Park Ji-won is a writer for The Korea Times who has been covering a wide range of topics from Korea’s culture to its politics. An avid journalism enthusiast to the core, Ji-won brings a thoughtful and unique perspective to every topic she covers. On weekends, you'll often find her contemplating life’s purpose on a yoga mat — with a cup of quality tea in hand. A native Korean speaker by birth and fluent in English through her work, she went to college in Japan and is learning Chinese and French — hoping to add Polish, Russian and Thai to the mix.
Pharmaceutical firms tap into cosmetics products
By Park Ji-won
A growing number of pharmaceutical companies have tapped into the cosmetics market to find a new growth engine.
Their move comes amid tougher punishment of illegal kickbacks to doctors and hospitals, and falling pharmaceutical prices.
Hanmi Pharm launched cosmetic brand “Clear Therapy” in November.
“We will expand our cosmetics products using our pharmaceutical technologies,” an official said.
The market size of cosmetic products mainly sold in drugstores is estimated to reach some 400 billion won.
Ildong Pharmaceutical also launched its own cosmetic brand “GOU:E” in July last year and is enjoying rising sales mainly on home shopping channels.
The sales increase is far bigger than that of pharmaceutical products, company officials said.
JW Pharmaceutica launched cosmetic brand “CLARO” at the end of last year.
Daewoong, famous for flagship supplement Ursa, is offering several cosmetic brands through an affiliate.
Market insiders explain the large inflow of pharmaceutical firms into the cosmetic market is based on their sluggish performances hit by falling drug prices and strict regulations over sales rebates.
“Making cosmetic products creates synergy as they can be consumed through our existing retail channels and have high relevance with pharmaceutical products so that we can make new products easily,” a pharmaceutical company official said.
Sales of many firms remained flat in the third quarter.