[비즈한국] Pharmaceutical companies are expanding their portfolios by venturing into fields beyond their core business of drug development. They are launching new businesses by establishing subsidiaries, creating new brands, or acquiring companies based on the patented ingredients or pharmaceuticals they already possess. We examined the companies standing out in the cosmetics, health functional food, and veterinary medicine sectors, where the pharmaceutical industry is steadily making inroads.
Dongkook Pharmaceutical Maintains the Lead with 'Madeca Cream'086450
In the cosmetics sector, Dongkook Pharmaceutical, which entered the market the earliest, continues to maintain its lead. In 2015, Dongkook Pharmaceutical launched 'Centellian24,' a cosmetics brand based on Centella Asiatica titrated extract, the main ingredient of Madecassol. At the time, Dongkook Pharmaceutical introduced it as "a high-performance cosmetics brand that concentrates the research know-how accumulated over 45 years of producing Madecassol." TECA, the core ingredient of Centellian24, is the key component of Madecassol that promotes collagen production.
As word-of-mouth spread, primarily through home shopping, the flagship 'Madeca Cream' series surpassed 68 million units in cumulative sales as of December 2024, and the cumulative revenue of Centellian24 exceeded 1 trillion KRW. The brand's beauty device 'Madeca Prime' series is also showing strength, recording 20 billion KRW in revenue within one year of its 2023 launch.
According to Dongkook Pharmaceutical's business report, revenue from the 'Cosmetics and Other Pharmaceuticals' division is 265.638 billion KRW, accounting for 32.64% of the total. Revenue from the 'Healthcare Other, such as Pharmaceutical Raw Materials and Beauty Devices' division is 152.217 billion KRW, accounting for 18.70%, bringing the combined revenue share of the cosmetics and healthcare sectors to 51.34% of the total.
Beyond Dongkook Pharmaceutical, Dong-A Pharmaceutical is another active player in the cosmetics sector. Dong-A Pharmaceutical established its Derma Research Center in 2013 and launched its derma cosmetics brand 'Fation' in 2019. It showcases products using patented ingredients like 'Heparin RX Complex™' and patented technologies like 'LN Pico-Tonup™.' The 'Noscarna Nine Trouble Serum,' a best-seller from Fation launched in March 2022, surpassed 1 million units in cumulative sales as of October 2023. Currently, Dong-A Pharmaceutical holds a total of 6 cosmetics brands, including 'Phillidus' (men's personal care), 'Gynorex' (women's health), and 'Solia' (hand care).
Chong Kun Dang Health Leads in Health Supplements with 'Lacto-Fit'
In the health functional food sector, Chong Kun Dang Health, a subsidiary of Chong Kun Dang Group, is the frontrunner. According to Chong Kun Dang Health, its current product lineup includes a total of 89 items, including probiotics, Omega-3, lutein, vitamins, and milk thistle. The product that drove the company's growth is 'Lacto-Fit,' a probiotic launched in 2016. Revenue, which stood at 63.7 billion KRW in 2015, increased approximately ninefold to 615.5 billion KRW in 2021 due to the success of Lacto-Fit. Since then, it has declined slightly, recording 545.1 billion KRW in 2022 and 470 billion KRW in 2023.
'Lacto-Fit' is a portmanteau of 'Lacto,' meaning probiotic, and 'Fit.' It features a product lineup segmented by age, purpose, and lifestyle, and includes various product groups such as 'Bebe' (for infants) and 'Moms' (for pregnant and nursing women).
One of its flagship products, the Omega-3 'Promega,' has recorded the number one purchase rate for 8 consecutive years in market research by the Korea Health Supplements Association from 2017 to 2024. 'I'm Vita,' a premium vitamin brand launched in October 2022, is also showing growth, with 'I'm Vita Immune Shot' reaching 30 million bottles in cumulative sales by the end of last year, just two years after its launch.
GC Wellbeing234690 is aiming for differentiation with a 'personalized' health functional food brand. 'Dr.PNT' prescribes nutrients needed by an individual based on expert consultations and examination results, and is sold exclusively at stores opened within clinics and hospitals. It has launched 33 items addressing liver, skin, immune, and blood circulation health, with related revenue reaching 21 billion KRW in 2022, 23.9 billion KRW in 2023, and 17.7 billion KRW in 2024.
Daewoong Pharmaceutical Develops Human Medicines into 'Animal-Use' Versions069620
In the veterinary medicine field, there is no clear leader yet. Among the players, Daewoong Pharmaceutical is making the most aggressive investments. In 2021, Daewoong Pharmaceutical acquired the veterinary medicine company 'Korea Veterinary Information' and incorporated it as a subsidiary, 'Daewoong Pet.' In addition to veterinary medicine development, Daewoong Pet provides consulting for animal clinical trials and clinical trial contract services.
Based on 'Human Standards,' Daewoong Pet uses ingredients fit for human consumption and applies the same quality control standards as human products to develop medicines for pets. In 2022, it launched 'Impactamin Pet,' a pet nutritional supplement based on the high-content active vitamin 'Impactamin,' followed by 'Bearse Pet,' a version of the digestive aid 'Bearse' for animals, and 'UDCA Tablet' based on the liver function improver 'Urusa.'
Dong-A Pharmaceutical also launched a premium pet brand called 'Vetple (Vet+Pleasure)' in January 2024. All Vetple products contain 'Immunoheal,' a patent-pending ingredient for immune enhancement, and L-Theanine, which helps reduce stress. However, as the business is still in its early stages, the revenue scale is not yet significant. Currently, Dong-A Pharmaceutical's revenue is primarily driven by its over-the-counter (OTC) drug division, including the cold medicine 'Panpyrin.'