In 1983, there is no doubt that when Mr. Joong Hyun Ki created an anodizing plant, he was not yet aware that he had just started what would become, twenty eight years later, the number one producer of airless packagings with a piston. In 1990 he had the idea to engage in the manufacture of pumps. At the time, they were all imported pumps. Soon enough, demand is there and in 1992, the man moves into a new plant fully dedicated to the manufacture of his pumps. In 1995 Yonwoo launches its first airless packaging with a piston. The growth is rapid. In 2008 the company records net sales of more than 72 million USD who will jump to 95 million the following year, to reach 140 million last year. In parallel, the staff rises from 562 people in 2009 to 960 people in 2011.
"Actually, explains Daniel Cha, the export sales manager, we have had to cope with growth rates ranging from between 20% and 32% per year for ten years! It would be impossible for Yonwoo to absorb them if we didn’t have a clear vision of the future of the company and one of the reasons we have managed to increase our business successfully and rapidly so far is due to the pre investments undertaken and based on our forecasts for the year ahead. Hence, we add new equipments and also innovative automated processes to our production tool. In doing so we can remain competitive in terms of lead time and also be able to accommodate large amount of new orders from our customers. We believe that the key to our success was so far and still is today based on continued investments in R&D and in the increase of the production capacity."
Full integration and mastered outsourcing
The factory tour proves it, production runs full speed. Yonwoo weighs 55% of Korea’s airless market and believes being one of the 1st players on the global market.
Main assets of the Korean company, a maximum integration from the designing of the moulds including injection, the stamping of metal parts, all the finishing techniques (coating, plating, anodizing, hot stamping, screen printing etc.). and, of course, assembly. The population of assembly machines is also impressive with no less than 35 lines (2009 figures) for the pumps and 62 lines (2009 figures) for the pump/body/piston set.
Last December, two new buildings have been built to house fully automated production lines with eighteen high speed injection moulding machines. Total amount of the investment, more than eight million USD. "Purpose of the operation, explains Daniel Cha, to be able to respond competitively to the demand for larger quantities. In fact, we can now offer a wide range of competitive solutions in both the high end and what could be called the class-mass segment."
From the airless to electronic dispensers including tubes
Here again, only one key word, "innovation". No fewer than 90 people work in R&D. "We put a dozen new products on the market each year," emphasises Daniel Cha. Latest developments to date, a series of new dispensers combining the advantages of airless to what is known today as instrumental beauty. "More clearly, we were told at Yonwoo, this concerns electrical or electronic appliances that provide a real service at the pre-treatment level of the skin and to which we add our expertise in the field of airless."
The airless, of course, but also the tube. Because, since 2007, Yonwoo also manufactures plastic and aluminium/plastic tubes. "And we will invest again in this area too," concluded Daniel Cha.
