The Chinese marketing landscape in 2023 has been marked by a dynamic shift towards co-branding as brands seek innovative ways to differentiate themselves and engage increasingly discerning consumers. At the China MarTech Innovation Institute, we have observed that co-branding is no longer a peripheral strategy, but a core practice that is shaping the future of marketing in China’s vibrant digital ecosystem.
Co-branding initiatives allow brands to combine their unique strengths, audiences, and creative assets to deliver value that transcends the sum of their individual efforts. This approach is particularly resonant in China, where consumers exhibit a strong appetite for novelty, collaboration, and cultural relevancy. By forging strategic partnerships—whether between established brands, emerging digital natives, or across different industry sectors—marketers are able to create products and experiences that are more engaging, memorable, and tailored to evolving consumer preferences.
Luckin Coffee and Kweichow Moutai, Luckin Coffee and “Tom and Jerry,” as well as Heytea and Fendi have become this year’s top three most memorable co-branding campaigns in the eyes of consumers. Among these, products that are creative, offer a strong sense of contrast, and are easy to turn into memes tend to enhance the presence of co-branding even further. The launch of the “Sauce-flavored Latte” (by Luckin Coffee and Moutai) was especially successful in bridging young professionals and middle-aged groups, reaching people across all age groups from post-2000s to post-1980s.
Nearly 80% of respondents indicated they are willing to pay for co-branded marketing. Most people focus on the products and related merchandise themselves when purchasing co-branded items. Over 70% spend money for IPs they like, a proportion 20% higher than those influenced by the brands themselves. Among these, animated IPs are the most popular, followed by cartoon IPs represented by characters like “Little Liu Duck” and “Line Dog” (42.1%), and TV drama IPs represented by series such as “Empresses in the Palace” (37.2%). In response to the question, “Which IP would you be willing to spend money on for co-branded products?” the “Line Dog” IP ranked highest, becoming one of the most promising IPs with the strongest fan engagement.
The success of co-branding in China owes much to the digital infrastructure that fosters collaboration and rapid innovation. With the support of major social platforms and advanced marketing technologies, brands can seamlessly integrate their campaigns and tap into shared data insights to refine their messaging and maximize campaign impact. The China MarTech Innovation Institute has played an active role in enabling these partnerships, leveraging our expertise and strong relationships with leading platforms to facilitate connections and co-create solutions that drive measurable results.
In addition, co-branding has become a strategic lever for brands aiming to bridge local relevance with global appeal. By aligning with partners who bring complementary capabilities and cultural perspectives, brands can capitalize on emerging trends while strengthening their connection to both Chinese and international audiences. This not only enhances brand equity but also positions China as a leader in global marketing innovation.
As co-branding continues to gain momentum, the China MarTech Innovation Institute remains committed to supporting brands in navigating this evolving landscape. We believe that the future of marketing will be defined by collaboration, creativity, and the ability to build meaningful bridges—between brands, platforms, and consumers—through co-branded initiatives that set new benchmarks for the industry.
