Co-Brand For Added Exposure

Folio: The Magazine for Magazine Management, Oct, 2000

For an example of how co-branding has become prevalent in consumer products, you just have to look into the supermarket freezer case. Candies such as M&Ms, Snickers and Reese's Pieces now mix with name-brand ice creams. But while magazines have had some notable success stories--the Working Woman Barbie doll comes to mind--the industry has not used this promotional tool as well as it can, according to Rob Spiegel, a senior editor with Cahners' Ecommerce Business.

As the owner of Chile Pepper from 1986-96, Spiegel formed successful co-brands with the Hatch Chile company on a book, cruises, awards and food products. In that case, the brands were relatively equal, he says, so they gained comparable exposure. But in co-branding ventures one brand is usually stronger, and small publishers, in particular, can benefit by forming associations with stronger players. These alliances are low-risk and sometimes offer great exposure benefits. Success in a co-branding initiative should be measured in three ways: (1) Did the publisher come out of the experience in a positive cash position? (2) Did the program increase paid subscriptions? and, (3) Did the program improve the publisher's perceived position with current and potential advertisers? Numbers 2 and 3 are most important in Spiegel's eyes. He used co-branding to further the magazine's place in the market--not just to make a profit. What does the bigger player get out of co-branding? Spiegel says big companies are often receptive to entrepreneurial companies that are edging into a market. "You're giving the larger player credibility in a smaller niche that's emerging," he points out. It worked with Tex-Mex food, and it can work for you.