The Face Shop angling to become top Korean brand in Thailand

By Lucy Whitehouse contact

- Last updated on GMT

The Face Shop angling to become top Korean brand in Thailand

Related tags: Marketing

The Face Shop, a skin care and cosmetics leader in Korea, is eying up expansion Thailand, where it has set its sights on the top spot among Korean brands in the country.

Currently the brand numbers as among the top five skin care brands in Thailand, but with consumer enthusiasm for international brands on the rise, its executive team have asserted that they believe The Face Shop has the potential to dominate.

In the expansion, the brand will build on its current retail portfolio of 20 stores and push marketing to drive sales, they state.

New distribution strategy

The brand was recently taken on by distribution firm TFS in Thailand, who note that while The Face Shop products are making it the number one skin care seller in its domestic market of Korea, a push is needed to drive it into the top spot in Thailand.

In order to meet this ambitious goal, the company is now looking at investing Bt100 million in a marketing campaign, store expansion, store renovation and digital marketing activities plan, The Nation has reported.

With a sales target of Bt150 million set for 2013, an immediate goal for the brand is to number among Thailand's top three skincare and cosmetics brands from Korea within two years.

Rivals Skinfood and Itude are currently taking the lion’s share of sales for Korean brans in Thailand, accounting for 2 billion baht of the 50 billion baht overall market; these are the brands with which The Face Shop will be looking to catch up.

TFS plans to open 10 stores in the rest of the year, The Nation reports, bringing the total number of retail outlets up to 30: from there, it intends to continue growing, with its sights set on 70 stores by 2016.

Thailand: a golden opportunity?

According to Ketmanee Lertkitcha, president of The Thai Cosmetic Manufacturers Association, there are many opportunities for international this vibrant market, which values new and innovative products.

"A wealth of natural resources, low-cost skilled labour and regional economic integration with the ASEAN Economic Community by 2015 have attracted businesses keen to explore the vibrant new domestic markets that are emerging in ASEAN countries,"​ she says.

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