Brand and retailer co-branding: Examining factors to favourably change consumers' brand evaluations

Abstract

Purpose

Many fashion brands employ growth strategies that involve strategically aligning with a retailer to offer exclusive co-brands that vary in duration and perceived fit. While growth and publicity are enticing, pursuing collaboration may change consumers' evaluation of the brand. Utilising commodity and categorisation theory, this research tests how a brand may successfully approach a co-brand with a retailer.

Design/methodology/approach

Three experimental studies manipulate and test the effect of co-brand duration (limited edition vs ongoing) (Study 1), the degree of brand-retailer fit (high vs low) (Study 2), and its combined effect (Study 3) on changes in consumers' brand evaluation.

Findings

Results reveal that consumers' evaluations of brands become more favourable when: (1) brand-retailer co-brand make products available on a limited edition (vs ongoing) basis (Study 1), (2) consumers perceive a high (vs low) degree of brand-retailer fit (Study 2) and (3) both conditions are true (Study 3).

Research limitations/implications

In light of commodity and categorisation theory, this study helps to understand the effectiveness of a brand-retailer co-branding strategy.

Practical implications

To increase brand evaluations, brands should engage in a limited edition strategy, rather than ongoing when collaborating with retailers. It is also important to select an appropriately fitting retailer for a strategic partnership when creating a co-brand.

Originality/value

While previous studies highlight the importance of perceived fit upon extension, perceived fit between brand and retailer co-brand had yet to be investigated. Additionally, this research investigates changes in brand evaluations to more accurately understand how co-branding strategies impact the brand.

Citation

Childs, M. and Jin, B.E. (2020), "Brand and retailer co-branding: Examining factors to favourably change consumers' brand evaluations", Journal of Fashion Marketing and Management, Vol. 24 No. 1, pp. 49-65. https://doi.org/10.1108/JFMM-03-2019-0061