Starbucks Korea regains top coffee brand spot in September

Starbucks Korea has reclaimed the top spot in South Korea’s coffee market by estimated credit and debit card spending for September, overtaking A Twosome Place after a five-month slump.

According to data from IGAWorks’ Mobile Index, Starbucks recorded approximately 121.08 billion won in card payments last month, a 4.3% increase from August. This marks the third consecutive month of growth following a low in June. In contrast, A Twosome Place saw its estimated spending decline by 6.4% to 110.5 billion won, losing the lead it had held since May.

The decline in Starbucks' performance earlier this year was linked to the ‘Tank Day’ controversy in May. The company faced intense backlash for using that term during a promotion on May 18, the anniversary of the Gwangju Democratic Uprising. In response, Shinsegae Group dismissed the head of Starbucks Korea, issued apologies, and implemented historical education for employees.

Industry analysts suggest the recovery may be due to fading negative sentiment and the resumption of marketing activities, including new product launches and customer benefit programs that were suspended during the controversy. However, the data is based on card transactions and does not include prepaid cards or mobile gift vouchers, so it may not reflect total revenue or a complete recovery of consumer trust.