PARIS – L’Oréal is acquiring South Korean skin care brand Dr. G from Migros, the Swiss retail group. Financial terms of the deal announced Monday were not disclosed. L’Oréal will purchase Dr. G from Migros’ subsidiary Gowoosesang Cosmetics Co. Ltd., which includes the Korean skin care brand founded by dermatologist Gun Young Ahn in 2003. It is based in Seoul.
This marks the second time L’Oréal is buying a Korean beauty brand. Previously, the world’s largest beauty maker purchased Stylenanda, which included the 3CE makeup range, back in 2018. South Korea has long been viewed as a hotbed of cutting-edge beauty, giving rise to global trends including BB Cream and cushion-based foundation technology, which have taken the beauty world by storm over the last decade.
There’s been an international resurgence of K-beauty recently, with dedicated stores popping up worldwide, including Senti Senti in New York and Miin in Paris. Social media platforms, particularly TikTok, are fueling this trend, propelling certain products like Beauty of Joseon’s Relief Sun: Rice + Probiotics SPF 50+ to viral status.
Dr. G will now operate under L’Oréal’s Dermatological Beauty Division. The company expressed optimism about the brand’s potential, stating, “Dr. G is positioned to meet the rising demand for K-beauty and scientifically developed, effective yet affordable skin care solutions.” Dr. G has consistently ranked among South Korea’s top skin care brands for over ten years and boasts a broadening pan-Asian presence, indicating strong growth potential globally.
The brand is known for its ingredient-led products, including popular items like the R.E.D Blemish Clear Soothing Cream, catering to consumers' specific skincare needs. Dr. G employs an omnichannel marketing approach, maintaining presence across both online and offline retail spaces, ensuring accessibility to its clientele. Notably, Dr. G ranks among the top-three mass-market and dermocosmetics skincare brands within South Korea.
“Created by a dermatologist and offering high-performing solutions suitable for even the most sensitive skins, Dr. G perfectly complements our existing skin care portfolio,” stated Alexis Perakis-Valat, L’Oréal’s global president of the Consumer Products Division. He added, “We have been following the brand and its success for many years, and we look forward to accelerating its growth in South Korea and the rest of the world, staying true to our mission to democratize and premiumize beauty by bringing the best of Korean skincare to consumers everywhere.”
Samuel du Retail, president of L’Oréal Korea, affirmed Dr. G’s commitment to its founder’s vision: “Having the Dr. G brand and Gowoosesang talent teams with us will only strengthen L’Oréal’s engagement with the Korean beauty ecosystem and allow us to expand the reach of K-beauty globally,” he remarked.
This acquisition aligns with L'Oréal's strategy to solidify its presence within the vibrant K-beauty sector, known for its innovative products and appeal. The acquisition follows Migros' review of its Mibelle cosmetics unit, which sought new ownership for Gowoonsesang and associated brands. While the financial details of this deal remain undisclosed, the timing is noteworthy as it occurs against the backdrop of a cooling beauty market in China, which had previously seen explosive growth.
Overall, L’Oréal’s acquisition of Dr. G not only highlights the company's commitment to fostering K-beauty but also sets the stage for potential growth as consumer interest globally shifts toward high-quality, effective skincare solutions at competitive prices. With the growing influence of K-beauty, brands like Dr. G are positioned to thrive under the global spotlight, catering to the ever-evolving demands of beauty enthusiasts everywhere.
