Okonkwo Prelims

the simultaneous brand launch of the Tom Ford brand and its co-branding

venture with Estée Lauder. It is important for consumers to understand from

the onset whether Tom Ford is a new luxury brand or a co-brand of Estée

Lauder. If it is a new luxury brand, what is its product range? Where is its

market and which consumers does the brand target? What is its identity and

positioning? These questions need to be clarified for consumers as co-brand-

ing is a strategic move that requires clarity with consumers. However, the

strategy that Tom Ford adopts ought to be clear and understandable to

consumers from the moment the brand is introduced in the market.

The Positioning of luxury brands is important for competitive leverage. It

should also incorporate research and benchmarking, with the objective of

creating value for consumers.

The confusion and clarification of fashion co-branding

Co-branding occurs when two different companies pair their brand names

in a marketing context. This could include new or revived products, services

or ventures as well as advertising or distribution outlets. The tactic of co-

branding has been rare in the luxury goods sector mainly due to the high level

of competition and brand protection among luxury brands. It is however

currently gaining acceptance and popularity.

The attempt at co-branding is believed to have been started by haute

couturedesigner Pierre Cardin in 1959, through his attempt to fuse luxury

fashion and mass fashion. He fused his then highly luxurious brand name

with then supermarket Printemps, where he presented his first prêt-à-porter

collection to the shock of the world of high fashion. As a result, he was

expelled from the French fashion governing body La Chambre Syndicale and

was regarded as a sell-out.

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luxury fashion branding

Low design turnover

High design turnover

Low image generator High image generator

Figure 5.24 The positioning map