The merch wars have come to fast food

"As restaurant margins remain tight and consumers become more price-sensitive, chains are expanding their retail offerings and increasingly turning to collectible merchandise as a way to signal increased value without resorting to discounting. The strategy, experts say, taps into consumers' fear of missing out as well as their sense of identity - especially for younger generations, who see brands as social signals - while driving repeat visits, loyalty sign-ups, and viral buzz."

"Starbucks' Bearista cups are a recent and widely visible example. Released in limited quantities around the holidays, the cups sparked lines, sellouts, and sky-high resale listings - and, crucially, social-media chatter that had little to do with coffee itself. Ernie Ross, founder of the branding agency Ross Advertising, said the frenzy wasn't accidental. "That scarcity of supply, that limited idea that this is only for an exclusive group of a few people, increases the value and worth of any item," Ross said."

Restaurants expand retail offerings with limited-edition cups, tote bags, and keychains to signal increased value without discounting. The approach leverages scarcity and fear of missing out to create urgency and predictable queueing behavior. Younger consumers treat branded collectibles as social-identity signals, which drives repeat visits, loyalty sign-ups, and viral social-media chatter. Limited drops produce low-cost, high-impact cultural relevance that keeps brands top of mind amid tight margins and shifting dining habits. High-profile examples show sellouts, long lines, and strong resale markets that amplify attention beyond the food or drink itself.

Read at Business Insider