Abstract

This research investigates the potential for a “fair” co-branding operation. A major corporate brand is fictitiously allied with a Fair Trade labelling organization brand. The sample for the study is composed of 540 respondents, representative of the French population. By considering commercial brands and Fair Trade labels as dissimilar in terms of customers’ perceived Fair Trade orientations, this article studies how this lack of similarity impacts perceived congruence between both entities and how prior brand attitudes and congruence influence customers’ evaluation of the co-branded product. The results of this research demonstrate that: Consumer prior brand attitudes toward the partner brands influence very little customers’ evaluation. Perceived similarity of the partner brands has a strong influence toward congruence of the co-branding operation. Results also indicate that congruence has a strong influence upon customers’ evaluation. An inverted U-shaped relationship exists between perceived similarity and relevancy of the alliance, and between expectancy and customers’ evaluation. The results obtained through the test of a partial least square model, and inverted U-shaped hypothesis, represent a new insight into co-branding theory. The high discursive power of fair co-branding is a key issue: the corporate brand provides the alliance with its leading position, while the Fair Trade brand provides the ethical attribute.