IDEAS home Printed from https://ideas.repec.org/a/kap/mktlet/v29y2018i1d10.1007_s11002-017-9444-3.html
   My bibliography  Save this article

Are two brands better than one? Investigating the effects of co-branding in advertising on audience memory

Author

Listed:
  • Cathy Nguyen

    (Ehrenberg-Bass Institute–University of South Australia)

  • Jenni Romaniuk

    (Ehrenberg-Bass Institute–University of South Australia)

  • Margaret Faulkner

    (Ehrenberg-Bass Institute–University of South Australia)

  • Justin Cohen

    (Ehrenberg-Bass Institute–University of South Australia)

Abstract

Co-branded advertising, where advertisements feature two partnered brands from different categories, should ideally benefit both brands. We test this assertion by studying the effect of featuring a second brand in advertisements on ad and brand name memorability, and the role of category context on which brand is recalled. Our test covers online display advertisements for consumer-packaged brands paired with charity and retailer brands in three markets (USA, UK, and Australia). Independent sample comparisons across 54 brand pairs show that advertising two brands has a neutral effect on ad memorability and negative effect on brand memorability. Furthermore, the advertisement’s category context determines which of the brands is recalled. Our findings support a competitive interference theory of dual-brand processing, whereby the two brands compete for attention resources. The results have implications for the return on investment from advertising expenditure, which will vary substantively depending on whether the costs of advertising are shared or borne by one brand in the pair.

Suggested Citation

  • Cathy Nguyen & Jenni Romaniuk & Margaret Faulkner & Justin Cohen, 2018. "Are two brands better than one? Investigating the effects of co-branding in advertising on audience memory," Marketing Letters, Springer, vol. 29(1), pages 37-48, March.
    • Handle: RePEc:kap:mktlet:v:29:y:2018:i:1:d:10.1007_s11002-017-9444-3
    DOI: 10.1007/s11002-017-9444-3
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11002-017-9444-3
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11002-017-9444-3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Erfgen, Carsten & Zenker, Sebastian & Sattler, Henrik, 2015. "The vampire effect: When do celebrity endorsers harm brand recall?," International Journal of Research in Marketing, Elsevier, vol. 32(2), pages 155-163.
    2. Son, Minhee & Hahn, Minhi & Kang, Hyunmo, 2006. "Why firms do co-promotions in mature markets?," Journal of Business Research, Elsevier, vol. 59(9), pages 1035-1042, September.
    3. Burke, Raymond R & Srull, Thomas K, 1988. "Competitive Interference and Consumer Memory for Advertising," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 15(1), pages 55-68, June.
    4. Ahluwalia, Rohini, 2002. "How Prevalent Is the Negativity Effect in Consumer Environments?," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 29(2), pages 270-279, September.
    5. Bernd Helmig & Jan-Alexander Huber & Peter S. H. Leeflang, 2008. "Co-branding: The Stae of the Art," Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 60(4), pages 359-377, October.
    6. Pechmann, Cornelia & Stewart, David W, 1990. "The Effects of Comparative Advertising on Attention, Memory, and Purchase Intentions," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 17(2), pages 180-191, September.
    7. Kevin E. Voss & Bashar S. Gammoh, 2004. "Building Brands through Brand Alliances: Does a Second Ally Help?," Marketing Letters, Springer, vol. 15(2_3), pages 147-159, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shan, Juan & Lu, Hebo & Cui, Annie Peng, 2022. "1 + 1 > 2? Is co-branding an effective way to improve brand masstige?," Journal of Business Research, Elsevier, vol. 144(C), pages 556-571.
    2. Laura Therese Heinl & Anna Baatz & Markus Beckmann & Peter Wehnert, 2021. "Investigating Sustainable NGO–firm Partnerships: An Experimental Study of Consumer Perception of Co-Branded Products," Sustainability, MDPI, vol. 13(22), pages 1-19, November.
    3. de Regt, Anouk & Plangger, Kirk & Barnes, Stuart J., 2021. "Virtual reality marketing and customer advocacy: Transforming experiences from story-telling to story-doing," Journal of Business Research, Elsevier, vol. 136(C), pages 513-522.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Shan, Juan & Lu, Hebo & Cui, Annie Peng, 2022. "1 + 1 > 2? Is co-branding an effective way to improve brand masstige?," Journal of Business Research, Elsevier, vol. 144(C), pages 556-571.
    2. Nguyen, Cathy & Romaniuk, Jenni & Cohen, Justin & Faulkner, Margaret, 2020. "When retailers and manufacturers advertise together; examining the effect of co-operative advertising on ad reach and memorability," Journal of Retailing and Consumer Services, Elsevier, vol. 55(C).
    3. Karray, Salma & Sigué, Simon Pierre, 2015. "A game-theoretic model for co-promotions: Choosing a complementary versus an independent product ally," Omega, Elsevier, vol. 54(C), pages 84-100.
    4. Casey E. Newmeyer & R. Venkatesh & Julie A. Ruth & Rabikar Chatterjee, 2018. "A typology of brand alliances and consumer awareness of brand alliance integration," Marketing Letters, Springer, vol. 29(3), pages 275-289, September.
    5. Kalafatis, Stavros P. & Ledden, Lesley & Riley, Debra & Singh, Jaywant, 2016. "The added value of brand alliances in higher education," Journal of Business Research, Elsevier, vol. 69(8), pages 3122-3132.
    6. Nguyen, Hang T. & Ross, William T. & Pancras, Joseph & Phan, Hieu V., 2020. "Market-based drivers of cobranding success," Journal of Business Research, Elsevier, vol. 115(C), pages 122-138.
    7. Li, Xiaolin & Rao, Raghunath Singh & Narasimhan, Om & Gao, Xing, 2022. "Stay positive or go negative? Memory imperfections and messaging strategy," International Journal of Research in Marketing, Elsevier, vol. 39(4), pages 1127-1149.
    8. Karray, Salma & Sigue, Simon P., 2016. "Should companies jointly promote their complementary products when they compete in other product categories?," European Journal of Operational Research, Elsevier, vol. 255(2), pages 620-630.
    9. Li, Xiaolin & Singh Rao, Raghunath & Narasimhan, Om & Gao, Xing, 2022. "Stay positive or go negative? Memory imperfections and messaging strategy," LSE Research Online Documents on Economics 113556, London School of Economics and Political Science, LSE Library.
    10. Babin, Barry J. & Herrmann, Jean-Luc & Kacha, Mathieu & Babin, Laurie A., 2021. "The effectiveness of brand placements: A meta-analytic synthesis," International Journal of Research in Marketing, Elsevier, vol. 38(4), pages 1017-1033.
    11. Mona Mrad & Maya F. Farah & Stephanie Haddad, 2019. "From Karl Lagerfeld to Erdem: a series of collaborations between designer luxury brands and fast-fashion brands," Journal of Brand Management, Palgrave Macmillan, vol. 26(5), pages 567-582, September.
    12. Li, Hui & Xu, Yunjie & Huang, Lihua, 2021. "When less is more? The contingent effect of product supply limitation in the release of new electronic products," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    13. Aîda Mimouni & Ouidade Sabri-Zaaraoui & Béatrice Parguel, 2010. "Competitive Advertising Within Store Flyers: A Win-Win Strategy?," Post-Print halshs-00634439, HAL.
    14. Chris Hydock & Neeru Paharia & T. J. Weber, 2019. "The Consumer Response to Corporate Political Advocacy: a Review and Future Directions," Customer Needs and Solutions, Springer;Institute for Sustainable Innovation and Growth (iSIG), vol. 6(3), pages 76-83, December.
    15. Hameed, Irfan & Zainab, Bibi & Shamim, Syed Jazib, 2018. "Arousal Safety Leading to Purchase Intention; The Role of Moderating and Mediating Variables in Structural Model," MPRA Paper 91848, University Library of Munich, Germany.
    16. Per Åsberg & Henrik Uggla, 2019. "Introducing multi-dimensional brand architecture: taking structure, market orientation and stakeholder alignment into account," Journal of Brand Management, Palgrave Macmillan, vol. 26(5), pages 483-496, September.
    17. Mariconda, Simone & Lurati, Francesco, 2015. "Does familiarity breed stability? The role of familiarity in moderating the effects of new information on reputation judgments," Journal of Business Research, Elsevier, vol. 68(5), pages 957-964.
    18. Sebastian Schneider, 2022. "Price-related consumer discussions in China and the United States: a cross-cultural study investigating price perceptions and word-of-mouth transmission," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 21(3), pages 274-290, June.
    19. Rosbergen, Edward & Wedel, Michel & Pieters, Rik, 1997. "Analyzing visual attention tot repeated print advertising using scanpath theory," Research Report 97B32, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    20. Easley, Richard W. & Bearden, William O. & Teel, Jesse E., 1995. "Testing predictions derived from inoculation theory and the effectiveness of self-disclosure communications strategies," Journal of Business Research, Elsevier, vol. 34(2), pages 93-105, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:mktlet:v:29:y:2018:i:1:d:10.1007_s11002-017-9444-3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.