Packaging in F&B: Why are coffee chains competing to launch unique drink cup designs?

In Vietnam's dynamic food and beverage (F&B) sector, coffee brands are increasingly turning to innovative cup designs as a strategic marketing tool to differentiate themselves in a saturated market. This approach not only enhances brand visibility but also fosters customer engagement and drives sales growth.

Market Context and Brand Differentiation

Vietnam’s F&B landscape has become increasingly crowded, with major chains offering near-identical menus, pricing, and promotions. As a result, relying solely on the traditional 4Ps—Product, Price, Place, and Promotion—is no longer an effective strategy to win customer loyalty or market share. Industry experts note that consumer behavior is shifting towards valuing immersive, emotionally resonant brand experiences, pushing businesses to explore new dimensions like packaging and storytelling to differentiate themselves.

Causes of Stagnation in F&B

The traditional 4Ps—Product, Place, Price, and Promotion—are no longer sufficient for standing out in Vietnam’s dense F&B market. With countless brands offering similar menus and promotions, consumer fatigue has set in.

When coffee shops begin to look, taste, and price alike, packaging becomes the final frontier for differentiation. This is especially relevant for consumers who crave aesthetics, novelty, and emotional connection.

The Rise of the Fifth ‘P’ — Packaging

Packaging as a New Battleground

Visual identity matters more than ever. A striking cup doesn’t just hold coffee—it holds brand value. In a marketplace flooded with choices, the cup becomes an experiential touchpoint.

Limited-edition products like the Sapphire Pink Cup serve not only as unique merchandise but also as powerful marketing waves. The buzz around queuing or hunting these items in a short time frame doesn’t just drive sales—it creates a strong FOMO (fear of missing out) effect, prompting customers to anticipate the next drop eagerly. For Katinat and other coffee brands, this isn’t just a creative launch—it’s a strategic move to build a distinct brand persona and cultivate a collector culture among young consumers.

How Coffee Brands Are Winning with Cup Innovation

Katinat’s Rainbow Cup (Ly Cầu Vồng)

Launched in November 2022, this cup featured a material that changes color based on light. The striking design sparked a viral moment on social media, catapulting a relatively unknown brand into the spotlight.

Peony Blossom Cup (Ly Mẫu Đơn)

Targeted at young adults during spring 2024, this cup was designed with peony motifs that changed hues. The design wasn’t just pretty—it sparked conversations and embodied the cultural metaphor of blossoming youth.

Glitter Pink Cup (Ly Hồng Lấp Lánh)

After facing public backlash due to a mistake in a charity campaign, Katinat bounced back by launching a sparkly, feel-good cup that instantly gained traction, overshadowing the previous scandal. Proof that design can reshape narratives.

Velvet Hat Cup (Ly Nhung Lụa Là)

Inspired by Đà Lạt and Vietnamese conical hats, this packaging evoked nostalgia and romanticism. The subtle yet clever design invoked regional pride while promoting premium positioning.

Retro Van Cup (Xe Van Cổ Điển)

Phe La’s 2024 release uses storytelling to connect customers with Vietnamese landscapes, printed directly onto the cup. More than a drink holder, it’s a moving postcard.

Marketing Goldmine: Packaging as a Differentiation Tool

Emotional Resonance and Virality

Unique cups are designed to be shared. Their “Instagrammability” makes them perfect for user-generated content, effectively turning customers into micro-influencers.

FOMO and Scarcity Marketing

Limited-edition cup launches tap into FOMO (fear of missing out) psychology, creating buzz that’s both organic and urgent.

Cost vs. Return: Why It’s Worth It

According to Châu Lê from F&B Insider Hub, the average investment for a unique cup design is around 2,000–3,000 VND per piece, with campaign runs from 60,000–80,000 units. Even a modest 3% revenue uplift can significantly outweigh the cost of design and production—especially when campaigns drive brand buzz and customer retention.

Reputation Management and Sales Recovery

Katinat’s post-scandal rebound via packaging reaffirms that aesthetic innovation can act as brand therapy, rebuilding brand trust and perception through thoughtful design.

Challenges of the Trend

Fleeting Fads vs. Long-Term Strategy

While packaging can generate short-term sales spikes, relying solely on design gimmicks without a strong brand backbone risks being labeled superficial.

Frequently Asked Questions

1. How does packaging impact F&B marketing?

Packaging enhances visual branding, drives social engagement, and serves as a silent salesperson.

2. What is the ROI of cup innovation?

Most brands report a 2–5% increase in campaign revenue due to collectible or viral cup designs.

3. Is this trend just a fad?

It can be—but when tied to long-term branding, packaging becomes a core touchpoint.

4. What makes a cup go viral?

Cultural relevance, visual uniqueness, and limited availability.

5. How can small brands compete with this trend?

By focusing on niche storytelling and clever, low-cost design ideas that spark emotion.

6. Are these designs eco-friendly?

Not always, but consumer demand is nudging brands toward biodegradable materials.

Conclusion

Vietnamese coffee brands are proving that great marketing doesn’t end at the product—it begins with the cup in your hand. For digital marketers, these design trends offer a blueprint for high-impact campaigns that blend aesthetics, emotion, and data.

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