This study explores the phenomenon of co-branding within the fashion industry, focusing on the perception of Spanish consumers. Co-branding, a strategic collaboration between two or more brands, has emerged as a critical tool for innovation, market expansion, and revitalizing brand perception. Through a review of relevant literature and an exploratory survey conducted in Madrid, Spain, the study identifies key factors influencing consumer attitudes toward co-branded products, such as design, innovation, and perceived quality. Results highlight a positive consumer reception to brand collaborations, with 64.5% of respondents having purchased co-branded products. While enthusiasm for such initiatives is evident, willingness to pay premium prices remains contingent on the collaboration’s perceived value. The study categorizes co-branding strategies into four types—complementary competency, promotional endorsement, awareness enhancement, and ingredient branding—illustrating their diverse applications and benefits. However, risks such as brand dilution, consumer confusion, and misalignment of values underscore the importance of strategic coherence. The findings emphasize that successful co-branding requires meaningful integration of brand identities, innovation, and exclusivity to maintain consumer trust and loyalty.