Amid Domestic Recession, K-Fashion Brands Accelerate Expansion into Europe and the Americas

[Financial News] Due to the impact of the domestic market recession, K-fashion brands such as Matinkim and Gentle Monster are seeking breakthroughs in overseas markets. In particular, brands that have established a presence in Asian regions such as Hong Kong, Macau, and Shibuya, Japan, are expanding their stage to global fashion hubs like the United States and Europe, accelerating their overseas territorial expansion.
According to the fashion industry on the 13th, Matinkim, a brand invested in by Hagohouse, which is part of the 'first group' of K-fashion, has opened standalone stores in Greater China, including Hong Kong, Macau, and Taiwan, as well as Shibuya, Japan. Starting this year, they have begun to enter the Americas and Europe. 
Matinkim started collaborating with the expressive luxury brand 'Coach' in New York in December last year, and has been conducting global campaigns targeting consumers in the Americas and Europe, including Netflix advertisements in the U.S. and in-flight advertisements on Korean Air.
Since March, they have been collaborating with over 400 global influencers in the U.S., the UK, Mexico, and Poland, gaining traction on social networking services (SNS). Thanks to these achievements, the overseas inflow to Matinkim's own mall surged by 615% at the end of April compared to the previous month. Not only inflow but also product sales increased by 121% during the same period. A representative from Hagohouse Matinkim said, "It has led to actual consumption beyond mere awareness increase."
Matinkim is also accelerating the expansion of global offline stores with the goal of achieving annual sales of 200 billion won this year. Currently operating stores in Hong Kong, Macau, Taiwan, and Shibuya, Japan, Matinkim plans to open additional stores in Japan and Hong Kong in the second half of this year.
The eyewear brand Gentle Monster, which is rapidly expanding its recognition in the global market based on its domestic recognition, is also pursuing a similar global strategy to Matinkim.
Gentle Monster, a domestic brand created in 2011, established a European corporation in Paris, France, in September last year, and opened a store in Milan, Italy, in March. Including the two European stores opened from the second half of last year to this year, Gentle Monster has entered 14 countries.
The fashion brand Mardi Mercredi, part of Peace Peace Studio, will officially enter the Amazon brand store, a global e-commerce platform, in early August, knocking on the door of the U.S. market. Mardi Mercredi is known in Korea as a 'K-fashion brand that foreign tourists line up to buy.' It is currently present in Japan, China, and Taiwan.
The acceleration of K-fashion brands entering the European and American markets is analyzed to be due to a combination of factors, such as the slowdown in domestic market growth and the significant value of the U.S. and European markets as global fashion hubs.
An industry representative said, "The U.S. and Europe are key points leading global fashion trends, and succeeding in these markets has a significant 'global branding' effect, rapidly enhancing brand image and recognition," adding, "The ability to quickly enter the U.S. and European markets and check local reactions in real-time, adjusting strategies accordingly, has also been a factor in advancing entry into these markets."
clean@fnnews.com Lee Jeong-hwaclean@fnnews.com Lee Jeong-hwa