[Distribution Hot People] Achieving 100 Million KRW in Sales in 10 Minutes... 'Dalba's' Strategy to Overcome the COVID-19 Era

Lee Ga-eun, Marketing Team Leader at Dalba

[Asia Economy Reporter Seungjin Lee] Despite the overall difficulties faced by the cosmetics industry due to the impact of COVID-19, there is a brand that continues explosive growth through veganism and influencer-driven online marketing. The premium vegan brand "Dalba," which has maintained an average annual growth rate of 330% over the past three years, is the protagonist.

Launched in 2016, Dalba has rapidly grown through word-of-mouth marketing. It surpassed the break-even point in 2018 and recorded sales of 23 billion KRW in 2019. As of November this year, it has recorded sales of 65 billion KRW, with an expected total of 75 billion KRW for the year. It is rare in the cosmetics industry to surpass the break-even point within two years of launch, and continuing growth amid the COVID-19 aftermath is even more exceptional.

Ga-eun Lee, head of Dalba’s marketing team, cited Dalba’s growth secrets as its online-based marketing strategy and the rising demand for vegan brands among younger generations.

Lee said, “From the beginning, we have focused our marketing strategy on online channels, and the online strategy we have steadily pursued since COVID-19 has proven very effective,” adding, “Online shopping among those in their 40s and older has increased, expanding our customer base to early 50s.”

Dalba particularly shone in online marketing utilizing influencers. In October, Dalba collaborated with ‘Leo J,’ a creator belonging to the beauty influencer business group Leferi, to conduct a Naver Beauty Live broadcast. The broadcast achieved sales of 100 million KRW within just 10 minutes, setting the shortest sales record in Naver Beauty Live history. Other live broadcasts with influencers such as ‘Kim Seupseup’ and ‘Minsco’ also achieved sales exceeding 100 million KRW, gaining popularity.

Lee said, “Quickly responding by converting all marketing to digital during COVID-19 played a major role,” and added, “Allowing consumers who cannot experience products offline to have indirect experiences through influencers was effective.”

Dalba’s positioning as a premium vegan brand is also a major competitive advantage. From its launch, Dalba attracted attention by offering vegan products that do not use animal-derived ingredients. Recently, it even obtained official vegan certification, properly meeting the vegan demand that has emerged as a key topic after COVID-19.

Lee analyzed, “The recent trend in the cosmetics industry is veganism, and it is impossible to survive without entering this market,” adding, “Dalba, which entered the vegan market early, was able to attract more consumer interest by emphasizing product quality with a premium vegan strategy.”

Dalba plans to expand its business by broadening its product categories. Currently operating overseas in the U.S., Japan, Russia, and other countries, Dalba intends to accelerate its overseas market expansion by leveraging the vegan trend.

Lee emphasized, “The cosmetics market no longer succeeds by simply emphasizing product quality; it depends on how well a brand can stimulate consumers’ emotions,” and added, “Based on solid product quality, we will become a brand that fulfills consumers’ fundamental desires.”