What is cross marketing?
Cross marketing, or cross promotion, involves two or more businesses coming together for a common purpose and benefit. This could be two businesses displaying each other’s business cards in their stores or a collaborative product. An example of cross marketing you may have seen is Arnott’s x Cadbury’s biscuit flavoured chocolate bars.
Cross marketing can be a very beneficial tactic for your business. Think of a brand that would really compliment your product or service and, if they are not a competitor, see if they would be interested in a collaboration. Lots of influencers, businesses and brands are keen on working together, especially for mutual benefit and exposure.
Methods of cross marketing
There are many methods of cross marketing to benefit two or more businesses. Promotions may include collaborative and mutually produced:
- Items or products
- Promotions or ad campaigns
- Bundled offerings or deals
- Social media commenting
- Discounts, giveaways or gifts with purchase.
Things to think about or be careful of
Cross promotion has many benefits but if the business you choose to work with is a ‘bad egg’, their negative reputation could impact your own. It is important to research the other company thoroughly to ensure their values and image fit in with your own. To contact the other business, you could call or drop in and see them. Social media is also a great tool for reaching out to other businesses and building valuable relationships.
Once a suitable business has been chosen for collaboration, it is a good idea to sort out all the important details before proceeding. Things such as who will be the main contact from each business, how costs and billing will be handled, if the promotions require follow up and if so, who will do this and how profits will be handled and split.
When developing the actual marketing, be sure to make a plan that both parties agree on, that determines what products will be marketed, how, and for how long. It is important to develop a campaign that is meaningful as consumers need to believe the collaboration is more than just a marketing opportunity to develop trust and make a purchase.
Goals and benefits of cross marketing
The goal of cross marketing is to create meaningful content that will benefit both businesses. It should be a win-win for all involved and, if the business you are collaborating with does not benefit you, find somewhere else that will. Being exposed to their existing customers will bring your product to a whole new audience who are more likely to trust you as they trust the brand who introduced you to them.
Cross market helps to reward existing customers by bringing them something they will find valuable, and boost business credibility by being endorsed by another business. Cross marketing also helps to reduce costs of the promotion by 50%, gain new advertising exposure, new customers and increased sales. For example, if two businesses share the expense of a paid ad, it will be half the price!
If you need help designing and implementing a marketing strategy for your business, call Bottrell Media today on 02 4933 6888 to make an appointment.