When Brand Ownership Becomes a PR Problem

Brand ownership is not just a financial arrangement. It is a relationship that shapes public perception. When that relationship produces controversy, the PR crisis travels upstream to the brand, regardless of who made the decision or where it was made. We examined the cases where brand ownership became a PR problem in 2025 and 2026, and the patterns reveal how ownership structures create, amplify, or fail to contain reputational damage.

Starbucks Korea: The Licensee Crisis

In May 2026, Starbucks Korea launched a "Tank Day" tumbler campaign. The campaign slogan "Put it on the table with a sound of 'Tak!'" echoed language from South Korea's military dictatorship era. It launched on the 46th anniversary of the Gwangju military massacre, where hundreds of pro-democracy protesters were killed.

The ownership structure is critical. Starbucks licensed the brand to Shinsegae Group's E-Mart, which holds the controlling stake. Starbucks Global holds no equity. The campaign was designed by Shinsegae's team. Starbucks Global did not approve it.

But public perception does not follow the ownership org chart. Consumers, media, and regulators see the Starbucks name. President Lee Jae Myung said the campaign "insults the victims and the bloody struggle." In August 2026, police raided Starbucks Korea headquarters. The CEO was fired. Shinsegae Group Chairman Chung Yong-jin faced a criminal complaint.

The PR crisis traveled upstream to Starbucks Global despite the licensing structure. The brand's reputation was damaged by a decision made by a licensee. Starbucks issued an apology, but the damage was done. Shinsegae reported a "serious decline" in Starbucks sales in South Korea, one of the chain's largest markets.

The key lesson: licensing does not insulate a brand from reputational damage. The brand name is the asset. When the licensee damages it, the brand owner suffers.

Cracker Barrel: The Rebrand That Broke the CEO

In August 2025, Cracker Barrel unveiled a new logo as part of a $700 million rebrand. The "Old Timer" character was replaced with a text-only design. The backlash was immediate and political.

Rep. Byron Donalds posted: "No one asked for this woke rebrand. It's time to Make Cracker Barrel Great Again." President Trump wrote on Truth Social: "Cracker Barrel should go back to the old logo." The White House posted on X: "Go woke, go broke."

$94 million in market value was erased in one day. Within days, the old logo was restored. The remodel program was suspended. CEO Julie Felss Masino said the rebrand was "supposed to be functional, not ideological." She believed the new logo would be easier to see on billboards.

In July 2026, Masino stepped down. David Deno, former CEO of Bloomin' Brands, replaced her. As one brand expert noted: "The rebrand didn't break the business. It broke the CEO's ability to lead."

The PR crisis was ownership-driven in a unique way. Consumers felt ownership of the Cracker Barrel image. When the corporate owner changed that image without consent, the response was swift and political. The crisis was not about who owned the company. It was about who owned the brand's identity.

Ben & Jerry's: The Activist Brand Silenced

Ben & Jerry's sold to Unilever in 2000 with an independent board agreement. In 2024, the board sued, alleging Unilever blocked the brand from voicing support for Gaza, forced out CEO Dave Stever, and stripped governance powers.

Unilever spun off its ice cream brands into The Magnum Ice Cream Company in December 2025. The conflict continued. Magnum removed the board's chair, set term limits forcing out directors, and required remaining directors to sign an "allegiance pledge." The Ben & Jerry's Foundation was shut down after Magnum cut off funding and evicted its three staffers.

The PR crisis is structural. Ben & Jerry's brand identity is built on social activism. Magnum's corporate interest is in selling ice cream, not funding political causes. The conflict between these interests created a PR crisis that has lasted more than two years and shows no sign of resolution.

Co-founder Ben Cohen's "Free Ben & Jerry's" campaign has generated significant media coverage. More than 130,000 people signed a petition. Magnum's stock dropped approximately 25% from its February high. The PR crisis has become a financial crisis.

Wasserman/The Team: The Founder Scandal

Casey Wasserman, chairman of the 2028 Los Angeles Olympics organising committee, saw his reputation spiral after emails between himself and Ghislaine Maxwell were revealed in the Epstein files release in January 2026. The emails, exchanged in 2003, were described as flirtatious and risque.

The impact on the agency was immediate. More than 20 artists said they were dropping Wasserman, including Chappell Roan, Gigi Perez, Orville Peck, Weyes Blood, Beach Bunny, Local Natives, Chelsea Cutler, Dropkick Murphys, and Best Coast's Bethany Cosentino. Employees expressed concerns.

Wasserman announced he would sell the company in February 2026. In March, the agency rebranded as THE TEAM, removing Wasserman's name. In July 2026, Providence Equity Partners, which already owned 60%, confirmed it would acquire Wasserman's remaining stake. Mike Watts was promoted to CEO.

The PR crisis was attached to a specific individual. The resolution was to remove the individual and rebrand. The agency's underlying business was sound. The controversy was personal, not structural. This made the crisis resolvable in a way that Ben & Jerry's conflict with Magnum is not.

Kogan: The Clone Website Discovery

In July 2026, an ABC investigation revealed that Australian retailer Kogan was operating a second website called Exclusive Brands, selling the same products at mostly higher prices. The ABC analysed 1,033 products and found a median price difference of $100. The total price across all products on Exclusive Brands was $393,895, compared to $220,610 on Kogan.com.

Former ACCC boss Rod Sims called for an urgent investigation. The revelation was particularly damaging because Kogan was previously found guilty of misleading discounts in a 2020 Federal Court case, fined $350,000 for increasing prices before a promotion and reducing them after.

The PR crisis is ownership-created. Kogan set up Exclusive Brands as a separate entity within the Kogan group of companies. The structure allowed Kogan to present "standard retail prices" on Kogan.com that matched prices on Exclusive Brands, making discounts appear larger. The ownership structure was designed to create the appearance of bargains.

Kogan denied using Exclusive Brands to set its advertised discounts. The ACCC declined to confirm whether it would investigate. But the reputational damage is done. Consumer advocacy group Choice has placed Kogan on its "shonky" companies list multiple times, and the clone website revelation reinforces the perception of a company that manipulates pricing.

The Patterns of Ownership PR Crises

Several patterns emerge from these cases. First, licensing does not insulate brands from reputational damage. Starbucks Korea's Tank Day crisis damaged the global Starbucks brand despite the licensing structure. The brand name is the asset, and damage to it travels upstream.

Second, consumers claim ownership of brand identity. Cracker Barrel's logo change triggered a political backlash because consumers felt the brand's image belonged to them, not just to the corporate owner. When corporate decisions conflict with consumer identity, the PR crisis is immediate.

Third, structural conflicts produce lasting crises. Ben & Jerry's conflict with Magnum is structural: the brand's activism conflicts with the parent's commercial interests. This cannot be resolved by removing an individual or rebranding. It requires either selling the brand or fundamentally changing the ownership relationship.

Fourth, individual scandals are resolvable. Wasserman's departure and the agency's rebrand resolved the PR crisis in months. The underlying business was sound. The controversy was personal, not structural.

Fifth, ownership structures designed to deceive create the worst PR crises. Kogan's clone website was not an accident. It was a deliberate structure designed to create misleading discounts. When exposed, the reputational damage is severe because it reveals intent.

What This Means for Consumers

When brand ownership becomes a PR problem, consumers have power. The Target boycott lost $12.5 billion in market value. The Cracker Barrel backlash erased $94 million in one day. The Citizens Bank De-ICE campaign forced the bank to exit ICE detention financing. The Boiler Room boycott triggered artist walkouts across continents.

But the PR crisis does not always produce change. Starbucks Korea fired its CEO, but the licensing structure remains. Ben & Jerry's Foundation was shut down, but Magnum still owns the brand. Kogan denied wrongdoing, and the ACCC has not confirmed an investigation.

The question for consumers is: "Does the ownership structure that created this PR crisis still exist?" If yes, the crisis will recur. If the structure has changed, the crisis may be resolved. The most effective consumer action targets the ownership structure, not just the symptoms.

Ownership PR Crises Compared

FAQ

What was the Starbucks Korea Tank Day scandal? Starbucks Korea, licensed to Shinsegae Group, launched a "Tank Day" tumbler campaign on the anniversary of the Gwangju military massacre. The campaign slogan echoed language from South Korea's military dictatorship era. President Lee Jae Myung criticised it. Police raided headquarters. The CEO was fired.

Why did Cracker Barrel's CEO step down? CEO Julie Felss Masino stepped down in July 2026, one year after a controversial logo rebrand that erased $94 million in market value in one day and drew criticism from President Trump. The old logo was restored within days, but the rebrand damaged her ability to lead.

How did Ben & Jerry's ownership become a PR problem? Ben & Jerry's independent board sued Unilever and later Magnum Ice Cream Company, alleging the parent silenced the brand's activism on Gaza, forced out CEO Dave Stever, and stripped governance powers. The Ben & Jerry's Foundation was shut down. Co-founder Ben Cohen launched a "Free Ben & Jerry's" campaign.

What was the Kogan clone website scandal? An ABC investigation revealed Kogan was operating a second website called Exclusive Brands, selling the same products at mostly higher prices. Former ACCC boss Rod Sims called for an investigation into whether discounts on Kogan.com were misleading. Kogan denied wrongdoing.

Sources

• BBC: Police raid Starbucks Korea headquarters over 'Tank Day' fiasco (August 2026)
• CNN: South Korean police raid Starbucks Korea headquarters (August 2026)
• The Independent: Cracker Barrel CEO steps down after rebrand cost company $94 million (2026)
• USA Today: After Trump pressure, Cracker Barrel scraps new logo design (2025)
• AP News: Ben & Jerry's co-founder wants the company to be independent once more (2026)
• AP News: Ben & Jerry's Foundation says it will shut down (2026)
• AP News: Casey Wasserman to sell talent agency amid Ghislaine Maxwell email release (2026)
• Billboard: THE TEAM Sale to Providence Confirmed in Company Memo (July 2026)
• ABC News: Kogan running 'clone' website selling same products at higher prices (July 2026)
• SmartCompany: Rod Sims calls for probe into Kogan's 'lookalike' website pricing (2026)