The Future of Co-Branding: Trends Shaping Partnership Marketing Strategies
Brand-to-brand partnerships (also known as co-branding) are the latest trend to emerge in the world of partnership marketing. A brand-to-brand partnership is just what it sounds like: a relationship between two non-competing brands that pool their resources and reach in order to gain exposure to a broader customer base.
While there are multiple ways for brands to collaborate with other non-competing brands, co-branding is one of the most effective and popular strategies. Join us as we briefly recap what co-branding is and highlight three exciting co-branding trends you need to keep on your radar.
What is co-branding?
Co-branding is the practice of using two or more brand names to market a product or service. Also known as a brand partnership, these strategic alliances meld the voices, imagery, and personalities of two or more brands to create a unique customer experience.
The purpose of co-branding is to combine:
- Brand awareness
- Positive associations
- Market strength of strategic partners
Co-branding partners will often charge a higher premium for the collaborative product or service, as they’re typically splitting the profits. However, the profit split isn’t necessarily even, as the larger and more credible entity usually demands a larger share of revenue.
The reach of a co-branded product can be greater than that of an independently marketed item, but the target audience is usually very specific, due to the increased price and shared branding. The ideal customer is loyal to both brands and intrigued by the opportunity to access a limited-time offer.
Three exciting co-branding trends to watch
Co-branding is about much more than simply slapping two logos on a new product. If you want your co-branding strategy to resonate with consumers and generate strong revenue, you need to get creative.
The following three co-branding trends can serve as inspiration as you explore brand-to-brand partnership opportunities for your business.
1. Virtual collaborations
Virtual brand collaborations involve publishing digital content, launching joint websites, or engaging in other multi-brand events online.
For instance, you and your co-brand partner could host a live stream on Instagram to showcase your new collaborative product. During the event, you could reveal product details, provide a release timeline, and field questions from followers.
Hosting a virtual event with your partner demonstrates that you’re united for a common goal: delivering a unique product to your customers. Beyond that, getting together with your new partner is just plain fun for everyone, especially your audience.
2. Technology integrations
Integrating technologies is a dynamic co-branding strategy for businesses that offer digital products and experiences.
However, both parties don’t have to offer a digital product to get in on the action. One member of the partnership can integrate the other brand’s logo and product into their existing platform or app, thereby showcasing unity and furthering both partners’ interests.
3. Immersive experiences
These days, brands don’t just want to expose prospects to their content; they want to immerse them in personalized, curated experiences that elicit powerful emotions and spur them to action.
Co-branding allows businesses to pool their technological resources and talents to create interactive experiences like dynamic websites or VR content. This is one of the most innovative co-branding trends that’s emerged in the last year.
While it’s unclear what the ultimate impacts of this trend will be, especially as new technologies take center stage in the commercial sphere, it’s a strategy worth exploring, especially if you want to stand out from the competition.
Capitalize on the co-branding revolution with AP
Co-branding is a valuable brand-to-brand marketing strategy that can help you drive sales and expand your reach. It all starts with finding the right partner, which can be difficult. Choose wrong and your co-branding strategy will fall flat.
Fortunately, Acceleration Partners (AP) can help you track, review, and optimize your brand-to-brand campaigns to determine the success of your partnership. This will allow you to operate a pay-on-performance model with your co-branding partnerships with closely measured success.
If you want to harness the power of co-branding and capitalize on these emerging trends, connect with AP. As a full-service partnership marketing firm, we provide the resources, support, and insights you need to build a winning strategy.
Ready to revolutionize your brand-to-brand partnerships? Let’s connect!
Helping brands unlock growth through partnerships.