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The encyclopedia · Strategy & Leadership · Strategic decision · 2025

Fresh, LVMH's luxury cosmetics brand, shut down its Korea operations

LVMH's natural cosmetics brand Fresh closed its Korean online mall and most stores in April 2025, exiting after 13 years of direct operations.

Fresh · LVMH · 2025-04-15

What happened

Fresh, the luxury natural cosmetics brand owned by LVMH, began its withdrawal from South Korea in April 2025, closing its Korean online official mall on April 15 and most of its department store locations. The brand had been present in Korea since 2002 through importer Spruce Korea, and had operated directly since 2012 — a 13-year direct presence.

The exit decision was made in the second half of 2024, citing weak earnings and poor performance in the Korean market. By the time of the announcement, popular products including the Sugar Lip Treatment Original and Sugar Advanced Therapy Lip Treatment were already sold out, indicating the brand was running down inventory ahead of the closure.

Fresh's departure was part of a broader pattern of LVMH beauty brands scaling back in Korea. LVMH had previously closed Sephora Korea in 2024, and other group beauty brands were under strategic review. The Korean beauty market's polarization between affordable local K-beauty brands and premium luxury imports left mid-to-premium foreign brands like Fresh squeezed in a narrowing middle ground.

After the online mall closure, customer service continued to handle exchanges and refunds per Korean consumer protection laws. The brand's physical store network was wound down over subsequent months.

Why it happened

  • Fresh recorded weak earnings in Korea, leading LVMH to decide to exit in the second half of 2024 rather than invest further in a struggling subsidiary.
  • The Korean beauty market polarized affordable local brands and premium luxury imports, leaving Fresh's mid-premium positioning squeezed from both sides.
  • LVMH was consolidating its beauty portfolio globally, and Fresh Korea was deemed not strategic enough to continue funding.
What it costOnline mall and most stores closed; exit after 13ycostly

The lesson

LVMH's backing is not a shield — when a brand sits in an uncomfortable middle between affordable local and premium imported, even a luxury conglomerate will cut it loose if the numbers do not work.

Aftermath

Fresh's Korean operations were gradually wound down through 2025. Customer service remained available for exchanges and refunds. The exit followed LVMH's closure of Sephora Korea in 2024 and was part of a broader pullback of global beauty brands from Korea. Fresh continued operating in other markets including the US, Europe, and China.

Sources

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