The Era of Collabs: Why Creative Partnerships Dominate the Market

In an increasingly connected world, collaboration among brands, artists, and influencers has become a dominant marketing strategy. Known as “collabs,” these partnerships aim to combine strengths to achieve common goals, creating products or campaigns that appeal to the fan bases of both partners. According to a study from Harvard University, collabs can increase brand visibility by up to 30% and generate significant growth in sales and engagement.

Therefore, it is a good business model where both parties benefit by lending their image and credibility to enhance their presence.

Pros and Cons? They Always Exist

Brand partnerships are common and come with both advantages and disadvantages.

Among the pros is access to new markets, as it allows reaching audiences that do not currently consume or are familiar with the brand or product. A good example is the partnership between Nike and Apple to create the Apple Watch Nike+, which opened doors for Apple in the fitness world while providing Nike access to cutting-edge technology.

A successful partnership also accelerates innovation and sparks interest from new audiences through the union of different specialties and perspectives. The partnership between LEGO and NASA, which resulted in building kits that replicate spacecraft, is an example of how collaboration can educate and inspire while driving innovation.

Collabs also help rejuvenate brands and add value. The collaboration between Gucci and streetwear brand Supreme is an example of how luxury brands can captivate younger consumers.

There are also many successful examples here in Brazil, featuring iconic brands that have lent their flavor, aroma, and image to others and achieved success: Boticário and Bubballoo; Quem Disse Berenice with 7 Bello and Guaraná; Coca-Cola and Oreo; Carmed and Fini; and Maisena and TokStok are some notable collabs between brands.

However, as with anything, it’s essential to highlight the problems that a partnership can bring if it is not well-executed and structured.

The first concern is brand risk. If one of the parties involved experiences controversy, it can negatively affect the other. The partnership between H&M and Moschino faced criticism when H&M was accused of unfair labor practices, which also reflected poorly on the partner. Additionally, it’s crucial that the brands’ objectives are aligned for the collaboration to succeed. When Uber and Manchester United decided to join forces, the partnership was met with skepticism from fans who saw no clear connection between the brands or any reason for them to be working together.

There Is Success, But Also Failure

Establishing a partnership is serious business, and many people are dedicated to devising strategies to make it work—whether within the marketing departments of companies or at specialized agencies.

Still, a collab may have a shelf life. This is subtle but can happen. When Adidas and rapper Kanye West launched the Yeezy line, it was a hit! This collab not only revitalized Adidas in the sneaker market but also established Yeezy as a high-end fashion brand.

However, in 2022, the partnership came to an end after the rapper became embroiled in racist controversies, publicly praising Adolf Hitler and wearing shirts that said “White Lives Matter” at a time when his home country was experiencing a counter-wave focused on protecting Black lives.

Adidas generated €750 million in revenue from Yeezy sales, with €300 million in profit alone. With the end of the collab, the company recorded a loss of €50 million for the first time in 30 years.

Can we say it was a successful partnership? Without a doubt, but it should have had a shorter life cycle to avoid associating controversies with the brand image and business. Recognizing this breaking point can be challenging, subtle, and requires extensive analysis of the current moment—by the brand, the partner, and even the world at large.

Collabs can be an excellent choice for brands, but more important than adopting this strategy is choosing the right partner—considering the brand’s history, consistency, and credibility, as well as analyzing and anticipating potential risks and developing a strong and structured plan. After that, it’s about going out and reaping the results.

Os artigos aqui apresentados não necessariamente refletem a opinião da Aberje e seu conteúdo é de exclusiva responsabilidade do autor.