Fair Trade Commission Finds AmorePacific... "Saengsaeng Noryeok is a Win-Win for Headquarters and Store Owners"

Kim Jae-shin Vice Chairman, On-site Visit to Amorepacific
Amorepacific Signed Win-Win Agreement with Franchisee Organizations in October Last Year

[Sejong=Asia Economy Reporter Joo Sang-don] Kim Jae-shin, Vice Chairman of the Fair Trade Commission, emphasized on the 15th that "the franchisor's efforts for coexistence are necessary to overcome the difficulties faced by offline franchisees."

At the site visit to Amorepacific located in Yongsan, Seoul, Vice Chairman Kim encouraged Amorepacific's prior efforts for coexistence and made these remarks.

Attending the event were Vice Chairman Kim, Ahn Se-hong, CEO of Amorepacific, Nam Hyo-chul, Chairman of the National Aritaum Store Managers Association, and Kim Ik-soo, Chairman of the National Aritaum Franchisees Association.

Established in 2006, Amorepacific holds a 22.8% share of the domestic cosmetics market. Its major brands include Sulwhasoo, Hera, IOPE, and Laneige, with sales reaching approximately 3.9 trillion KRW in 2019.

In October last year, Amorepacific signed a win-win agreement with franchisee organizations regarding the franchisor's online cosmetics sales, focusing on expanding the proportion of offline-exclusive products and strengthening the connection between online and offline channels.

At the event, CEO Ahn said, "We signed a win-win agreement last year. Starting from this, this year we will launch a new membership system centered on offline-exclusive products and introduce a sample market for customers visiting franchise stores, focusing on creating a new success model for offline franchises." Chairman Nam of the Aritaum Store Managers Association responded, "The win-win agreement, actively negotiated with the head office last year, has been a great help to franchise stores. We will do our best to continue growing together."

In response, Vice Chairman Kim stated, "The franchisor's efforts for coexistence strengthen the partnership as partners with franchisees and build consumer trust, bringing a 'win-win' effect to the franchisor as well. The Fair Trade Commission will also support policies to ensure that the culture of coexistence spreads beyond the cosmetics industry to the entire franchise industry."

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