LG Household & Health Care Sells Avon's US Business for $6.3 Million, Realigns North American Strategy

LG Household & Health Care is divesting its North American Avon business, a move that signals a significant strategic pivot for the South Korean company. Acquired in 2019 for approximately 145 billion won (around $105 million USD), the direct-selling cosmetics brand is being sold after just seven years.

The company plans to streamline its North American operations by exiting the door-to-door and direct sales model associated with Avon. Instead, LG H&H USA will concentrate on strengthening its presence in retail and digital markets. This sharpened focus will prioritize its own successful brands, including Dr. Groot for hair care, and Belief and CNP for skincare.

This strategic realignment aims to bolster LG Household & Health Care's competitiveness in the North American market. By shedding the legacy Avon business, the company seeks to leverage its established brands and adapt to evolving consumer preferences for online and in-store purchasing. The move reflects a broader trend in the beauty industry towards direct-to-consumer digital strategies and curated retail experiences.