SOUTH KOREA
BY: MICHELLE NG & NATALIE KARAGEZYANGlobal Luxury Marketing Presentation
WHAT IS LUXURY
Luxury encompasses various aspects of life
high quality exclusivity comfort
cultural social economic
Luxury goods or experiences are those that exceed basic necessities of life prices of their functional values
Luxury also encompasses intangible qualities like leisure making it about indulgence, refinement, and the enjoyment of the finer things in life.
LUXURY
DEFINE
PAGE 02
CulturalPerceptions
symbolstatusandsuccess
qualityandcraftsmanship
giftgivingculture
InfluenceofKoreanwave(Hallyu)
Blendoftraditionandmodernity
TheRoleofHeritage
Traditionalcraftsmanship
culturalmotifs&symbolism
brandstorytelling
pride&identity
Globalrecognition
Collaborationsw/artisansandinstitutions
Heritage-inspiredretailexperiences
Materialvs.Experimental
"Koreanluxuryconsumersdo notmerelyrelyonthebrand logoorname,butthey'revery sophisticatedintermsofthe trend."
ConsidertheSocio-economicContext
“BankofKoreadatashowsthecountry’shousehold networthrose11%in2021"
AMcKinseysurveyfoundthat 22%ofKoreans considershowingoffluxurygoodsasbadtaste
MorganStanleyestimatedSouthKoreantotal spendingonpersonalluxurygoodsgrew24%in2022 to$16.8billion
SymbolismandSemiotics
BrandlogosandIcons
Colorsymbolism
culturalmotifsandpatterns
Celebrityendorsementsandinfluencers
ExperientialLuxury packagingandpresentation
PsychologicalDimensions
AftertheKoreanWar,theupperclasswanted todifferentiatethemselvesleadingtobuying expensiveWesterngoods.
Thedesireforluxurygoodshascontributedto bullyinginschools
thepressuretoexchangeluxurygifts
betweenfamilieswhencouplesget married
Impactofglobalization
The1950KoreanWarcausedadiscouragement inimportsandforeigngoods the1997AsianfinancialcrisisslowedtheIMF resultinginopennesstoimports
MultiplebilateralandmultilateralFTA’swere signedboostingflowofglobalproducts
LocalluxuryBrands
Culturalrelevance
understandinglocalpreferences
innovativedesignand technology
emotionalconnection
GloballuxuryBrands
Globalprestigeandrecognition
fashiontrendsandinfluences
brandheritageandlegacy
exclusivityandrarity
authenticwesterninfluence
History
Early 2017 L Catteron, LVMH’s private equity firm invested in IICombined, the parent company to Gentle Monster. In September, IICombined launched the new cosmetic brand Tamburins.
Tamburins was launched to communicate and reinterpret “the beauty of the brand pursued in space, objects, painting, and performance, beyond the limited product line of cosmetics. Along with the launch of the brand came the first hand cream “Nude H. and Cream” in collaboration with 10 artists.
S O U T H K O R E A
BRAND PROFILE
Brings together experimental art and fashion elements creating high quality skincare & beauty products
sensorial experience while appreciating art minimalist and elegant packaging
aesthetic and functional excellence
Focused on exclusivity
Price: $30-200
LUXURY ELEMENTS
ethos
“ artistic beauty” unique and innovative products
creativity, individuality and self-expression embrace unique beauty and style
products
Fragrances
Moisturizers
serums cleansers
masks toners
lip & eyecare products
H A N N A MS E O N G S US A M C H E O N GN A U S D O S A NS I N S A
tamburins creative
POSITIONING MAP
Aesop:
-available globally, affordable but a bit higher than Tamburins
Byredo:
-Popular fragrance brand in Korea, higher-priced, available more readily
Tamburins:
-Exclusive only available in three countries but more of the affordable side
Elorea:
-Sourced from Korea, high price tag, only one store in
CONSUMER PERSONA
Age: 25
Gen Z
Gender: Female
Education: Bachelor’s degree
Work: Marketing manager
Salary/Income: ₩98 million
Status: single
Location: Incheon, Seoul, Korea
Archetype: INFP
Personality: independent, ambitious, open-minded, empathetic, social, sophisticated
Values: Quality, authenticity, innovation
Interests: Fashion, beauty, travel, social media
Kim Kim Kim
Yuna Yuna Yuna
VISUAL MERCHANDISING
278k followers, 783 posts
Average about 5k likes on posts
Interact better Instagram reels, avg. 150k views
More prone to engaging when there are people
01
35,000 fans
Cumulative video views
15.73 M
Interact better with campaigns including ambassadors
02
03
3.2k followers, 2.4k likes
An extension of their Instagram a secondary commercializing social platform
04
Kakaotalk
290,504 friends
Used to communicate through messaging, calls, and video calls
There to help communicate with customers, give directions, and show news articles
History
Founded in 1899 by Korean p Park Hang-sik under the orig Hanseong Samun. After the w relaunched under the name Shamanistic Precious Art, pay to the founding date.
They began to expand its product range beyond traditional herbal remedies and ventured into luxury skincare and cosmetics. SPA 1899 has remained dedicated to preserving and promoting Korea's traditional practices, natural remedies, and cultural heritage; while adapting to modern times and embracing innovation.
189 S O U T H K O R E A
SPA
BRAND PROFILE
six-years-grown red ginseng of the premium red ginseng brand in all treatments
distinct features: all rooms are designed as a private space
The red ginseng skin bar is equipped in each room
LUXURY ELEMENTS
-Preserve Korean Cultural
Heritage
Authenticity and Tradition
Harmony with Nature
Luxury & Craftsmanship
Cultural Education & Storytelling
Innovation and modernity
Pride in Korean Indenity ethos Services
Facial Full body Foot Head
Dongui Bonhyang line
Yeomri line
Jayu line
SPA1899 relax Y E O N G D O N GD A E R O , G A N G N A MG U , S E O U L , K O R E A
POSITIONING MAP
Spa Land:
-around 23,000 won, a very affordable option, known by many in Busan Termeden:
-around 78,000 won, more expensive but more readily available to majority of people
SPA 1899:
-Rooted in Korean heritage, exclusive to one area in Korea, sourced for local red ginseng, Sulwhasoo:
-Sourced from Korea, small price increase, bigger follo
CONSUMER PERSONA
Age: 35
Gen X
Gender: Female
Education: Master’s degree
Work: Lawyer
Salary/Income: ₩140 million
Status: Married with two children
Location: Gangnam-gu, Seoul, Korea
Archetype: ENFJ
Personality: sophisticated, ambitious, adaptable,
Values: Family, authenticity, quality,
Interests: Fashion, wellness, skincare, beauty, travel
Jayeon Jayeon JayeonPark Park Park
VISUAL MERCHANDISIN
One of the only forms of outreach they have for the Spa
Sole online presence
Includes all their contact information, booking forums, skincare line, news, and their story
52.3K followers
Possibly a secondary channel for awareness
Donginbi skincare line #spa 1899, 500+ posts
Naver is another Korean SE where people can find and pruchase project or services
01 02
Instagram
E-commerce
FUTURE OUTLOOK
trends
Annual growth rate: 4.64%
USD 9.73 Billion by 2032
Hallyu: promotes South Korean culture & style
Cultural trends, celebrity endorsements, & social media
Digital payment systems and ecommerce platforms
Challenges
Rebranded products
Renting luxury goods
Counterfeiting trend
Brand protection
Generational shifts
INFOGRAPHICS
