Co-Branding. Strategy to strengthen brands

Seminar paper from the year 2017 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: 1,7, ISEC-Institut Supérieur de l'Économie (dern. eufom University), course: Wirtschaftspsychologie, language: English, abstract: Nowadays, to enter a new market or to gain awareness for products is complicated. The markets are crowded with competitors and the consumer can easily decide between different options of a product. It is indispensable to stand out from the crowd and to raise the consumers awareness for the own products to be successful. Most of the time, the brand is the core of a company. It reflects the image of the organisation and connects it to the products. As hard as establishing a brand is, as easy it is to destroy it with a critical headline in newspapers, selling defective products or similar. Ironically, it is even harder to regain the brand image and regaining the trust of the customers afterwards as cases like Abercrombie & Fitch and Volkswagen showed. In some cases even a regeneration is almost impossible. Therefore, there are different strategies a company can implement to simplify the process of branding. Co-Branding is a strategy where companies work and sell their products together without giving up their own brands. Next to advantages like gaining attention of a different market segments there are also risks and obstacles the company has to face by implying this strategy. For this reason it is important to analyze which company is able to use the strategy and which requirements are needed to create a successful cooperation for the participating parties.