Monday, February 19, 2024

Corporate News

Cosmax takes quick steps toward targeting emerging overseas markets

TF teams in the Middle East, South America, India, and Africa are in full operation… Expect a preemptive effect


Cosmax, a global cosmetics research, development and production (ODM) company, is taking steps to target emerging overseas markets as soon as this season opens. Cosmax, which established a task force (TF) team last year to target major overseas emerging countries, began operating it in earnest this year and began expanding its global customer base.


Last year, Cosmax established and operated a TF team for emerging countries in four regions, including the Middle East, South America, India, and Africa, and began securing customers in each region, and announced plans to further strengthen these activities starting this year.


The region that Cosmax has been targeting for the longest period of time is the Middle East. Cosmax, which acquired certification from MUI, one of the world's top three halal certification organizations, in 2016 for the first time in the domestic cosmetics ODM industry, built and operated a production facility in Indonesia, a country with an Islamic culture, and pursued halal certification with an eye to entering the Middle East market.


In 2021, we began supplying products to influencer brands in the United Arab Emirates (UAE), established and operated a Middle East TF team, and succeeded in securing additional customers including Turkiye.


The New Jersey plant in the U.S. is a forward base for targeting South America. The South American TF team is expecting more than 100% growth this year after securing new customers in Mexico last year.


The African TF team also achieved success in developing customer companies and advancing into three countries. The explanation is that Kenyan basic cosmetics brands are gaining recognition not only in Kenya but also in other African countries such as Nigeria and Uganda.


Cosmax said, “In particular, the brand is attracting attention with its unique concept of ‘K-beauty brand for black skin,’ and interest is being shown not only in Africa but also in countries on other continents such as the United States and Europe.”


The Indian TF team also secured many local customers. As K-beauty has developed a premium image in India, local customers are also showing interest in K-beauty technology. Cosmoprof India, India's largest cosmetics fair held at the end of last year, established an independent Korean pavilion for the first time, proving local interest.


Cosmax is making direct visits to local markets to discover customers in emerging countries and is also actively utilizing digital showrooms. We are expanding online communication points with global customers by regularly holding digital showroom events in the form of webinars using video content.


A Cosmax official said, “These emerging markets do not currently account for a large proportion of total overseas sales, but we believe that market preoccupation is the most important as they have great growth potential.” He added, “Because these emerging markets can have an impact on neighboring countries as well, the sales “It has more value,” he explained the background.