Meeting with Beauty Industry Strategist Sungwon Ra

Meeting with Beauty Industry Strategist Sungwon Ra

We met store owner Sungwon Ra at the Beauty 4U near LAX. He also runs a store with the same name in nearby Long Beach. With nearly 30 years of experience across wholesale, retail, distribution, and store management, Ra has dedicated most of his immigrant life to the beauty industry. He raised his children through this work and now finds joy solely in the work. We spoke with Mr. Ra, who has seen the industry evolve over the years, about his perspective on today’s beauty supply market and how he manages his stores.

 

From Wholesale to Retail: Ra’s ‘Genuine’ Challenge

Outside the store, he greeted a waste collector with a warm smile, offering a coffee mix he had brought himself. His routine reflects a personal touch in everyday moments. Recently, he reported a homeless person sleeping in the parking lot for safety reasons, but after hearing, “Can I just sleep here for a bit at night?” he allowed it. “Think of it as a night shift guard,” he joked. His approach to people shapes the atmosphere both inside and outside the store.

Once an executive at a major hair company, Sungwon Ra was deeply familiar with the industry, having visited factories in China, Indonesia, Bangladesh, and even a monastery in India. Six years ago, he decided to try retail firsthand. However, running a store proved to be an entirely different challenge. “Wholesale experience alone wasn’t enough. This was a different game.” So, he reached out to Seok Kyun-wook, CEO of Beauty 4U and a retail pioneer: “I want to try retail. Please help me.” That simple request began it all. Seok offered invaluable advice on everything from operations to store layout. While their long-standing relationship played a role, Ra believes there was a deeper reason. “CEO Seok knows how to separate personal trust from work. Maintaining that balance is tough, but he does it effortlessly. I respect him for that.” Ra recalls Seok joking, “Can I use your store sign?” “Sure. By the time I’m gone, you’ll probably be retiring too,” Ra replied, laughing.

 

Sungwon Ra’s Retail Lessons

In the early to mid-1990s, most beauty stores were small, selling wigs and OTC products separately. Ra, then a salesman, encouraged store owners to add hair products, but most replied, “What hair products in such a small store?” Still, Ra sensed the market was shifting. Soon after, stores with the current beauty supply format began emerging, including large locations converted from department stores. Around this time, a sign reading “The World’s Largest Beauty Supply” near Washington D.C. drew industry attention. It belonged to Beauty 4U. “That was the renaissance of beauty supply. Sales grew by 20 to 30 percent annually.” However, Ra believes the industry’s growth wasn’t just about expanding store size.

Beauty 4U’s approach was a revelation for him. They allocated separate budgets for interior, displays, and lighting, carefully managing operating and labor costs to ensure profitability. He still recalls CEO Seok’s words: “Black customers deserve to spend money in spacious, clean environments.” This was a turning point, realizing that how and where products are sold is more important than simply selling more. “That approach isn’t the only answer, but it was my starting point.” Today’s stores reflect those early lessons in every detail, from product displays and customer flow to pricing and first impressions. “Ultimately, it’s about finding a style that works for me and what I can manage. If asked where it began, I would say without hesitation, it was Beauty 4U.”

 

 

Retail Insights from Sungwon Ra

His stores are neat and comfortable, with each display and price tag intentionally placed. They operate through ‘strategic details.’

1. Display Criteria: ‘Stable Supply’

“No matter how good a product is, it’s useless if it’s out of stock,” says Ra. He prioritizes supply stability over trends, placing steady sellers with reliable restocking at the front of his stores. This builds customer trust and streamlines store management.

2. Everyone Can Shop Without Feeling Intimidated

“Through retail, I learned that price influences the market more than quality. No matter how good the quality, price must stay within limits. Consumers have budget constraints and set spending caps for styles and products.” For this reason, he intentionally displays lace-free wigs priced in the $30 range near the entrance with large price tags. This creates a no-pressure shopping experience while ensuring good margins. “Some prices intimidate consumers. I’ve learned that’s not effective. I arrange products in a way that makes customers feel confident and comfortable buying here.”

3. Ultimately, It’s the Ponytail

Recently, Ra expanded his drawstring ponytail product line. “All those gels and edge products lead to one style: the slick back. Priced between $19 and $25, it’s affordable for customers and sells quickly. Many repurchase within a week.” He hopes a thin, lightweight cap will be released soon, allowing the younger generation, who have embraced the slick-back style, to enjoy it fully.

He expanded the drawstring product line from 30 to 50 variations and increased the color options from 6 to 10.

4. Inventory: ‘Enough to Be Visible, Enough to Turn Over’

“If products aren’t visible, they won’t sell,” says Ra. He prefers displaying only the necessary inventory neatly, rather than stacking boxes. This makes it easier for customers to find items and for staff to stay organized. A clean display also accelerates purchase decisions.

5. Trends from Standout Customers

“Retail allows me quickly grasp trend shifts,” he says. He closely observes what stands out to customers, noting their style preferences and carefully listening to their requests. While research was key to spotting trends in wholesale, retail offers firsthand experience that reflects those trends. Ra believes today’s consumers, with easy access to social media and online searches, are seeking products they want, not just those supplied by wholesalers.

 

Healthy Competition Proves the Industry is Alive

“Lately, even a single new competitor sparks reactions like, ‘We’re finished,’” says Ra, cautioning against such overreactions. “Competition is always present. It proves the industry is alive.” He views competitors not as threats, but as catalysts driving the market forward. For Ra, hair remains the most important area, with Korean-owned businesses still holding a dominant position. “Hair defines the identity of beauty supply stores. Losing that focus means losing to dollar stores and big chains.” While Walmart and Ulta carry chemicals and general beauty products, hair is different. “We still lead in supply, production, and development.” That’s why he places wigs front and center in his stores. “I wanted customers to immediately get the message, ‘This store sells wigs,’ so they remember us.”

 

Who We Are Waiting For Now

“Reflecting on why the Korean beauty supply industry has endured for over half a century, Ra highlights that key figures in both companies and retail have driven the industry forward at each stage. By taking risks and leading the way, these pioneers paved the path, and others followed suit two to three years later, helping to grow the market. “There have always been such people and new beginnings. Jung Jin-chul of Royal, where I worked, popularized the human hair industry. Seok Kyun-wook, who founded Beauty 4U, led the retail side. Working with both was a great fortune.” However, he expresses concern about the present. “The economy isn’t bad, but I don’t see anyone ready to take the industry to the next level.” He hopes someone will emerge to tackle marketing, customer experience, and product quality together, preparing for the future. His words linger, and we, too, hope that moment arrives soon.

 

 

 

STORY By HEEJIN SONG
BNB 매거진 2025년 8월호 ©bnbmag.com