Co-branding is very similar to co-marketing, but often focuses on more established, big-name brands. This is more about bringing together the elements that make up a brand, such as the logos or colour schemes. It focuses on creating a partnership to increase brand exposure, rather than ‘marketing’ a new product or running a new joint campaign.
The reason brands tend to team up in co-branding is that their audience will already have some sort of overlap. Even if it is small.
Of course, when starting a business, companies don’t intend to partner up. But after realizing similarities, co-marketing or co-branding can bring huge success.