Korea’s luxury goods market is worth GBP 8.6bn. The country is the fourth fastest growing luxury goods market in the world behind India, Malaysia, and Indonesia. Wealthy women in their 40s to 60s have been the traditional core market for luxury brands in Korea but, recently, both men and women in their 20s and 30s have emerged as a new demographic for luxury retailers. The most important channel for luxury products in Korea is the major department store chains — Lotte, Shinsegae, and Hyundai – which together account for three quarters of all luxury sales.
Impact of the EU-Korea FTA
Implemented in July 2011, the EU-Korea FTA will lead to the removal of 97% of all tariffs for UK exporters. The FTA contains provisions on services, public procurement, intellectual property (IP) and sustainable development as well as the liberalization of goods tariffs. The FTA has ushered in enhanced protection for IP rights and improved copyright regulations.