What Is an Example of Luxury Co-Branding? How It Works

Co-branding is a marketing strategy in which two or more brands are jointly associated with one product or service, usually through a contractual alliance.

A luxury example

Wikipedia’s only luxury example is from 1956, when Renault had jeweller Van Cleef and Arpels design the dashboard of a Dauphine.

Types of co-branding

• Parallel co-branding: brands combine to create a new combined brand.
• Ingredient co-branding: a supplier promotes its component brand inside another company’s product, for example Intel processors in Dell computers.
• Communications-based co-branding: brands jointly promote themselves without necessarily sharing a product.

Benefits and risks

Benefits include added value, access to new customers and shared advertising costs. Risks include loss of control, a partner’s bad reputation damaging the other brand, and disagreements between partners.

Facts are from Wikipedia’s Co-branding entry at the time of writing.

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