Yes, absolutely. But as this article by FastCasual.com points out, not all brands play well with each other.
The article does a great job of listing the difficult questions operators must ask themselves when deciding whether you should co-brand a location.
- Am I comfortable with employees being cross-trained?
- Am I comfortable with potentially sharing revenue streams?
- Do I really need two concepts under the same roof?
- How will my brand benefit?
- What negative effects will it have on my brand?
- How is my brand perceived in comparison with the brand I am cobranding with?
- How will my core consumer base react to this cobranding?
- What is the cost benefit analysis on customer acquisition?
- How will marketing efforts be affected?
- How are joint decisions going to be made between the two separate corporate entities?
- How will vendor relationships be affected?
- And how will my internal employee culture be affected?
A big reason why our “FatBuffs” (Fatburger – Buffalo’s Cafe co-brands) work so well, is that they both belong to the same parent company. This allows us tremendous flexibility to create a situation where both brands benefit from the efficiency that is possible in a co-branded location. And when you achieve that efficiency between the brands, you build profit. On average, we see around a +25% profit margin in our co-branded locations.