The Potential of Co-branding as a Branding Strategy for Premium Private Labels: A Theoretical Assessment

  • Olivier ReimannEmail author
  • Udo Wagner
Conference paper
Part of the Springer Proceedings in Business and Economics book series (SPBE)


Based on literature review on private labels (PL), co-branding and celebrity branding, a conceptual framework is developed in which a celebrity brand is used in a co-branding setting as a quality signal for a premium PL product. Similar to previous studies that are limited to PL and national brands (NB) as brand allies in a co-branding setting, we propose that the improved consumer evaluations of a celebrity co-branded, chain-labeled PL product will spill over to the first brand ally. That is the retailer and more specifically his brand image. Since previous research indicates a positive effect of retailer’s brand image on consumer evaluations of its PL, we also suggest that a celebrity co-branding strategy will indirectly (via retailer’s brand image as a mediator), improve consumer evaluations of an individual retailer’s PL product of any tier. The goal of the research is to contribute to the calls for more research on private label and branding as well as on retailer brand equity. This study provides the foundation for and should encourage further research in this area.


Private labels Celebrity co-branding Spillover effect Retail brand image 


  1. Ailawadi, K. L., & Keller, K. L. (2004). Understanding retail branding. Conceptual insights and research priorities. Journal of Retailing, 80(4), 331–342.CrossRefGoogle Scholar
  2. Calvo Porral, C., & Lang, M. F. (2015). Private labels. The role of manufacturer identification, brand loyalty and image on purchase intention. British Food Journal, 117(2), 506–522.CrossRefGoogle Scholar
  3. Collins-Dodd, C., & Lindley, T. (2003). Store brands and retail differentiation. The influence of store image and store brand attitude on store own brand perceptions. Journal of Retailing and Consumer Services, 10(6), 345–352.CrossRefGoogle Scholar
  4. de Wulf, K., Odekerken‐Schröder, G., Goedertier, F., & van Ossel, G. (2005). Consumer perceptions of store brands versus national brands. Journal of Consumer Marketing, 22(4), 223–232.CrossRefGoogle Scholar
  5. Geyskens, I., Gielens, K., & Gijsbrechts, E. (2010). Proliferating private-label portfolios. How introducing economy and premium private labels influences brand choice. Journal of Marketing Research, 47(5), 791–807.CrossRefGoogle Scholar
  6. Gielens, K. (2012). New products. The antidote to private label growth? Journal of Marketing Research, 49(3), 408–423.CrossRefGoogle Scholar
  7. Helmig, B., Huber, J.-A., & Leeflang, P. S. H. (2008). Co-branding: The state of the art. Schmalenbach Business Review, 60(4), 359–377.Google Scholar
  8. Hyman, M. R., Kopf, D. A., & Lee, D. (2010). Review of literature—Future research suggestions. Private label brands: Benefits, success factors and future research. Journal of Brand Management, 17(5), 368–389.CrossRefGoogle Scholar
  9. Keel, A., & Nataraajan, R. (2012). Celebrity endorsements and beyond. New avenues for celebrity branding. Psychology & Marketing, 29(9), 690–703.CrossRefGoogle Scholar
  10. Kumar, N., & Steenkamp, J.-B. E. M. (2007). Private label strategy. How to meet the store brand challenge. Boston: Harvard Business School Press.Google Scholar
  11. Nielsen. (2014). The State of Private Label around the world. Retrieved June 10, 2015, from
  12. Nies, S., & Natter, M. (2012). Does private label quality influence consumers’ decision on where to shop? Psychology and Marketing, 29(4), 279–292.CrossRefGoogle Scholar
  13. Palmeira, M. M., & Thomas, D. (2011). Two-tier store brands. The benefic impact of a value brand on perceptions of a premium brand. Journal of Retailing, 87(4), 540–548.CrossRefGoogle Scholar
  14. Park, C. W., Jun, S. Y., & Shocker, A. D. (1996). Composite branding alliances: An investigation of extension and feedback effects. Journal of Marketing Research, 33(4), 453–466.CrossRefGoogle Scholar
  15. Rao, A. R., Lu, Q., & Ruekert, R. (1999). Signaling unobservable product quality through a brand ally. Journal of Marketing Research, 36(2), 258–268.CrossRefGoogle Scholar
  16. Rao, A. R., & Ruekert, R. W. (1994). Brand alliances as signals of product quality. Sloan Management Review, 36(1), 87–97.Google Scholar
  17. Richardson, P., Jain, A. K., & Dick, A. (1996). The influence of store aesthetics on evaluation of private label brands. Journal of Product & Brand Management, 5(1), 19–28.CrossRefGoogle Scholar
  18. Richardson, P. S., Dick, A. S., & Jain, A. K. (1994). Extrinsic and intrinsic cue effects on perceptions of store brand quality. Journal of Marketing, 58(4), 28.CrossRefGoogle Scholar
  19. Rossi, P., Borges, A., & Bakpayev, M. (2015). Private labels versus national brands. The effects of branding on sensory perceptions and purchase intentions. Journal of Retailing and Consumer Services, 27, 74–79.CrossRefGoogle Scholar
  20. Semeijn, J., van Riel, A. C., & Beatriz Ambrosini, A. (2004). Consumer evaluations of store brands. Effects of store image and product attributes. Journal of Retailing and Consumer Services, 11(4), 247–258.CrossRefGoogle Scholar
  21. Sethuraman, R., & Gielens, K. (2014). Determinants of store brand share. Journal of Retailing, 90(2), 141–153.CrossRefGoogle Scholar
  22. Simonin, B. L., & Ruth, J. A. (1998). Is a company known by the company it keeps? Assessing the spillover effects of brand alliances on consumer brand attitudes. Journal of Marketing Research, 35(1), 30–42.CrossRefGoogle Scholar
  23. Sprott, D. E., & Shimp, T. A. (2004). Using product sampling to augment the perceived quality of store brands. Journal of Retailing, 80(4), 305–315.CrossRefGoogle Scholar
  24. Steenkamp, J.-B. E., van Heerde, H. J., & Geyskens, I. (2010). What makes consumers willing to pay a price premium for national brands over private labels? Journal of Marketing Research, 47(6), 1011–1024.CrossRefGoogle Scholar
  25. ter Braak, A., Dekimpe, M. G., & Geyskens, I. (2013). Retailer private-label margins. The role of supplier and quality-tier differentiation. Journal of Marketing, 77(4), 86–103.CrossRefGoogle Scholar
  26. ter Braak, A., Geyskens, I., & Dekimpe, M. G. (2014). Taking private labels upmarket. Empirical generalizations on category drivers of premium private label introductions. Journal of Retailing, 90(2), 125–140.CrossRefGoogle Scholar
  27. Vaidyanathan, R., & Aggarwal, P. (2000). Strategic brand alliances. Implications of ingredient branding for national and private label brands. Journal of Product & Brand Management, 9(4), 214–228.CrossRefGoogle Scholar
  28. Washburn, J. H., Till, B. D., & Priluck, R. (2000). Co‐branding. Brand equity and trial effects. Journal of Consumer Marketing, 17(7), 591–604.CrossRefGoogle Scholar

Copyright information

© Springer International Publishing Switzerland 2016

Authors and Affiliations

  1. 1.Faculty of Business, Economics and StatisticsUniversity of ViennaViennaAustria

Personalised recommendations