SM Marketing Techniques
Story By: Clara Ryu Editor: Kate Lee Web Designer: Andrew Song
Kpop has been expanding all over the world since the start of the Korean music industry, and more fans from all around the world visit Korea in order to meet their favorite idol. Looking forward to their encounter, foreign fans take extra money, time, and energy to fulfill their desire. Large entertainment companies like SM, for instance, won’t lose this chance. During 2013 to 2016, not only did EXO work as models for men’s wear, but they also worked for a well known women’s cosmetic brand.
This unique system of using an attractive male as a model for cosmetics has become a trend. Despite all the negative comments about using men models for cosmetics targeted towards women, this trend is a common way of advertising particular brands today. Cosmetic brands made particularly for women such as the Nature Republic and Etude House decided to use a group of boy idols for their brand model in hope to increase their income.
“Neither the income nor the sales figure had no changes. Although many people believe that our income rate has risen due to EXO, it only applies to stores around Myeongdong, Hongdae, and other places where foreigners often visit” says Ms. Oh, a staff working at Nature Republic, Jamsil.
Luckily, as to what staff Mirae and Oh said, even if the income rate in Jamsil had no increase due to EXO, places where foreigners often visit may have a higher income rate; since foreigners are often brought to those particular area to buy goods and products of their beloved celebrity. While cosmetic brands like Nature Republic could raise their income and advertise makeup tools to foreigners, SM entertainment could start a system of marketing that would advertise their group, EXO to consumers who are unfamiliar with them. In addition, if Nature Republic raises its income by EXO, there is a higher possibility that EXO will be called for their model once again.
Recently SM Entertainment has started to produce goods of their own to attract not only foreign fans, but rather normal citizens in South Korea. In 2015, SM has started to sell their own drinks, ramen, snacks, and other goods in a store called “SM Artium” in collaboration with the largest South Korean retailer called ‘Emart’. Like this, SM is working in many fields to promote their artists and to expand the Kpop wave all over the world.