Berjaya Food Posts RM292 Million Loss Amid Starbucks Boycotts

An online football meme triggered a wave of consumer boycott calls targeting Indonesian grooming brand Kahf, highlighting how digital culture and geopolitical sentiment can swiftly intersect to impact corporate bottom lines across Southeast Asia, channelnewsasia.com reported. The incident drew fresh scrutiny to the power of social media mobilization, arriving as regional markets continue to grapple with sustained economic protests linked to the Israel-Hamas war.

Financial Toll and Consumer Power

According to a Bloomberg report cited by channelnewsasia.com, Starbucks operator Berjaya Food Bhd recorded an annual net loss of RM292 million in June 2025, driven by a sustained fallout from Middle East conflict-related consumer sentiment that disrupted market dynamics and shifted local spending patterns.

Writing on Threads, user eafa_fiza emphasized the collective influence of shoppers amid the broader Boycott, Divestment, Sanctions campaign.

We decide who stays and who shuts down. This shows how strong we are when we unite. One silent boycott and a global brand can lose RM292 million (US$71.5 million) and close 88 stores. The power is truly in the hands of the consumers

eafa_fiza

Market Permanence and Diplomatic Limits

Despite significant short-term disruptions, economic analysts suggest that brand damage from social media campaigns is rarely permanent. Sunway University economist Yeah Kim Leng told CNA that emotional purchasing habits eventually give way to rational behavior.

Eventually, product functionality prevails over emotion once rationality returns. Unless alternatives offer equal or better value, consumer sentiment usually gives way to product functionality once emotions cool down and rational purchasing habits return

Yeah Kim Leng

Yeah also distinguished spontaneous online disputes from structured movements like the BDS campaign, noting that the latter are far more enduring because they resonate across broader segments of society and tap into deeper ideological convictions. Indonesia’s Trade Minister Budi Santoso downplayed the calls targeting Indonesian products, telling local news outlet Tempo on Oct 8, that the online push had not affected bilateral trade relations. I don’t think it has (an impact). This is probably just a temporary response, Budi said.