Don't cede human judgement to it.

— Teresa Martin, columnist

Tech Eyes, June 2026: A Tale of AI, hubris, and a marketing meltdown

About the Author: Teresa Martin

The current Starbucks Korea meltdown shows the dangers of letting AI become your creative director

Click on graphic above to listen to the column.

Think of this as a lesson in AI and hubris.

By now, you’ve probably seen, heard, or read about how Starbucks managed to destroy its brand, lose billions of dollars, and generally come across as ignorant and insensitive. All from one marketing campaign.

What happened to Starbucks?

This cautionary tale takes place in Korea, where Starbucks had (note the intentional past tense!) grown into more than a coffee brand: it was THE coffee, its gift cards were part of deeply woven gift giving culture, and its brand was burnished and shiny.

It’s hard to explain just how much the brand was valued – maybe think of it as the equivalent of the Tiffany’s of coffee in Korea.

And then came the marketing campaign.

What was wrong with the campaign?

Long story short, the Starbucks marketing campaign involved promotional tumblers  called the “Tank Series” and launched on a promotional “Tank Day,” May 18.

Not only does that sound like an incredibly strange marketing idea in general, but … well …

May 18 also happens to be bloody anniversary in South Korean history.

What does May 18 mean in South Korea?

On May 18, 1980, South Korea’s military dictator Chun Doo-hwan squashed the Kwangju Uprising aka the Democratization Movement, His party rolled TANKS  and other vehicles of destruction into the streets in the southern city for Kwangju, killing perhaps as many as 2300 people over six days. The date remains deeply etched in the country consciousness.

But wait, there’s more.  The Starbuck marketing campaign also had a slogan that translates roughly as smack on the desk. Unfortunately this notorious phrase conjures up a moment from 1987, when authorities claimed that the torture death of student activist Pak Jongchul was not torture, but simply that an officer “smacked the desk loudly” and the student fell over dead.

How did the public respond to the campaign?

Needless to say, within hours people were smashing once-precious Starbucks mugs and posting the act on social media. The outrage grew wide and deep and loud. Sales disappeared. In less than a day, Starbucks had become a pariah.

All of which begs the question: How could such deeply emotional triggers around authoritarian regimes, a fight for democracy, and death of citizens in the street become a lighthearted campaign for coffee tumblers that premiered on the bloody anniversary?

Who had the idea for the campaign?

Two words: Artificial Intelligence.

Yes, it seems some brilliant brain in Starbucks Korea decided that nothing says brilliant marketing better than an AI generated idea.

Could an AI engine determine that the date May 18 was important in Korea? Could it suggest the term “tank day” could be associated with this? Could it find the phase “smack the desk” in a cloud grouping? Yes, yes, and yes.

And that demonstrates exactly why this smart technology is so dumb. And why the four levels of management that approved the campaign were even dumber.

How did this campign happen?

It’s unclear whether no one actually looked at the campaign or if everyone just agreed that if AI said it was a good idea then it must be.  In the end it doesn’t really matter. But it does demonstrate – in a very real very large dollars way – the pitfalls of trusting technology without applying human oversight.

This week all the corporate executives at Starbucks Korea were to attend a history training. On June 22 all the Starbucks retail stores will close early so that all those employees can also watch the training. The CEO is gone. Public apologies have been made. No one wants a Starbucks gift card any more.

What are the pitfalls of AI?

Way too many of us seem willing to jump on the AI train, trusting that it can gather information, write your reports, code your software, and generally replace humans in business at a lower cost and with fewer errors.

People ask me often about my thoughts on AI. My 2cents? I don’t think it is inherently good, or bad, or anything else. It’s a tool. Period. Full stop. Use it where it helps, don’t use it when it doesn’t, and above all don’t cede human judgement to it. After all, just ask the investors who needed to explain $5.3 million in weekly Starbucks sales disappeared overnight.

More information:

US Library of Congress Resource Guide on the South Korean Democratization Movement (1960-1980s)

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