From the late 60’s, viagra rx 70’s, best cialis try 80’s and on into the 2000’s and beyond there has been a drastic change in how and where professional Afro designated hair care products are distributed.  In the early 70’s it was assumed by the ethnic owned manufactures and distributors that the main changing impact in this market came from the non afro manufactures (majority)  sector, buy who started manufacturing more products aimed at the ethnic market and purchasing formerly black owned hair care manufacturing companies.  Back in the late 60’s and 70’s several majority owned cosmetic manufacturing firms took a serious look at the ethnic professional hair care market.  There research surprisingly revealed that although blacks were only 11% of the American population, but were responsible for over 30% of cosmetic sales and professional services.  This sudden interest in this market so influenced the sales that it put a large dent into the black manufactures sales and market share.  To that end the Afro American owned manufactures of hair care and cosmetics products formed the American Health and Beauty Aids Institute.  The main function of AHABAI was to draw attention to the Afro consumer to know and recognize what products are manufactured by Afro owned firms in hopes that the Afro consumer would show preference and loyalty to their brands over the majority owned brands.  However while both black and majority  manufactures were working on how to preserve and increase their market share, an unexpected and unanticipated competitor came on the scene unnoticed and undetected until they were already here and in control of a large segment of the market.  ENTER THE KOREANS.  The Koreans started coming to this country in large numbers due to the political unrest in their country.  They pooled their finances (partly from funds provided by the U.S. for political refugee relocation) and through net working among them selves slowly took charge and control of several industries and trades.  Chiefs among these are Fingernail, Wig, Commercial Hair, and the Beauty Supply Ethnic Distribution Businesses.

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The Koreans control over 85% of all ethnic hair care products sold in Beauty Supply Stores without regard as to who is the manufacture.

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Before the Korean entry into the market over thirty-five years ago, there were a few black owned or black oriented Beauty Supply Stores primarily in predominately black communities all over the United States.  Today the majority black areas in all large and smaller cities have thirty (30) times as many Beauty Supply Stores then twenty-five years ago, mostly Korean owned. The number of such stores in predominately non-black areas remains mostly unchanged in the last 25 years.  Why is this?  The simply less complex answer is two fold, #1. Is that the main stream of products that the Korean Stores feature is hair in many forms, wigs, weaving, extensions and many types and kinds of hair add on’s and augmentations.  Female Afro Americans are the largest consumers of these products.  Asians have a greater access to the availability of commercial hair because the majority of this hair is gathered and processed in Asian Countries.  So the Koreans have greater access and availability of the product, and Afro American females are the primary consumer.  #2.  The most likely place to sell hair is in a Beauty Supply Store where people go to purchase hair care products.  So hair care products and commercial hair are a perfect union.  Also Afro Americans buy and use hair care products in a disproportionate number then other cultures.  Afro Americans currently are only 12% of this countries racial make up, yet they are responsible for over 33% of hair care products, cosmetics and professional service in this area of consumerism.  This accounts for the reason why most Korean Beauty Supply stores are located in Afro Communities; this is where the largest customer base is for commercial hair and products.

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There have been complaints from the Afro community that the Koreans have taken over and dominate the Afro Beauty Supply Market.  This is true, but is not a valid complaint because the Koreans just took advantage of a business opportunity that others including the majority community over looked or ignored.  The Koreans have also been accused of not allowing those other then Korean Beauty Suppliers accesses to the availabity of the hair that they primarily have control of.  But as a result of these complaints, local and federal governments through the Fair Trade Commission have stepped in to declare this unlawful and discriminatory.  Due to the fact that Asians had the greater access to hair then any other faction, and that Afro Americans are the primary consumers, it stood to reason and good business sense for their retail outlets to be in the locations where the market is.  Because the Koreans have direct access to hair through their homeland and most others do not, it is difficult to compete when it comes to availability and pricing.

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With all of the changes over the last thirty five (35) years the former Afro owned Beauty Suppliers should not really blame or get upset with the Koreans for this phenomenon, because the Koreans are doing what those who were adversely affected by the changes should have done long before the Koreans came on the scene, and that is to network within the industry for a common goal.  This may be a bitter lesson to learn, but it is better to learn it late then not at all.  There are still some out there who can still benefit by the example set by the Koreans.

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Today the Beauty Supply Business has increased by over 500% resulting in many more retail outlets for manufactures to move their wares.  This growth of the industry is directly attributed to the Korean factor.

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Sally’s Beauty Supply is the largest beauty supply chain in the world with well over 2300 stores in the US.  Sally’s represents about 10% of such stores in the US, however the Korean’s have collectively 4 times that many, and most are much bigger and have a larger inventory including local and regionally produced products.  The Korean factor has also influenced the growth plans for Sally’s by opening stores in new shopping centers & malls before Sally’s could secure a lease.  Shopping centers & malls contractually cannot allow two or more businesses to compete against each other in the same venue within a given area.  In 1996 Sally’s had projected having over 3,000 stores by 2005.  The Korean factor has shortened that goal.  The Koreans control over 85% of all Afro hair care products sold in Beauty Supply Stores.

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Although there are now more than thirty (30) times as many so called beauty supply stores then before, (most are in reality neighborhood cosmetic retail outlets).  There is little if any importance put on who can or cannot buy products labeled FOR PROFESSIONAL USE ONLY.   By operating under the umbrella of a beauty supplier, they are able to purchase and sell professional products to all customers.  Other retail stores that deal with the general public are forbidden by law to display or sell products with this label.  There in lies an excellent opportunity for the Korean supplier to gain or regain the respect and admiration of the cosmetology professional, by honoring and respecting this time honored code.  Sally’s Beauty Supply does support this code with no adverse affect to their business.  One way to do this is to set aside a portion of the store designated for cosmetology professionals and students only and allow only those patrons to shop there. There are now stores known as (PROFESSIONAL ONLY STORES), these stores only stock professionally oriented product and *Direct Sale products and will sell to licensed cosmetologist or cosmetologist students only.  These stores for the most part are majority owned and located primarily in non-Afro communities, and are not affected by the Korean influence.

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*Direct Sale: High end products sold directly to salons from the manufacture to control sales to professionals only.

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The success of most of the Korean Beauty Supply Industry is this important faction, networking with others to form coalitions for collective buying so that they can earn the same discounts as the large chain store operations get.  The results today are large Korean Owned wholesale discount warehousing in most major cities in the country that service both Korean and non Korean Beauty Suppliers.  There are many times more such warehouse operations now country wide, then prior to the Korean entry.  In fact the largest beauty supply distribution network is Korean owned Jinny’s Beauty Supply with distribution centers in 5 major cities within the US.

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The main factor as to why the Afro beauty supply consumer market is so strong is: Afro women spend up to three (3) times as much money per salon visit then do others.  Most other patrons get shampoos and sets per visit.  Afro women generally get a full service treatment such as Relaxer Perms, Curly Perms, Press & Curl, coupled with Conditioning treatments as well as all forms of color services and hair augmentations i.e. Weaves, Braids and Extensions.  Many of these services are not even offered in non Black Salons, plus the Afro patrons return more often than other cultures.

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The reality of the Beauty Supply Business is that the Koreans own and control close to 60% of all beauty supply stores and wholesale distribution of professional beauty products in the U.S. including general market products.  The Korean factor cannot be ignored when evaluating the scope of the beauty supply business.

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So while it is true that the Koreans do control a major share of the sales of Afro designated hair care products sold in beauty supply stores, mostly in Afro dominated neighborhoods, it is not true that they came by this domination with the intentions of exploiting the black community.  They just simply filled a void in the market that was under served.

\n\nThere are a few things that the Korean store owners can do to lessen the apprehensions of their Afro customers.\n

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1. Do not speak in your native language to each other in hearing distance of your non Korean customers. This creates a feeling of paranoia for the customer.

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2. Hire employees who are a part of the ethnic make-up of the community. They are also consumers of the products and as such can aid in the customers needs based on their own experiences.

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3. Openly participate in fund raising activities in the community.

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4. Let it be known that you are doing your part to return some of the Black dollars spent in your store back into the community by what ever means that you are aware of.

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5. Attend meetings that concern the community’s well being and improvements.

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\nMost Koreans do not live in the community where their businesses are located.  This is understandable on many levels due to cultural and traditional reasons.  However, this should not prevent you from being a contributing member of that community.\n

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