Beauty SME 'Likle'... Riding the Korean Wave to Go Global

Bubi Bubi Lip, Chacha Toothpaste, etc.
Expanding Sales Channels through Global Direct Overseas Sales
Popular in 10 Countries Including the US and Japan
Ministry of SMEs and Startups' 'Large and Small Business Joint Entry'
Support for Participation in CJ ENM-Hosted 'KCON'

Laicle Unpa Cosmetic brand located in Lotte Duty Free Jeju store.

[Asia Economy Reporter Kim Daeseop] 'Likle', a beauty-specialized small and medium enterprise located in Gangnam, Seoul. As its main products such as Bubi Bubi Lip and Chacha Toothpaste continue to be sold steadily through online and offline channels, sales revenue and export volume are expected to increase compared to the previous year.

Jeon Jihoon, CEO of Likle, stated, "Although we have been impacted by the novel coronavirus disease (COVID-19), sales have continued steadily mainly online, and we expect at least a 50% increase in sales revenue compared to last year. We also anticipate exports to increase by more than 20% through the expansion of global direct-to-consumer business."

Likle was founded in 2013 and operates the beauty platform 'Unnie’s Pouch'. In 2016, it launched its private brand (PB) 'Unpa Cosmetic'. In 2018 and 2019, it participated in 'KCON', a global Korean Wave festival hosted by the large corporation CJ ENM, expanding its overseas sales channels.

The first product of Likle’s Unpa Cosmetic brand, Bubi Bubi Lip, a 'bubble'-type lip exfoliator, attracted consumer attention and has sold over 1 million units in 10 countries including the United States, Singapore, and Japan. Chacha Toothpaste, which became an issue for its black color 'Black Toothpaste', has also seen increased sales after being recognized for its clinical effects on bad breath removal and sterilization of harmful bacteria.

Likle’s sales revenue increased more than twofold from about 3.3 billion KRW in 2018 to 7.7 billion KRW in 2019. Export revenue also rose from 300 million KRW to 800 million KRW during the same period. Notably, the 'Large and Small Business Joint Entry Support Project' by the Ministry of SMEs and Startups was very helpful during this growth process. Likle was able to further expand its sales channels by receiving global marketing support linked with countries related to overseas expansion.

The Large and Small Business Joint Entry Support Project helps small businesses with marketing and overseas expansion by utilizing the overseas networks and infrastructure of large corporations. Key aspects include support for overseas expansion using Korean Wave marketing, export support through overseas home shopping broadcast platforms, and joint entry support using overseas bases.

This year, the Ministry of SMEs and Startups plans to invest 12.5 billion KRW in the budget to support 1,000 small businesses. Shim Jaeyoon, Director of the Global Growth Policy Division at the Ministry, said, "We will expand small business exports by supporting the expansion of global Korean Wave event hosting regions, diversification of Korean Wave content, and development of product-linked merchandise."

The global Korean Wave festival KCON also plays a significant role in the Large and Small Business Joint Entry Support Project. Kim Soyeon, Business Team Manager of CJ ENM Media Solutions Headquarters, said, "We collaborate with export-related organizations to provide spaces for expanding overseas sales channels for small businesses, support pre-matching export consultation meetings, and hold promotional events for small businesses targeting KCON attendees, helping domestic small businesses enter overseas markets."

Likle achieved success by being exposed extensively to local media through KCON held in Tokyo, Japan in 2018, entering about 2,000 offline retail stores of leading Japanese channels such as Don Quijote and Tokyu Hands. It also entered the online shopping mall Qoo10, rapidly growing Japan direct-to-consumer sales from about 1 million KRW per month to about 50 million KRW per month at the early stage. At KCON held in Bangkok, Thailand in 2019, Likle exhibited various products and expanded local sales channels through aggressive marketing.

CEO Jeon Jihoon said, "KCON fits best with our brand’s global marketing strategy, so we attend consistently. Especially since KCON is held in regional hub areas, product inquiries from neighboring countries continue. For example, through KCON in Thailand, local buyers from Vietnam, Cambodia, and Indonesia have recognized our brand and made export-related inquiries."

As the brand became widely known, Likle also entered duty-free shops, which have high entry barriers for new brands. In December last year, it simultaneously entered Lotte Duty Free Jeju store and Lotte Duty Free online. Due to good sales performance, it also entered a standalone store at Lotte Duty Free Myeongdong Main Store in June this year.

CEO Jeon said, "Once the COVID-19 situation is resolved, we are considering various ways to quickly convert traveler demand into duty-free sales. We also plan to focus on global direct-to-consumer sales, where we can achieve results faster than large brands, to establish the Unpa Cosmetic brand in major overseas countries."

This content was produced with the assistance of AI translation services.