in the increasingly competitive hair care landscape in Asia.

In September that year, French investment holding company Impala purchased Alès Group for a reported €13.5 million.

Since then, the company has been streamlining the business and preparing to reintroduce the historic brand to the market.

LG H&H commits $3.7m in funding to seek long-term partnerships with K-beauty start-ups​

South Korean consumer goods company LG Household and Health Care (LGH&H) has invested KRW5bn (USD3.73m) in a venture capital fund that fosters K-beauty start-ups.

According to a press statement, the firm said it contributed half of Mark-Solid One Beauty Intelligence Fund No.1 capital, making it a key investor.

The firm said it invested in this fund to “actively discover” high-growth indie brands and beauty startups, aiming to build a foundation for long-term partnerships.

Shopee Korea aims for 300% growth in Thailand on the back of K-beauty boom​

E-commerce retailer Shopee Korea is aiming for 300% growth in Thailand next year as K-beauty brands such as COSRX, Fwee, Torriden, and VT Cosmetics surge in demand.

The Singapore-headquartered company recorded approximately 191% increase in orders from Korean sellers in Thailand from January to July this year.

According to Shopee, this figure is over three-times higher than other markets in the region.

Hera outlines Thailand expansion plans with Sephora, EVEANDBOY, Shopee, TikTok​

Amorepacific’s luxury beauty brand Hera is accelerating its expansion in Thailand with Sephora, EVEANDBOY, Shopee, and TikTok Shop.

Hera officially launched in Thailand at the start of August with its first counter at major department store, Central Chidlom in Bangkok.

In the second half of this year, the brand will also launch on e-commerce platform Shopee and social commerce platform TikTok Shop.
Estée Lauder: Global prestige beauty rebound by 2026 contingent on China recovery​

Estée Lauder is hopeful that global prestige beauty will have mid-single digit growth by fiscal 2026, providing the China market gradually stabilises and resumes growth.

Fabrizio Freda, president and chief executive of the Estée Lauder Companies was speaking at the firm’s fiscal 2024 earnings conference, when he said the prestige beauty segment was unlikely to recover in the next fiscal year.

“We expect the global prestige beauty industry to reaccelerate to historical mid-single-digit growth in fiscal year 2026, assuming China progressively stabilises and then returns to growth.”