Creating Co-Branded Strategies

Are big brands setting up a new trend in commercial real estate?

By Alexis Cortez
Published Feb 6, 2023

Create co-branding strategies

If you're even remotely familiar with retail commercial real estate, you'll know of Yum! Brands. They are among the most prominent leaders in the Fast Food industry, along with other similar companies like Focus Brands and Inspire Brands. We've talked about Yum! Brand's most innovative concept - Taco Bell Defy - in a previous article. While some of us at Sites USA are waiting for our own Defy in Chandler AZ (take note Yum! Brands Real Estate Executive!) we think their competitor, Focus Brands could be starting another trend in the industry: Co-branding.

Co-Branding. What Is It?

Co-branding isn't actually a new concept. You might even have one across the street from you right now. Our office is just down the road from a combination Dunkin' and Baskin Robbins, one of Inspire Brands' co-branded concepts. These types of stores are different from the “store-within-a-store” concept we've talked about on the blog before as well as ghost kitchens in the restaurant world. The key difference? Strategic Competition. While Target has brands like Starbucks and ULTA in most of their locations, these brands aren't competitors and more often complement each other in their target audience, experience, and of course, market offerings.

Co branded store in Texas

Image courtesy of Focus Brands

Focus Brands announced a list of co-branded concepts over the summer, including the online sensation Auntie Anne's/ Jamba concept. If you've ever had a craving for a pretzel but didn't want to deal with driving to your nearest mega-mall, well you're in luck! The Wylie, Texas location has been open since 2021, with Chief Brand Officer, Amy Gmelich, noting that:

“This partnership was especially complementary, Gmelich says, because Auntie Anne's caters to dayparts from noon on, while Jamba specializes more in the morning crowd. The brand has also noticed many consumers come to the dual-branded, drive-thru locations with the intention to buy one product, and end up leaving with items from both.”

Clearly, Focus Brands has hit the nail on the head with this co-branded concept, and only time will tell if their other concepts will be as much of a hit. It's only a matter of time before there's an Auntie Anne's/ Cinnabon on every corner!

What Makes Co-Branding Work?

Map of Auntie Anne's and Jamba stores

While Auntie Anne's might be expanding outside of their traditional mall locations, the question becomes: Where? As the saying goes: Location, location, location. When choosing its first co-branded store for Auntie Anne's and Jamba, Focus Brands went with

  • Suburban. Wylie, Texas is a suburb of Dallas - one of the biggest cities in the state. But, it's at least a 15-minute drive to the nearest Auntie Anne's in Garland, TX. Which is in a mall.
  • A Neighborhood Center. Being in a local center - compared to their traditional mega mall - allows for better visibility, more convenience, and more services, like delivery through their own employees or through a third-party service like Uber Eats, GrubHub, or Doordash.
  • Drive Thru Friendly. The Wylie location is drive-thru enabled, which allows customers to quickly order at their convenience. Since these drive-thrus are easier to get to than a mall location, customers are more likely to become repeat customers.

These are just some of the ideas Focus Brands has been implementing for their first location, so they could still be experimenting with what works for their co-branded stores across the board, from Auntie Anne's to Schlotsky's and every brand in between. This is an exciting opportunity for other similar businesses to pay attention to, especially with all the hype surrounding the Auntie Anne's/ Jamba store. It might not be long before other companies start following in Focus Brand's footsteps.

Last Modified Feb 6, 2023

Featured Articles

The future of fast food

The Future Of Fast Food

The tech and bold ideas behind the biggest changes in the industry.

Ghost kitchen locations in a market

How Ghost Kitchens Are Changing CRE

What's next for restaurants in commercial real estate?

Store within a store concept

The Store Within A Store

A case study on retail collaborations in the new tech era.