Collaboration: What It Is and Its Types

Collaboration is when two or more people (or companies) come together to create something new.

The H&M and P.E Nation collaboration. Source: pe-nation.com

Below, we'll take a closer look at what collaboration is, how this marketing method works, and the types of collaboration that exist.

What is a Collaboration

Collaboration is, simply put, mutually beneficial cooperation where each participant gains something valuable. Employees from two companies share ideas and work on implementing them, while managers jointly plan expenses and goals.

There are similar concepts, such as cross-marketing and advertising integrations. The main difference between collaborations and other marketing tools is that partners create a joint product. Additionally, brand collaborations are much more effective than direct advertising — they are not perceived by customers as something intrusive.

Recently, the term "collaboration" has been used very broadly and now even includes joint songs by performers.

How Collaborations Help Businesses

Expand customer base. Collaboration provides access to a new audience loyal to the cooperation partner. This way, companies reach a wider range of potential customers and increase sales.

Create a positive brand image. It is an effective way to appeal to an audience and boost customer loyalty. More people will start to trust you. For example, the Adidas and Allbirds collaboration produced sneakers with a much lower carbon footprint, which is crucial for environmentally conscious buyers.

Increase revenue. An unconventional product attracts attention and interest from both new and familiar customers. Launching a product in season or for a holiday promises excellent profits.

Expand market presence. Collaborations help companies strengthen their positions and find new distribution channels.

Stimulate demand. Limited collections and exclusive products created within collaborations become sought after by collectors and brand enthusiasts.

Increase profitability. Partnering with other brands or creative individuals optimizes marketing and production costs.

Types of Collaborations

There are several types of such business partnerships.

• Brand collaborations. When two (or even more) companies work together and combine resources and employees to create a joint product.

Nike and Louis Vuitton collaboration. Source: crepslocker.com

• Stars and brands. The company collaborates with a famous personality to attract more attention and strengthen its image.

Tommy Hilfiger and Zendaya collaboration. Source: lesfacons.com

• Collaborative projects of creative people. Famous individuals, such as bloggers, artists, or designers, come together to create something unique.

Collaborations are used in various fields. For instance, in science, joint research pushes forward different industries. In education, such combined efforts create new educational programs and exchange experiences, which enhances the quality of learning. In the fashion world, designers and brands release unique collections together.

Charles & Keith and Chet Lo collaboration. Source: hellomagazine.com

The goal is not always to start making money immediately. Sometimes a collaboration is a long-term plan, creating new technologies, products, or ideas that will bring benefits in the future. Collaboration can also have a social focus, addressing important issues, raising awareness, or supporting good causes.

Collaborations come in different forms. They are divided by fields: fashion, art, technology, music, or sports. Not everything is easy to classify. Sometimes brands from completely different spheres create interesting products together. For example, Spotify collaborated with Starbucks to release a special music ecosystem with curated playlists for restaurants and special features for baristas. Spotify also worked with Uber, allowing passengers to listen to their own music in the taxi.

Source: uber.com

Another example of an interesting collaboration is Ford and Tinder. Profiles appeared in the app with the note "Want a date in a Ford Mustang? Swipe right." A total of 1.5 million app users interacted with this promotional offer. However, the number of winners was not very large — only five couples.

How to Create Collaborations

Do you want your collaboration to be profitable and expand your customer base? Then choosing the right partner is a key moment.

How to Choose a Partner for Collaborations

First and foremost, define your goals. Do you need recognition, audience expansion, or improved brand loyalty?

Assess your strengths. Are you lacking experience or technology? Find a partner who has what you need.

Here's what to consider when choosing a second participant:

• How similar your audiences are. It’s good if you have common customers, but it’s even better if your target audiences differ slightly. This way, you will attract new people and strengthen your market position.

• Whether you share the same vision for the work. It’s important that you and your partner agree on the main points of the project. For example, if you are actively implementing artificial intelligence and your partner is fundamentally against neural networks, the collaboration will be difficult. Try to clearly and concisely explain your point of view. Open dialogue is very important here. It’s like a group project at work — everything runs smoothly when all participants communicate and understand each other. The same goes for collaborations. Brands build a dialogue, discuss ideas, resolve emerging disagreements, and jointly plan the work.

• Whether your partner has a good reputation. Collaborating with well-known but controversial individuals can harm your image. Consider how customers will react to such a project. Be careful — the brand's reputation can suffer significantly.

• Whether you are ready to work together at all. All project participants must understand how much effort and time will be required. If someone is not interested or their expectations do not match reality, the collaboration may fail.

So, you've chosen a partner. What’s next?

Now it’s time to move on to the next stage: project development and implementation. Here are the details you need to consider.

Creating the Product

• It should be something appealing to both audiences. A good collaboration product meets their interests and desires, creating a strong desire to purchase it. Listen to your audiences — try to understand what they truly want.

• Maximize the use of each partner's resources. Combine your strengths to create an interesting and memorable project.

• A good collaboration product benefits both companies. If only one brand gets audience attention and profit, it can hardly be called a quality collaboration.

Promotion

• It's not enough to simply create a unique product. It needs to be introduced to the world, because if no one knows about it, there won't be many buyers.

• Plan how you will attract the audience. How will you tell them about your collaboration? Intrigue users, keep them interested with news and updates. Hire a social media manager (if you don't have one), and if possible, give interviews. Decide how you will promote the product — emails, social media, media outlets.

• Engage ambassadors in the project. Reach out to bloggers and negotiate collaborations. This way, you will reach a wider audience and increase brand awareness.

• Make sure to coordinate everything with your partner. Make promotion decisions together to avoid disagreements.

Your Approach

Collaboration should not be an end in itself. It is beneficial only when participants approach the project consciously. Decide why you need this collaboration. What is its idea? Don't spread your resources too thin. Clearly define the goals of the collaboration and focus on achieving the desired result. Remember, successful collaboration requires not only joint efforts but also strategic thinking.

Examples of Collaborations

Founded in 2014 in Los Angeles, ColourPop quickly gained popularity through active promotion on social media. The company specializes in cosmetics for eyes, lips, and face. The brand is also known for its collaborations with cartoon characters, Barbie dolls, and even NBA teams. A notable example is the joint collection with Disney.

Source: zula.sg

Pura Vida Bracelets, known for handcrafted bracelets and support for artisans, partnered with the Harry Potter franchise to create a collection inspired by Hogwarts' symbols, colors, and houses. This collaboration was successful due to shared themes of friendship, loyalty, and adventure, making Hogwarts magic wearable every day. The diverse range of designs representing different Hogwarts houses and symbols appealed to Harry Potter enthusiasts of all ages.

Bombas and Pixar teamed up to create a unique sock collection featuring beloved Pixar characters. This collaboration succeeded by merging the comfort and quality of Bombas socks with the nostalgic appeal of Pixar movies. By aligning their shared commitment to detail and storytelling, the collection attracted a wide audience, offering designs that connected emotionally with both kids and adults.

In an unusual collaboration, the Van Gogh Museum teamed up with the Pokémon franchise to present a collection of post-impressionist-style paintings featuring the famous Japanese creatures. The exhibition was successful, but the real star was the joint merchandise line — T-shirts, tote bags, and notebooks with prints. It caused such a stir that the museum's website couldn’t handle the traffic, and the sales launch was postponed indefinitely.

Source: vangoghmuseum.nl

Conclusion

Collaboration is a powerful marketing tool in today’s highly competitive world. It goes beyond simple partnership and implies a strategic combination of efforts and resources. Collaboration allows companies to enter new market segments and attract audiences. Additionally, with this method, brands create unique, innovative products and strengthen their positions.

However, for collaboration to truly bring success, its mere existence is not enough. It is essential to carefully select a partner who shares the brand’s values.

Clearly defining the goals and objectives of the joint work, as well as open and constant communication between the parties, is the foundation of a successful collaboration. A well-developed strategy that takes into account the strengths of each participant and joint efforts will lead to the creation of truly interesting products.