BRADLEY HOROWITZ SETS NEW INITIATIVES AT AMOREPACIFIC
As the new President and CEO of AMOREPACIFIC Corporation in the Americas,has outlined his vision for highlighting the company’s brand awareness as well as expanding its presence at point-of-sale. AMOREPACIFIC Corporation has sales of $2.9 billion and is the 17th largest beauty company in the world, with 90% of its business coming from Asia. AMOREPACIFIC is one of over 20 brands in the corporation’s portfolio, including Sulwhasoo, LANEIGE and Iope, but Mr. Horowitz declared that AMOREPACIFIC is the “most luxurious and prestigious brand as well as carries the company’s name.”
AMOREPACIFIC is a high-tier, premium skincare line, and its focus is on anti-aging and skin rejuvenation. “Through our technology, we have found ways to harness all of the benefits of green tea, which you know as a beverage contains a high percentage of anti-oxidants,” Mr. Horowitz explained. “The anti-oxidant strength is derived from the most potent form of EGCG—making it many times more effective than vitamins C and E—which is extracted and delivered into our cosmetic products. Customers come to us because we have advanced technology and the capacity to deliver on our brand promise.”
The company has hundreds of acres of green tea fields off the coast of Korea on Jeju Island. They have a laboratory located in the middle of these green tea fields to research ingredients derived directly from green tea. “The science behind our privately cultivated green tea has produced such great results in our creams, serums and ampoules,” he declared.
“There is an expectation for us to bring in newness and innovation,” he said. “One of the most brilliant elements about our line is that we have segmented our products into different collections that enable us to deliver products to specific audiences and retailers. We have the Moisture Bound collection that sells very well at Sephora. The Time Response collection is featured at Bergdorf Goodman, Neiman Marcus and Nordstrom.”
“We have incredible products that we are launching this fall, including the Time Response Intensive Skin Renewal Ampoule Set.” Each Time Response Intensive Skin Renewal Ampoule consists of two individual vials that are mixed together just prior to use so they retain maximum efficacy. The emulsion in the syringe is comprised of concentrated Time Response Complex, AMOREPACIFIC’s patented compound of green tea stem cells, green tea EGCG and green tea saponin. The AMOREPACIFIC pump included in the set is placed on an Ampoule to provide a precisely measured dose of each application that glides onto skin and quickly penetrates for maximized anti-aging effects. The Time Response Intensive Skin Renewal Ampoule Set is priced at $550.00 and is exclusive to Neiman Marcus.
The Future Response Complex, a proprietary blend of green tea and pine mushroom extract that is combined with AB-12 Complex, a fusion of 12 Asian botanicals, is offered in AMOREPACIFIC’s new Future Response Age Defense Creme. The product is delivered through the new Monocell Technology system, which captures the formula’s most active ingredients in a natural microcapsule that provides greater skin adhesion, deeper ingredient penetration and reduced skin sensitivity. Future Response Age Defense Creme comes in a 1.7-oz. size for $195.00. It is at select Sephora stores in the US and Canada and the AMOREPACIFIC Beauty Gallery and Spa in New York City.
Also new this season is the Luminous Effect collection created to revive the skin’s natural brightness by inhibiting melanin production and reducing existing pigmentation for a more radiant translucent look. AMOREPACIFIC has created the exclusive Meladefying Complex, a proprietary blend of Asian botanicals including milk thistle, ginkgo leaf, orange peel, magnolia and lonicera japonica to inhibit excessive melanin formation and target melasma to form a protective veil on skin. The collection consists of Luminous Effect Brightening Serum in a 1-oz. size for $220 and Luminous Effect Brightening Masque consisting of six single-use sheet masks for $120.00. The collection is now at select Neiman Marcus stores and Bergdorf Goodman as well as at the AMOREPACIFIC Beauty Gallery and Spa.
Mr. Horowitz identifies the AMOREPACIFIC customer as someone who really cares about improving their wellness on the inside as well as the outside. “We talk a lot about good health and skin. Our customers are interested in technology and the innovation behind our products. They appreciate the use of our Asian botanicals and the research that powers the products’ performance.”
“You have to deliver results,” he affirmed. “If they weren’t seeing results, they wouldn’t return. You get that chance to have a first purchase, but what I am really proud of is that our customers are very loyal and committed to our products and come back to repurchase as well as sample new products. We have a spectacular spa in SoHo and are thriving in the marketplace.”
To maintain the level of service that is appropriate for AMOREPACIFIC’s luxury skincare, Mr. Horowitz explained that the brand’s Beauty Consultants have a three- to four-day training period. “The trainers then revisit the Beauty Consultants three months after they have begun working for us. Along with support from our training and education department, I have a representative from our marketing department spend a day or two with them as well.”
“We want everyone to feel they are aligned with our company and are part of our vision. The more we connect our Beauty Consultants with us, the more they feel part of the team and part of the solution. They are not just ‘doing the numbers,’” he said.
“What makes us stand out in the cluttered marketplace is the innovation and technology behind our products and the high level of service we provide to the retailers. Our distribution strategy in the US is narrow and deep,” Mr. Horowitz noted. “We have a lot of work to do with our existing partners, and we are focused on winning in-store.”
“We sell in Bergdorf Goodman, our flagship AMOREPACIFIC Beauty Gallery and Spa in Manhattan’s SoHo, Neiman Marcus, (which carries Sulwhasoo), Sephora and at Holt Renfrew in Canada,” he noted. “AMOREPACIFIC was introduced in the US ten years ago at Bergdorf Goodman and evolved to Neiman Marcus where the brand is in 27 doors. We have an opportunity to grow to as many as 40 doors with them.” AMOREPACIFIC just opened in March at Nordstrom. He hopes that distribution will expand to more of the retailer’s over 100 stores. The brand is currently in 135 Sephora stores, but he sees the opportunity to grow that distribution further. AMOREPACIFIC is now in two of Holt Renfrew’s seven doors. The brand opened at Sephora in Canada last month, and it is Mr. Horowitz’s plan over the next two to three years to expand into South America, especially Brazil.
The uniqueness of AMOREPACIFIC is translated through its products and how they are delivered through sampling and service. “You can come to one of our stores now where we sample over 50 SKUs of AMOREPACIFIC,” Mr. Horowitz explained. “If people are spending several hundred dollars on one of our products, they want to feel it on their skin before purchase and even sample complementary products, which we can’t do without bricks-and-mortar. However,” he added, “we do have a robust online business.”
Mr. Horowitz disclosed that AMOREPACIFIC’s business at Sephora is up over 40%. “We have to make sure that our distribution never runs ahead of our ability to service the over 135 stores where we are currently located and train their Cast Members.” He reported that all of AMOREPACIFIC’s products sold in Sephora carry special sleeves that explain their benefits as a way to support the open-sell format.
AMOREPACIFIC has created a new position called the Beauty Creator, who will capture the spirit of the brand and the services that are available in the SoHo spa for customers in the department store environment. “We have a Beauty Creator on the East and West Coasts. Some of their time will be spent with our Beauty Consultants on education, but they are really in the stores to give our customers a chance to have a specialized, spa-like experience.”
Mr. Horowitz reports that the customer response to the Beauty Creator has been “unbelievable. Beauty Creator events will be announced through social media and stores, which,” he added, “have been very supportive by sending out direct mail and calling customers.” BF
|AMOREPACIFIC’s acres of green tea fields on Jeju Island||The Asian research and development center/Mizium is located in Seoul, Korea.||AMOREPACIFIC’s Future Response Age Defense Creme provides longer-lasting skin protection.|