Starbucks is a name recognized all over the world. According to an article published in May 2022, Starbucks stores are located across 80 countries and the number of stores is close to reaching 35,000. In America, it seems like there is always a Starbucks conveniently located nearby. If you need your daily dose of caffeine to make it through a day of work or school (or both), there’s probably a Starbucks just down the street from you. This is also the case in Korea, Starbucks’ fourth largest market.
There are cafes galore in Korea. From chain coffee shops to small mom and pop spots, there’s endless options for consumers. I remember walking the streets of Gangnam, Hongdae, or Itaewon and seeing countless cafes to choose from. I’m not surprised to hear over 18,000 coffee shops are in Seoul, the capital. However, the company that beats all the competition is Starbucks. Apparently, the coffee giant’s popularity in Korea is from its localization strategy. “Starbucks works with local companies when marketing to overseas markets. Starbucks Coffee Korea was also established in the form of a joint venture between Starbucks headquarters in the US and Shinsegae in Korea, each holding 50% in stakes” (The Jeju Weekly, 2019). Korea is also the only other country besides the US to have its own design team for Starbucks. They use hangul (Korean letters) and incorporate images of palaces or other historic locations in Korea on various items. Starbucks also offers menu items that appeal to Korean consumers. For example, the current menu on the Starbucks Korea website features a “Lilac Blossom Tea” and a “Spring Strawberry Latte.” They also offer cherry blossom flavored items and cherry blossom themed merchandise during the spring. Even with these differences, when you visit a Starbucks in Korea, you will notice they aren’t much different from the locations in the US. The menu has many of the same drinks written in both English and Korean. The stores also have the same aesthetic with modern interiors.
The first Starbucks location in Korea opened in 1999. To the company’s surprise, it was a huge success. “The company had entered and expanded in South Korea right as coffee shops were beginning to flourish across the country, and in Seoul” (NBC News, 2014). Since Korean homes are quite small, cafes are perfect for people to get together and hangout. Koreans also enjoy American products, viewing such companies as Starbucks as high-end. An article stated, “Starbucks has one tool in its arsenal that will likely help to ensure it weathers whatever downturn hits its Korean counterparts – it’s an American brand, and Koreans have had a strong affinity for American culture stretching back to the Korean War” (NBC News, 2014).
If you ever visit Korea and need your Starbucks fix, you’ll have no problem getting it.
Sources: http://www.jejuweekly.net/news/articleView.html?idxno=6103