The Story in a Nutshell

Hey amiga! Let’s talk about what happened with Joah Beauty, a Korean-inspired makeup brand that recently announced it’s closing shop (with that 50% off sale you might have spotted). Despite having some amazing products and riding the K-beauty wave, something clearly didn’t work out. I’ve dug into all the details to break down exactly what happened in a way that’s super practical for your business journey too!

The Big Picture: What Was Happening Around Them 🌎

The Import Challenge: Joah made their products in Korea (I checked the labels myself!), which meant dealing with those pesky 10% tariffs that could jump to 25%. That’s a big chunk of profit margin gone right there.

K-Beauty Boom Time: Here’s the thing – the Korean beauty market is actually growing like crazy right now! All those trends (glass skin, anyone?) are super popular, so Joah wasn’t exactly selling in a shrinking market.

Everyone Wanted a Piece: The competition was INTENSE. We’re talking:

  • Affordable American brands like e.l.f. and Milani adding K-beauty elements
  • Actual Korean brands like Etude House and TONYMOLY expanding in the U.S.
  • Specialty K-beauty curators like Peach & Lily and Soko Glam with established fanbases

Understanding The 3 C’s (No Tiene Que Ser Complicado!) 💫

The Company

Turns out, Joah wasn’t even its own company! Here’s the breakdown:

The Structure:

  • Joah was a brand under KISS Products Inc. (the people who make those press-on nails!)
  • When you paid, the charge came from “AST Systems LLC” (I checked my PayPal!)
  • They registered the trademark in 2018 with Brand Director Hae Jin Chang leading

The Culture Red Flags:

  • Employee reviews described a super hierarchical workplace (very Korean-style)
  • Long hours, weekend expectations, and micromanagement were common complaints
  • Language barriers created tensions despite offering great benefits

The Money Situation:

  • Making about $22 million annually – not tiny, but not huge either
  • About 350 employees (that’s a lot of people to coordinate!)

The Customers

Joah was targeting budget shoppers who wanted K-beauty without the high prices:

Who They Wanted:

  • Younger shoppers (18-24) watching K-dramas and into K-beauty
  • Budget-conscious beauty lovers looking for “luxury dupes”
  • People who wanted clean formulas (cruelty-free, paraben-free) without paying premium

The Price Factor:

  • Products were in the $7.99-$12.99 range – definitely affordable!
  • Sold at CVS, signaling they were going for mass-market accessibility
  • BUT – this might have been their big mistake (more on that in a sec!)

The Competition

Joah was surrounded by tough competitors coming at them from all sides:

The American Affordables:

  • e.l.f. Cosmetics – killing it with affordable, clean beauty that constantly innovates
  • Milani – trendy, inclusive, and already established in drugstores
  • Physicians Formula – known for sensitive skin formulas and hypoallergenic products

The Korean Authentics:

  • Etude House – established K-beauty brand with growing U.S. presence
  • Peripera – known for affordable, trendy lip products (those tints!)
  • TONYMOLY – cute packaging and innovative formulas already in U.S. stores

The Specialized Curators:

  • Soko Glam – importing affordable Korean products with expert curation
  • Peach & Lily – premium Korean skincare focusing on clean ingredients

Their Strategy Breakdown (Where Things Got Wobbly) 🔍

How They Segmented The Market

Joah tried to separate beauty shoppers by:

  • Price sensitivity: Budget vs. mid-tier vs. luxury shoppers
  • K-beauty knowledge: Experts vs. newbies
  • Age: Gen Z vs. Millennial beauty lovers
  • Ingredient focus: Clean beauty enthusiasts vs. general shoppers

Who They Targeted

Their bulls-eye audience was:

  • Budget-conscious K-beauty fans who didn’t want to pay import prices
  • First-timers just trying K-beauty without huge commitment
  • Clean beauty shoppers on a budget
  • Regular CVS shoppers looking for something special

How They Positioned Themselves

Their message was essentially:

  • “K-Beauty Without The Markup” – Korean innovation at drugstore prices
  • Clean and cruelty-free (which was awesome – that’s how I found them!)
  • Authentic Korean approach but made accessible for Americans
  • After rebranding in 2023: “Beauty Within” focusing on confidence

The Marketing Mix – What They Did (And Didn’t Do) 🛍️

Product

  • Korean-inspired makeup with skincare benefits (the dream combo!)
  • Clean formulations (no parabens, cruelty-free)
  • Some unique standouts (like BB Cream without SPF – that’s why I loved them!)
  • Made in Korea with authentic K-beauty lab partnerships

Price

  • $7.99-$12.99 – definitely in the affordable range
  • Positioned as “affordable luxury” or “prestige dupes”
  • Missed opportunity: Maybe should have charged MORE for their specialized formulas?

Place

  • Started as CVS-exclusive (limiting them from the beginning)
  • Had their own website with direct sales
  • Very limited retail presence compared to competitors everywhere
  • Korean manufacturing creating supply chain complexities

Promotion

  • Instagram with 170,000 followers but engagement looked pretty low
  • Basic product shots rather than educational or community content
  • Some TikTok and influencer collabs but nothing ground-breaking
  • 2023 rebrand that might have been too little, too late

What Really Happened (The Hard Truth) 🔎

By April 2025, Joah announced they were closing with a 50% off sale. Here’s what I think went wrong:

  • Nothing Special: They couldn’t stand out in the crowd – e.l.f. had affordability, Korean imports had authenticity
  • Corporate Stepchild: As part of KISS Products, they probably didn’t get the resources or attention they needed
  • Social Media Struggles: Beauty is ALL about community, and theirs was described as “pretty dead”
  • Import Squeeze: Those tariffs likely cut into already thin margins
  • Wrong Price Target: They might have done better as a PREMIUM brand for their specialized formulations!

The Big Lessons For Your Business 💡

  1. Parent Company Problems: Being part of a bigger company that focuses on other things (like nails and lashes) can leave your brand fighting for attention and resources.
  2. The Authenticity Balancing Act: It’s HARD to be “inspired by” a culture without being from it – they weren’t Korean enough for authenticity seekers but weren’t American enough to compete with e.l.f.
  3. Don’t Always Go Cheap: Sometimes charging MORE is the right move! Their specialized products (like that SPF-free BB cream) could have commanded premium prices from people who really needed those special formulas.
  4. Distribution Matters SO Much: Starting CVS-exclusive limited their growth compared to competitors who were everywhere.
  5. Social Media is Non-Negotiable: In beauty, your social presence is everything – having “pretty dead” content means no community and no loyalty.

What I Would Have Done Differently (If I Was Their Consultant) ✨

If Joah had asked me for help, here’s what I would have recommended:

  1. Go Premium: Move away from competing on price and target higher-income customers willing to pay more for those specialized, clean formulations.
  2. Focus On Uniqueness: Instead of trying to do everything, become THE brand for specific needs (like makeup without SPF for people with sensitive skin).
  3. Find A Better Partner: Consider being acquired by someone like Peach & Lily that already has the K-beauty credibility but needs makeup offerings.
  4. Build Real Community: Invest heavily in authentic social engagement focused on education and genuine connection.
  5. Consider US Manufacturing: Avoid those tariff headaches while still partnering with Korean labs for formulations.

The biggest takeaway? Even in a growing market, you have to be crystal clear about what makes you special and build a strong community around those unique strengths. It’s not enough to just have good products – you need the right positioning, pricing, and connection with your customers to thrive.

What do you think – have you tried Joah products before? Would you have gone premium instead of affordable if you were in their shoes?

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