K-character goods target US millennials as KOTRA, Artbox open LA pop-up

Korean consumer goods exports, which have grown on the strength of K-beauty and food products, are now branching into character merchandise and design stationery. The Korea Trade-Investment Promotion Agency is running a pop-up store in Los Angeles alongside 34 domestic small and medium-sized enterprises to gauge local consumer response firsthand.

KOTRA announced Wednesday that it has been operating the Artbox pop-up store on Melrose Avenue in Los Angeles since Saturday, running for nine days in partnership with Artbox.

The event features 34 Korean small and medium-sized enterprises that produce character goods and design stationery. The Ministry of Trade, Industry and Energy and KOTRA organized it as part of a project to support domestic retailers and small consumer goods companies in expanding overseas together.

Melrose Avenue, where the event is being held, is one of LA's premier commercial strips, lined with fashion stores, cafes and galleries. The street draws heavy foot traffic from young consumers and tourists, partly thanks to landmarks such as Paul Smith's "Pink Wall," a popular photo spot.

Rather than simply displaying products, KOTRA put participatory programs at the center of the pop-up, themed "Artbox: Unbox the Fun."

The venue includes a space where visitors can try "diary decorating" — a popular craft trend in Korea — as well as photo booths. The setup is designed to encourage local consumers to go beyond purchasing and experience the brands and products firsthand, then share that experience on social media.

ILLIT, the K-pop group serving as Artbox's global ambassador, also visited the event. KOTRA expects more than 4,000 people to attend over the course of the pop-up, including consumers, local retailers and buyers.

One visitor said it was exciting to see and experience Korean character and design products all in one place, adding that the distinctive designs and wide product range left a strong impression.

KOTRA's focus on character merchandise reflects a shift in how young American consumers shop. The trend of experiencing a product in person and then sharing it online has been growing in the United States, as has the "collectible" market, where fans build collections of small items tied to characters or fandoms.

Small goods in particular — keychains and "blind boxes," whose contents are unknown until opened — are increasingly bought as a way for consumers to express personal taste. Brick-and-mortar stores are also moving away from simple sales floors toward spaces where customers can interact with products.

KOTRA plans to analyze consumer feedback and purchase data gathered at the pop-up and apply the findings to follow-up export projects. The agency aims to identify which products, designs and price points resonate in the US market and use that intelligence to help participating companies break into local distribution networks.

KOTRA is also working to expand character goods sales in China. Last month, it invited executives and purchasing managers from Xiaomang — a Chinese e-commerce platform with about 200 million users — to Korea for a sourcing event to discover domestic character intellectual property products.

An Artbox official said the pop-up is part of a global campaign to help overseas customers discover and experience new enjoyment through Artbox, adding that the company hopes the event will give American consumers a chance to share and spread the appeal of Artbox and K-character goods.

KOTRA Executive Vice President Kim Myung-hee said that as the K-food and K-beauty wave continues to sweep the world, K-character goods and design products are also gaining popularity. She added that KOTRA will work with domestic and overseas distribution networks to expand pop-up marketing that reflects local consumer trends, with the goal of diversifying Korean consumer goods exports.