Drip has recently collaborated with a world renowned brand, FILA. The collaboration has spawned 3 fashion drops that were produced, designed and inspired by Drip’s signature bold designs, with FILA’s dedication to sport.
As you all probably know, this isn’t the first time we’re seeing two heavyweights collaborating. We’ve seen other collabos in the past; Tastic Rice collaborating with Maxhosa Africa, Rich Mnisi and Adidas, Bathu and Castle Lite, and so on.
Most of the times, these collaborations are only for a short period of time but sometimes, they can go on for years like we’ve seen with Pick N Pay and BP Garage or Clicks and FNB.
Now comes the million rand question, WHY?? Why do these brands collaborate?? What’s the benefit?? Who benefits? What’s the end goal?? In this article, we’ll unpack everything as to why two or more brands collaborate.
First and foremost, what is a brand collaboration?? As the name suggests, brand collaboration is when two or more businesses join forces and create a campaign that simultaneously benefits everyone.
This is different from the traditional partner marketing campaigns where brands collaborate with affiliates to drive sales.
Successful brand collaboration usually depends on both parties being able to benefit from the existing market of the other, or from holes in the market that can be filled through a collaborative effort that competitors will find difficult to copy or replicate.
There are plenty of reasons why brands collaborate, here are some of the top ones:
01. Creating A Buzz
It’s common knowledge in marketing that brand collaboration creates a real buzz for both parties. Whether that’s through an exclusive pair of sneakers or a discount code unavailable anywhere else, when two powerhouses meet, the power of a brand is tripled or quadrupled, it’s only natural that the customer base of each brand will take notice. Collaborations have a real pull power.
02. Boosts Credibility
Humans by nature only trust what they know or have seen multiple times.
There’s thousands of brands out there but its impossible for an individual to have engaged with them all, but when a known brand collaborates with an unknown one, it instantly boosts credibility and encourages an existing audience base to engage with the new brand.
03. Increasing Profits
The most obvious one, the main objective of any business is to generate higher profits by increasing sales. Brand collaboration is one of the best strategic tools for a business to gain higher profits since brands usually set a higher price point for the exclusive product they’re offering (like the case of FILA x Drip — priced at R2 199)
04. Knowledge Sharing
When two brands collaborate, there’s an immense experience of creativity that’s shared between the two parties. This helps both brands innovate and maintain their relevancy in the culture while at the same time, creating the perfect product for their customers.
You may find that one brand’s business model is ageing but they have clients, while another brand has a new business model but with little to no clients, so a collaboration will help both parties. For instance, a print company getting into web development.
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