As the overseas stage for K-Beauty expands, attention is turning not only to companies that directly create brands, but also to platform enterprises that help brands grow by breaking into local distribution networks. The range of beneficiaries from the K-Beauty export boom is widening, encompassing everything from distribution specialists that connect domestic brands seeking overseas expansion with local distributors, to brand companies that cultivate multiple in-house brands to target global markets.
According to industry sources on the 11th, K-Beauty-related distribution and brand companies are moving forward with initial public offerings (IPOs) alongside business expansion. Grace, which supports the overseas distribution of domestic brands, filed for a preliminary review for its KOSDAQ listing on the 4th. Olive International, which operates brands such as Sensitive Editor and Milk Touch, is also pushing ahead with its listing plans. The increase in K-Beauty exports is leading to growth not only for companies that directly create brands, but also for enterprises handling distribution and marketing essential for overseas expansion.
The growth of distribution specialists is evident in Grace’s performance. Last year’s revenue reached 194.5 billion won, up approximately 2.7 times from 71.3 billion won in 2022. Over the same period, operating profit increased from 4.1 billion won to 12.9 billion won. In early this year, the company secured an investment of 11.7 billion won and entered the IPO process by filing for a preliminary review for its KOSDAQ listing on the 4th.
Grace is a global health and beauty (H&B) distribution company that handles approximately 150 brands, including about 100 domestic brands. It provides support ranging from brand discovery to overseas certification, entry into local distribution networks, marketing, and logistics. Following the establishment of a Japanese subsidiary in 2023, the company set up a local U.S. subsidiary last year. This year, it began supplying products to Costco and Ulta Beauty in the United States, while collaborating with At Cosme and Itochu in Japan.
Landing International, which directly secures U.S. distribution networks to help domestic brands enter the market, is also expanding its business. Recently, the company placed 12 domestic brands at Nordstrom, a major U.S. department store chain. Skincare and haircare products began selling in up to 86 stores across the United States starting last June. The company plays a role in connecting local distributors to enable domestic brands to enter large-scale distribution channels that are difficult for them to access individually.
Olive International, which is rapidly expanding its scale by cultivating in-house brands such as Milk Touch, Sensitive Editor, and Mami Care to target overseas markets, has also seen rapid growth. Cumulative revenue for the first three quarters of this year reached 240 billion won, an increase of over 70% compared to the same period last year. The company surpassed its annual revenue of 204.1 billion won from last year in just nine months, with third-quarter revenue recording a first-time milestone of 90 billion won. Based on this performance growth, it is also preparing for an IPO.
Target countries and sales channels vary by brand. Sensitive Editor is pushing to enter North American offline distribution networks, including Target and Ulta Beauty in the United States. Milk Touch has newly entered approximately 10,000 convenience stores in Japan, expanding its local sales outlets to over 15,000. In Korea, the company is broadening its sales scope to include household goods distribution channels through Mami Care.
As K-Beauty’s overseas expansion increases, both brands that manufacture products and distribution companies that help establish them in local markets are gaining growth opportunities. An industry official stated, “In overseas markets, it is essential to possess not only product competitiveness but also capabilities in local distribution networks, certification, and logistics,” adding, “As the overseas expansion of domestic brands grows, the role of specialized companies supporting this process is also expanding.”
in LIVING
