Vice Chairman Byungman Lee, Who Fostered Indie Brands, Sets Sights on COSMAX's 3 Trillion Won Club

Beyond Manufacturing: Becoming a Brand Incubator

Record-High Performance Continues in Q1 After Last Year

55 Brands Surpass Annual Sales of 100 Billion Won

Cosmax, a cosmetics Original Development Manufacturing (ODM) company, is aiming to achieve annual sales of 3 trillion won this year. As the influence of indie brands grows in the global cosmetics market, the company’s 'K-Beauty Incubator' strategy, which supports the growth of these brands, is being recognized for delivering tangible results.

On June 1, Cosmax announced that its annual sales target for this year is set at 3 trillion won. Last year, the company recorded its highest-ever consolidated sales of 2.3988 trillion won, and in the first quarter of this year, it achieved quarterly sales of 682 billion won, once again setting a new quarterly record.

Byungman Lee, Vice Chairman of Cosmax.

At the center of this growth is Byungman Lee, who was promoted to Vice Chairman earlier this year. As the eldest son of founder Chairman Kyungsoo Lee, Vice Chairman Lee oversees the entire cosmetics business, including research and development, production, quality, and global client management, and leads Cosmax’s business operations.

Born in 1978, Vice Chairman Lee joined Cosmax in 2005. During the rapid expansion of the Chinese cosmetics market, he managed local operations and directly experienced both the brand growth process and changing consumer trends. He subsequently served as Head of China Marketing and Head of Overseas Sales, and in 2020 was appointed CEO. Last year, he once again took on the role of business unit CEO, focusing on expanding global operations and strengthening competitiveness.

Vice Chairman Lee determined that as the market, once dominated by major brands, shifted to an indie brand-oriented structure due to the proliferation of social media and e-commerce platforms, the role of ODM companies must also evolve. Accordingly, Cosmax launched the 'K-Beauty Incubator,' which supports brands from the planning stage through product development, production, and global market entry. This strategy has fueled the growth of client companies. Currently, 55 domestic brands collaborating with Cosmax have achieved annual sales exceeding 100 billion won.

Cosmax is also delivering results in overseas markets. In the first quarter of this year, Cosmax China recorded sales of 194.7 billion won, a 20% increase compared to the same period last year. Despite the overall difficulties in the cosmetics industry due to China’s economic slowdown and subdued consumer spending, Cosmax’s strategies of expanding local brand clients and diversifying sales channels proved effective.

Vice Chairman Lee’s attention is now turning beyond China to the ASEAN market. He is pursuing the ‘LOCO Project’ in markets such as Thailand and Indonesia, positioning ASEAN as the next growth hub. LOCO, inspired by 'locomotive,' reflects the ambition to develop innovative products that drive emerging markets. Rather than simply exporting successful products from Korea, the focus is on developing customized products tailored to local skin characteristics, climate, and cultural preferences. Vice Chairman Lee has emphasized shifting from mass production of a single product to a 'consumer-centric' approach, quickly producing and validating small batches of diverse products.

Sustainable management is also one of Vice Chairman Lee’s direct priorities. He believes that as global environmental regulations strengthen, ESG (Environmental, Social, and Governance) capabilities can become a competitive advantage in exports. With environmental regulations tightening worldwide, the burden on domestic small and medium-sized brands seeking to enter overseas markets is also increasing. To support them, Vice Chairman Lee has spearheaded initiatives such as establishing the '2050 Carbon Neutral Roadmap' and building an eco-friendly beauty ecosystem.

Recently, Cosmax received the highest Platinum rating from EcoVadis, a global ESG evaluation agency—a distinction awarded to only the top 1% of companies worldwide and a first for the Korean cosmetics industry. In addition, Cosmax has earned an 'A' grade in water management from the Carbon Disclosure Project (CDP) and an integrated 'A' rating from the Korea ESG Standards Institute (KCGS).

A Cosmax representative stated, "Cosmax is evolving beyond a simple manufacturing company to become a platform company that sets the standard for the K-Beauty industry. We expect that the innovative strategies being promoted by Vice Chairman Byungman Lee will further elevate the influence of K-Beauty in the global market."

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