Starbucks' Unbeatable Freebie Legend 'Umbrella Craze'... Marketing Where Both 'Host and Guest' Win
Summer Ready Bag Followed by Umbrella Sold-Out Frenzy
Starbucks Freebies & MD "Ultimately Cultural Purchases"
Widely Seen as Successful Marketing That Captured Both Product and Customer
[Asia Economy Reporter Lee Seon-ae] Starbucks' unbeatable promotional gift marketing continued this year as well. Following the 'Summer Ready Bag' from the 'Summer e-Frequency Event,' the 'umbrella,' a special product from the '21st Anniversary MD (Merchandise)' collection, has been sold out since the first day of the event. Despite some criticism that the marketing tactics are excessive, Starbucks' 'MD strategy' is regarded as a successful marketing approach that perfectly aligns with its management philosophy of 'selling culture.'
According to Starbucks Coffee Korea on the 22nd, the Starbucks 21st Anniversary commemorative umbrella, which began sales the previous day, has been enjoying tremendous popularity from the first day of the event. The umbrella comes with a carrying case and features the Siren logo (a mythical mermaid) from the store's opening in 1999. It was produced in a limited quantity to commemorate the 21st anniversary, with a purchase limit of up to two per person, priced at 25,000 KRW.
As soon as sales started, online communities were flooded with posts related to the Starbucks umbrella. One netizen said, "I lined up from 7 a.m. but ultimately couldn't buy the umbrella," and requested, "Please share information about stores that still have stock." Another netizen said, "I really want one, but I can't find it in my neighborhood," adding, "If anyone is willing to sell it, I will pay three times the price, so please send me a message."
Those who succeeded in purchasing posted verification posts one after another. One netizen said, "I bought the Summer Ready Bag for 100,000 KRW on a secondhand community, but thankfully, I didn't have to do that for the umbrella this time," adding, "Waiting for an hour since morning was worth it, and I hope it rains soon so I can take pictures and upload them on Instagram."
The 21st anniversary special products include demi mugs, mugs, glasses, tumblers, umbrellas, and keychains, all featuring the Starbucks logo from the opening period. Each product is limited to one purchase per person, except for umbrellas and keychains, which can be purchased up to two per person. Given the sales speed, most items like mugs and keychains are expected to sell out quickly, along with the umbrellas.
Earlier, on the 21st, when the 1st anniversary MD sales began, it was also the day before the deadline for exchanging gifts from the 'Summer e-Frequency Event.' Customers who missed out early on the 'Summer Ready Bag' flocked to stores from the morning to get another gift, the 'Summer Chair,' and the Starbucks app experienced overload and connection interruptions.
The 'Summer e-Frequency Event,' which started on May 21, caused a frenzy over the Summer Ready Bag from the first day of the event. Every morning when Starbucks stores opened, long lines formed continuously, creating a spectacular scene, and as the bags quickly sold out, complaints poured in from various places.
Subsequently, hundreds of posts related to the Summer Ready Bag and Summer Chair (priced between 50,000 KRW and 100,000 KRW) appeared on secondhand communities, forming a secondhand market worth tens of millions of KRW.
Starbucks' promotional gift marketing history dates back to 2003. It began with the release of planners in 2003. From 2007, planners were given as gifts after purchasing 15 drinks, including three Christmas beverages, which became the precursor to the current 'Frequency' event. In 2014, Starbucks attracted attention by releasing planners in collaboration with the Italian diary brand 'Moleskine.' In 2018, summer frequency event gifts included selling mats, and in winter, planners were offered. Last summer, beach towels were given as frequency event gifts, and in winter, pens were released in collaboration with the German stationery brand Lamy. All Starbucks promotional gifts have experienced sell-out frenzies, with all prepared quantities sold out. Additionally, various MD products released annually by Starbucks also enjoy great popularity.
Some view this as excessive marketing, calling it 'marketing that reverses the subject and object,' which is an uncomfortable perspective. However, the prevailing evaluation is that no marketing has been as successful as Starbucks'. In fact, coffee beverages account for 70% of Starbucks' total sales, food accounts for 20%, and MD-related sales make up 10%.
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Moreover, the reason Starbucks' marketing has never failed lies in its brand value. In line with Starbucks' management philosophy of 'selling culture, not coffee,' consumers are enthusiastic about various products featuring the Starbucks logo, which means they are purchasing Starbucks culture. Regarding this, Professor Kim Sang-yong of Korea University (Department of Business Administration) commented, "Starbucks customers have come to perceive that they 'enjoy coffee culture' rather than just 'drink coffee,' and as loyal customers, they naturally want to own Starbucks promotional gifts and MD products."
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