(Allied Domecq, McDonald’s)
Today, we’re going to take a look at co-branding with Patrick J. George. The Vice President of Operations at Allied Domecq, Patrick J. George, is one of the most knowledgeable minds in the co-branding sphere. Patrick has over 20 years of experience in the hospitality industry, ranging from marketing and branding to forecasting and budgeting. He has helped many locations be successful when combining brands. Whether this applies to the integration of existing employment or organizing advertising for new products.
He has a wealth of knowledge to share and we were fortunate to be able to interview him for the book “Inside the Box”.
Can These Brands Coexist Under One Roof?
In discussing co-branding with Patrick, he states it’s important not to rush a physical co-brand. The partner company should first be introduced to the location, to make sure employees and services will meld together well. “Then [comes] the training process, then the marketing process. It all needs to be integrated together to fit and remain simple,” George shared. The main focus is to ensure that the parts work well together before bringing more customers to the scene. See our list of key questions to ask yourself if you’re considering adding a co-brand.
Is This What the Customers Want?
Simply put, a product people don’t want is a product that won’t sell. In the case of the Dunkin’ Donuts, Baskin-Robbins, and Togo’s sandwiches combination that Patrick oversaw, the selection seemed like a perfectly good match. When combining multiple brands into one location, you have to consider how likely customers are to cross-purchase. In this example, it’s rather likely a customer will want a coffee with their sandwich, or ice cream after their lunch.
How Does Each Part Perform at Certain Times of Day?
Every brand has lulls and spikes in business performance throughout the day or week. A match made in heaven would be complementary brands that have peak performance at different times. One consideration on this front would be to make sure that each brand has ample coverage for alternate-time rushes. In a way, each brand is a marketing tool for the other. This is the beauty of having two or more partners in one physical location.
Will Integration be Too Frustrating?
In discussing co-branding with Patrick, we looked at the effects on employees. Employee satisfaction will be a touchy subject throughout the transition from a single-brand location to multi-branding. To ensure a smooth conversion, employees should have ample preparation and a clear sense of direction – it’s better to include them so that they know what to expect. Offer ample training and communication throughout the process. And finally, listen to their input as they might have valuable ideas on how to make the integration work. Frustrated employees’ work performance might decline, and they are more likely to quit.
Keys to Successful Co-branding
- Selecting brands whose products offer something to each other’s customers. Soup and ice cream… no thanks. Sandwiches and soft-serve? That’s more like it. See our article on how to select a complementary brand that works.
- Ensuring that the brands complement each other during heavy traffic hours. Do they naturally fit together as a meal or would people never combine them in one purchase?
- Clearly communicating with the supervisors for the teams you wish to combine. These are the first people you need to get on board.
- Engaging in prior preparations and training for staff members. Think about what the day to day look like. Perform extra preparations as needed. Another suggestion is to consider how orders with multiple brands will be managed?
- Ensuring physical integration and cooperative operation prior to co-brands’ marketing. Consider how is the square footage will be divided. Think about what equipment is needed for each brand. Furthermore, investigate to see if any of these can these be shared.
Co-Branding with Patrick: When it Goes Wrong
The idea was solid and thought had been given to most parts of this integration, however, lower management and employees simply weren’t given enough clear direction. As a result, this led to frustration on everyone’s part; the staff wasn’t trained to properly handle orders from every menu. According to Patrick, “the parent company failed to develop the right model for the operator.”
Consequently, this location ended up simply being three separate entities with customer service that left much to be desired. There was no cooperation amongst the sum’s parts. Successful co-branding, according to Patrick J. George, can be learned from the mistakes of Dunkin’ Donuts, Baskin-Robbins, and Togo’s.
If you’re considering adding a brand, give me a call or send a note via our contact page. With the right planning and implementation, co-branding can prove to be a game-changer. I hope you enjoyed this interview on co-branding with Patrick J. George, if so, please consider sharing it.