The Research Of Co-branding Spill-over Effect Based On Alliance Fit

Growing along with the emerging B2C.com market, which has dramaticallychanged our traditional way of distribution, companies nowadays have more and morechannels to promote their products. So, a brand new question that how to choose aB2C channel which fits your product most has been brought to the table.The “Win-Win”solution that adopted by millions of companies is co-branding,and it could also happen between offline to online brand.。The presence of yourproduct on B2C.com site will consistently combine the two brads’ strength into one.The presence of your product on B2C.com site will consistently combine the twobrads’ strength into one. For example, boutiques in Venetian Hotel&Resort LasVegas spontaneously absorb the sense of luxury from the brand of the5-satrs hotel,embedding into their product, and enhancing their brand value. However, if a blindlychoice has been made on choosing co-branding partners, these companies will notonly lose the potential of co-branding advantages, but also trigger explosion on thenegative side of spillover effect.In this article, the author uses compatibility, which includes product fit as wellas brand fit to discuss the spill-over effect. At the same time, we introduce productcategory into spillover effect analysis, which provides a totally direction to the theoryof spill-over effect, and the study results will become theoretical basis for company tofind the best co-branding partner. By conducting the questionnaires with the mostsuitable online buyers in the age group, the author gains the valuable first hand dataand insight to find out what’s the most significant influence on a co-branding strategyfor both brands.Data says: product compatibility dimension and brand compatibility dimensionboth have positive impact on spillover effect; meanwhile, brand compatibilitydimension always has a stronger effect regardless of fast-moving consumer goods ordurable consumer goods.Based on the complete study, author has drawn a conclusion that company has totake both product and brand compatibility into consideration while choosingco-branding partners, the more compatible of the two brands are; the larger enhancement will be resulted in both.