Co-Branding Bidding StrategieS

Bernd Helmig/Jan-alexander Huber/Peter S. H. Leeflang*

Co -branding: The STaTe of The arT

a bSTraCT the use of co-branded products as a form of brand management has gained increasing attention from managers and scientists, as evidenced by the practitioner-oriented articles and empirical studies published since the mid-1990s. However, there is no description that contrasts co-branding with other branding strategies, nor is there a structured overview of the main findings of co-branding studies. We classify different branding strategies, discuss branding literature, and develop a theoretical model for co-branding based on research findings. in addition to managerial implications, we provide a critical assessment of research, identify research questions, and offer a research agenda for cobranding. JeL-Classification: M10, M31, M37. Keywords: Co-branding; Spill-over effects; Success Factors of Co-brands.

1 i nTroduCTion Because of the fierce competition among manufacturers and retailers in saturated markets, especially for fast-moving consumer goods, the use of co-branded products, has become increasingly important for brand managers in recent years (e.g., Vaidyanathan and Aggarwal (2000); Desai and Keller (2002); Washburn et al. (2004)). Although co-branded products mainly appear among consumer goods (for example, Betty Crocker cake mix with Hershey’s chocolate sauce; Kellogg’s Pop Tarts with Smucker’s fruit filling), they are also relevant for durables (IBM personal computers with Intel processors) and services (AT&T and MasterCard financial
* Bernd Helmig, University of Mannheim, Chair and Department of Business Administration, Public & Nonprofit Management, 68131 Mannheim, Germany, e-mail: sekretariat@oebwl.bwl.uni-mannheim.de. Jan-Alexander Huber, HSH Nordbank AG, Gerhart-Hauptmann-Platz 50, 20095 Hamburg, Germany, e-mail: jan-alexander.huber@hsh-nordbank.com. Peter Leeflang, University of Groningen, Department