Banks Team Up With Starbucks and Olive Young... Is a New Financial Model Taking Root?

[Financial News] Partnership products launched by major banks in collaboration with nonfinancial lifestyle platforms are proving successful one after another. Beyond simple cooperation, banks are working to connect financial services—including accounts, payments, rewards, and savings products—to these platforms in an effort to attract new customer groups.
According to the financial industry on the 2nd, KB Kookmin Bank launched the Starbucks-linked KB Byeolbyeol Account 2 on the 1st. Designed for use as a convenient account-based payment method in the Starbucks app, the product offers an annual interest rate of up to 2%.
The latest partnership between KB Kookmin Bank and Starbucks was revived after the first KB Byeolbyeol Account, introduced in April last year, became a hit. The account reached its sales limit of 200,000 accounts within four months of launch. This time, the banks are seeking another success by enhancing customer benefits, including tripling the monthly Starbucks “Stars” rewards to a maximum of three times the previous level.
The Olive Young SOL Account, launched by Shinhan Bank in partnership with CJ Olive Young, surpassed 100,000 subscribers after four and a half months. Introduced in mid-April, the account provides mobile gift certificates based on new subscriptions and Olive Young usage, and offers an annual interest rate of up to 4.5% when certain conditions are met.
Since the 27th of last month, the service has also been expanded for use as an account linked to Shinhan Investment & Securities. The move is seen as a strategy to connect Olive Young customers not only with banking services but also with other financial services, including securities.
Banks are expanding cooperation with nonfinancial platforms because these partnerships allow them to attract new customers at relatively low cost—customers who would be difficult to reach through traditional banking channels alone. A major advantage is the ability to convert the customer bases of frequently used platforms with strong customer loyalty, such as Starbucks, Olive Young, and MUSINSA, into financial customers.
Hana Bank’s flagship Naver Pay Money (Npay) Hana Account also proved successful, filling the 500,000-account sales limit designated by the Financial Services Commission within five months of its launch. Customers were drawn by annual interest income of up to 3% and point rewards. The bank later received approval for an additional limit of 1 million accounts and resumed sales.
Cooperation with lifestyle platforms is also continuing. A representative example is the Karrot Money Hana Account, launched in partnership with Karrot and Karrot Pay in March last year. The product offers Karrot Pay users preferential interest of up to 3% annually on balances of up to 3 million won, and is being sold with a total limit of 570,000 accounts.
Woori Bank is also broadening customer contact points through the Samsung Wallet Money Woori Account, developed in partnership with Samsung Electronics. As of the end of last month, the number of subscribers to the account stood at 121,000, while 42,000 had joined its linked savings product. The account offers an annual interest rate of up to 3.5% on balances of up to 2 million won, along with Samsung Wallet payment benefits. The Npay Money Woori Account, which provides Naver Plus benefits, offers an annual interest rate of up to 4%. Nonghyup Bank also recorded a successful partnership product after the Modetour Travel Savings Account, launched with travel platform Modetour Network last month, reached its sales limit of 10,000 accounts.
Recently, banks have begun fully pursuing an “embedded finance” strategy, moving beyond simply selling financial products bearing a partner’s name to providing financial services directly within the platforms customers use. From the customer’s perspective, this makes it possible to access financial services such as spending, payments, and savings without opening a separate banking app. For banks, lifestyle platforms can serve as new sales channels.
A banking industry official said, "Partnerships are expanding beyond simple cooperation to include accounts, payments, various benefits, and savings products," adding, "We plan to continue expanding strategic partnerships with various lifestyle platforms to improve customers’ financial convenience."
[email protected] Seo Ji-yoon Reporter