Co-branding involves the presentation of multiple brands and products to the public under a single marketing strategy. For instance, a single advertisement may show a person buying a certain brand of shoes and then also using a specific brand of credit card to do so. Likewise, a single brand may be used on separate products, such as athletic shoes and athletic equipment.
A good brand reflects the benefits of a product or service and builds recognition and loyalty in customers. Awareness and Loyalty Branding helps consumers develop a specific image that contains the qualities and characteristics business owners want consumers to associate with their business and its products or services.
For example, cartoon images of a happy dog may help a consumer feel more comfortable using a particular pet grooming service.
A distinct brand can increase the memorability of a product and build repeat business. If consumers are satisfied after purchasing the product, a strong brand makes it easy for them to make repeat purchases without much reconsideration.
This can all translate into a wider customer base, increased sales and revenue growth. Protection From Competition Brands offer a certain amount of legal protection from the competition because of trademark law. A trademark can be any unique word, device, or symbol that distinguishes a company.
Companies can trademark their business name as long as they use it when advertising to customers. Registering a brand as a trademark allows the holder to bring legal action against any competitors that try to infringe on its branding. Business owners may feel pressured to increase the price of their products to compensate for the increased expense, which could cause customers to switch products.
The increased expense of wages and professional fees to develop a brand may or may not exceed the financial benefits of branding. Complications Regarding Change One of the major benefits of a brand is that it creates a strong product association for customers.
However, this can also be a disadvantage in several situations. If a company wants to change direction with its products or target a new segment of consumers, an established brand can make it difficult to change the image of the company.
If a company undergoes a public scandal, a strong brand only makes it easier for consumers to associate the business with past wrongdoings.Advantages & Disadvantages of Branding by Madison Garcia - Updated June 27, Branding is the process of creating a name, design or symbol that identifies and differentiates a company from its competitors.
Co-Branding: Advantages And Disadvantages First and foremost, although there is no universally accepted definition of co-branding, Leuthesser, Kohli and Suri (, p.
36) have defined co-branding as "the combining and retaining of two or more brands to create a single, unique product or service". Mar 07, · My topic is about co-branding. In my blog I will talk about the advantages and potential issues of co-branding.
I will use 3 different examples to explain how different types of co-branding work and the potential risks which may impact the cooperation. Co branding is a similar exercise where instead of using individual products, two brands come together and form a bundle.
Naturally, because brands are far more complex then products, co branding is not an easy exercise. Co-branding, is a marketing strategy that involves strategic alliance of multiple brand names jointly used on single product or service..
Co-branding, also called brand partnership, is when two companies form an alliance to work together, creating marketing synergy. As described in Co-Branding: The Science of Alliance. Co-branding is an arrangement that associates a single product or service.
Co-branding strategy is basically of two types – ingredient co-branding and composite co-branding. Ingredient co-branding This basically deals with the development of brand equity for those parts and materials that are included in other products.