The Korean Brand 'Gahi' Next is 'Eol'... Will Become the Most Beautiful Award in the World

Lee Dong-yeol, CEO of Korea Tech

Preparing a Hanok Flagship Store

Launching Strapless Masks Next Year

[Asia Economy Reporter Park So-yeon] There is a ‘hot’ brand in the cosmetics industry that achieved sales of 200 billion KRW just a year and a half after its launch. It is the beauty brand KAHI, famous for the ‘Kim Go-eun Multi Balm.’ We met Lee Dong-yeol, CEO of Korea Tech, which operates KAHI, at their office in Gangnam-gu to hear about the brand philosophy and plans for going public.

CEO Lee began, “I have worked with many overseas brands so far,” adding, “During that process, I experienced a lot of hardships, and seeing European and especially Japanese brands made me want to create something truly our own.” He founded Korea Tech in 2003 and before launching KAHI, he introduced to Korea products such as the ReFa Carat, famous as the ‘Lee Young-ae roller,’ the Psy facial exercise device Pao, and the Cristiano Ronaldo abdominal exercise device Sixpad. Introducing these well-known overseas products to the domestic market generated a strong response. Operating profits were steady at around 20 to 50 billion KRW, but from 2019, the company turned to losses due to a series of external shocks.

Lee said, “No Japan (the boycott of Japanese products), the THAAD (Terminal High Altitude Area Defense) crisis, and COVID-19?these adversities kept coming one after another,” adding, “KAHI is like a child born when the company had hit rock bottom to the point where it could not promise a tomorrow.”

Launched last year, KAHI raised its awareness through advertisements and product placements in dramas. Its flagship product, the ‘Multi Balm,’ was released in a unique form that looks like a lip balm but can be easily applied to the face or neck wrinkles, gaining explosive popularity. CEO Lee is ambitious to make KAHI not just a fleeting popular brand but a representative Korean brand.

Lee explained, “KAHI was created by taking the first and last consonants and vowels of Hangul, but at first, I didn’t talk about it because I was worried it might be seen as marketing using Hangul,” adding, “I was holding back to reveal it once the brand succeeded, but now we will actively develop KAHI’s Korean identity.” He also hinted, “We are preparing a flagship store right across from Gahoe-dong Cathedral in Bukchon.”

Three years ago, he purchased three hanok houses right across from Gahoe-dong Cathedral. Lee said, “We are storing all the wood and stones from the dismantled hanok in a warehouse,” adding, “Such stones and wood are impossible to find again. We will preserve the materials as they are and rebirth the traditional hanok in a modern way.” This is a large-scale project involving hanok experts. He expressed confidence, “Next year, we expect to unveil a beautiful hanok that will introduce the KAHI brand worldwide,” adding, “We will create a 100-year landmark that no one will be ashamed to show.”

Lee said, “To establish a position globally, a brand must have its own identity,” adding, “You can say we are currently in the process of creating that.” He also said, “For a brand to be properly established, it must be integrated with the culture of that country,” adding, “We are currently researching Hangul calligraphy as well.”

He revealed, “Future brands to be launched will have pure Hangul names,” and hinted, “The brand to be introduced after KAHI is ‘Eol.’” Lee introduced, “Eol is the first evolved form of a mask,” adding, “It is a strapless mask prepared even before COVID-19.” He said, “Since it has no straps, it will be a 100% eco-friendly product with a reusable mask filter, scheduled to launch next year.”

Regarding investment and IPO, he said, “I have thought a lot alone during the difficulties caused by COVID-19 over the past two years,” adding, “I want to have the most beautiful IPO in the world.” He added, “Although it is still a distant story, I want to build it step by step from now on, aiming for a purposeful IPO, one that is honorable and proud without lying to anyone.”