In a strategic move, Starbucks has entered the Chinese co-branding arena, partnering with the iconic “Journey to the West”. This marks Starbucks China’s first beverage collaboration, notably with a Chinese IP – the “superhero” Sun Wukong.
The featured product of this collaboration is the “Flowing Latte”, designed primarily for delivery. Its unique appeal lies in the gradual separation and freezing of coffee cream and milk during delivery, ensuring a distinct, semi-frozen texture upon arrival. Flavors include French Caramel, Rum Chocolate, and the upcoming Rose.
This collaboration extends beyond online platforms. In-store, the “Peach Feast” series, inspired by the Peach Banquet scene from “Journey to the West”, offers two flavors – Golden Roast Peach Oolong and Golden Roast Oat Peach Latte.
Starbucks’ approach differs from domestic brands like Luckin Coffee, which cater to price-sensitive youths and capitalize on marketing stunts. Starbucks opts for a more conservative strategy, partnering with well-known Chinese content IPs to reinforce its premium positioning.
Despite its cautious approach, Starbucks’ choice of Sun Wukong represents a significant concession to the Chinese market. Sun Wukong’s international appeal aligns with Starbucks’ global brand image, yet it may seem outdated or lack excitement for younger Chinese consumers, who prefer contemporary trends.
Starbucks’ commitment to brand uniformity is evident in its decision not to design custom packaging for this collaboration. This reflects a balancing act between appealing to the local market and maintaining a consistent global brand identity.
In the post-pandemic era, Starbucks has emphasized the importance of the Chinese market. The brand has announced various localization strategies, including the “Ten Thousand Stores Plan”, investment in supply chains, and accelerated product innovation.
Starbucks’ response to the evolving Chinese coffee market has been strategic. The brand is adapting to stay relevant with aggressive competitors like Luckin, HeyTea, and Naixue. Initiatives include offering discounts, live-stream sales, and rapidly introducing new products.
In conclusion, Starbucks’ collaboration with “Journey to the West” represents a cautious yet strategic approach to innovation and tradition in China’s dynamic market. While maintaining its core brand values, Starbucks is learning and adapting to remain a leader in the evolving Chinese coffee industry.