Want to reach more customers without doubling your marketing budget? The answer might be teaming up with the right brands. A strong collaboration can get your brand in front of fresh eyes, build credibility, and drive sales—all while strengthening valuable partnerships. This guide breaks down the benefits of cross-promotion, potential pitfalls, and steps to implement cross-promotion effectively.
What is cross-promotion?
Cross-promotion is a marketing strategy in which 2 or more brands collaborate to promote each other’s products or services. By leveraging each partner’s audience, businesses can expand their reach, boost credibility, and increase sales without significantly increasing their advertising costs.
Cross-promotion marketing can take many forms, including social media cross-promotion, bundled product deals, co-hosted events, or content collaborations. It’s best for brands that share a complementary target audience but don’t compete directly, such as a technology company and a network of coworking spaces.
When executed well, a cross-promotion campaign provides mutual benefits. It helps brands reach new customer bases while strengthening their existing relationships through added value and exposure.
The benefits of cross-promotion
Cross-promotion offers numerous benefits for businesses looking to expand their reach and strengthen their brand while maximizing marketing budget.
Increases brand recognition
By collaborating with partner companies, your brand gains visibility among a new audience that already trusts the partner brand, making it easier to establish credibility. This type of endorsement can be more effective than traditional advertising since it comes with an inherent level of trust. Over time, repeated cross-promotions reinforce brand identity and strengthen brand recall, making your business more recognizable to potential customers.
Offers cost-effective marketing
Instead of spending heavily on paid advertising, cross-promotion marketing allows brands to tap into each other’s existing audiences, reducing costs while maximizing exposure. This approach helps businesses stretch their marketing budgets while maintaining high engagement levels. Focusing on shared promotional efforts gives brands organic reach, increasing customer acquisition at a fraction of the usual advertising costs.
Reaches new audiences
Through social media cross-promotion, bundled offers, or co-branded content, businesses can introduce themselves to potential customers they might not have accessed otherwise. This exposure particularly benefits brands entering new markets or launching new products. Businesses can also ensure their message resonates with the right demographics by strategically selecting the right partners, increasing conversion potential.
Builds partnerships
Working with partner companies fosters long-term relationships, opening doors for future collaborations, referrals, and joint ventures. These partnerships can lead to extended networks, unlocking access to additional business opportunities and industry connections. A strong network of trusted partners can also provide valuable insights, helping brands refine their marketing strategies and stay ahead of industry trends.
Enhances customer engagement and loyalty
Customers appreciate added value, whether it’s exclusive deals, exciting collaborations, or fresh content. By offering them something new and relevant through a trusted partner, brands can strengthen customer relationships and encourage repeat business, ultimately driving long-term growth.
In addition, when customers see two of their favorite brands working together, it reinforces their trust and engagement. Consistent cross-promotional efforts can also create a sense of community around brands, encouraging customer advocacy and word-of-mouth marketing.
Seven steps to build a successful cross-promotion strategy
A well-executed cross-promotion strategy requires careful planning and coordination. By following these 7 steps, brands can maximize the impact of their collaboration and create a campaign that benefits both partners.
Step #1: Define your goals
Before launching a cross-promotion campaign, it’s essential to define clear and measurable goals. For example, if your goal is to grow your email list, you might collaborate with a brand on a giveaway where participants must sign up for both companies' newsletters. If you're focused on sales, a co-branded product bundle with a limited-time discount could be more effective. A specific objective will help you select the right partners, messaging, and promotional tactics.
Step #2: Find the right cross-promotion partners
Choosing the right partner is critical to the success of any cross-promotion marketing campaign. The ideal collaborator should offer complementary products or services, share a similar target audience, and have an established brand reputation.
Identify other brands to cross-promote
Look for partner companies that naturally align with your business without being direct competitors. For example, a skincare brand might partner with a wellness company, a bookstore could collaborate with a coffee shop, or a fitness brand could work with a healthy snack company. The key is ensuring that both brands attract the same type of customers but fulfill different needs.
Reach out
Once you’ve identified a potential partner, the next step is making contact. Draft a concise, well-crafted pitch that clearly outlines the mutual benefits of a collaboration. When reaching out, it helps to propose specific promotional ideas while keeping the discussion open for adjustments. Express enthusiasm and highlight any past successful collaborations.
Build relationships
Establishing trust is essential before launching a joint campaign. Both brands should align on expectations, objectives, and key performance indicators (KPIs). Open communication throughout the process will help prevent misunderstandings and ensure both partners are satisfied with the arrangement. This step is very important because successful partnerships often extend beyond a single campaign, creating long-term opportunities for future collaborations.
Step #3: Align brand values
Successful cross-promotion depends on brand alignment. A collaboration may feel forced or inauthentic if the 2 brands have conflicting values. Before committing to a partnership, both businesses should ensure they share a similar mission, messaging style, and approach to customer engagement.
For instance, a company known for eco-friendly initiatives should partner with a brand that prioritizes sustainability rather than 1 with questionable environmental practices. Strong alignment between partners ensures that the collaboration enhances both brands rather than creating confusion or potential reputational risks.
Step #4: Choose your platforms
Selecting the right channels for promotion is key to maximizing reach and engagement. Different platforms offer unique advantages, and the right mix will depend on the campaign’s goals and target audience.
Email marketing allows businesses to introduce a partner brand directly to their existing audience. Cross-promotion via email might include featuring the partner in a newsletter, co-hosting a webinar, or offering exclusive discounts for each other’s subscribers. Email collaborations work best when the messaging feels organic and adds value to the audience.
Social media
Cross-promotion on social media platforms is one of the most effective campaign implementation methods. Brands can collaborate on co-branded posts, Instagram or TikTok content, or even joint giveaways. Sharing behind-the-scenes content, engaging in friendly brand interactions, or running limited-time promotions on social media channels can increase visibility and encourage audience participation.
Content marketing
Co-branded content can take many forms, such as blog posts, guest articles, or video collaborations. By featuring a complementary brand in valuable content, businesses can introduce their audience to a relevant solution or product while providing useful information. A travel company, for example, might collaborate with a luggage brand to create a destination guide, offering cross-promotion ideas for both audiences.
Print media and traditional advertising
For businesses that rely on traditional marketing, cross-promotion can extend to print media, radio, and even TV advertising. A well-placed magazine ad or a shared commercial spot featuring both brands can reinforce brand credibility while reaching a broader audience.
Events and sponsorships
Hosting or sponsoring events together is an excellent way to cross-promote. Whether it’s an in-store promotion, webinar, or industry conference, joint participation allows both brands to engage with their audience in a more interactive setting. Event sponsorship collaboration also provides added exposure through branding on event marketing efforts.
Product bundling
Bundling products or services is a simple yet effective way to introduce a brand to new customers. For example, a beauty brand might offer a skincare bundle that includes a partner’s hair-care product, or a software company could offer a package deal with a complementary app. These bundles create added value for customers while encouraging them to explore new products.
Retail and e-commerce
Physical stores and online marketplaces offer numerous cross-promotion ideas. Retailers can feature partner companies in displays, limited-time sections, or bundled product sets. Online businesses might collaborate on website placements, co-branded landing pages, or cross-promotions.
Loyalty programs and discounts
Loyalty programs and discounts can also drive successful cross-promotion campaigns. Offering exclusive rewards, referral incentives, or discount codes for a partner brand encourages customers to engage with both businesses. For example, a restaurant might offer loyalty program members a discount on a local bakery's products, creating an incentive for shared customer engagement.
Step #5: Develop compelling messaging
Cross-promotion messaging must be clear, engaging, and aligned with both brands’ voices. A generic promotion won’t be as effective as a well-crafted message that speaks directly to the target audience. The messaging should emphasize the value of the partnership, explaining why the collaboration matters and how it benefits customers.
Personalized and authentic communication will resonate more with audiences, whether in social media captions, email subject lines, or promotional ads. Using storytelling to highlight the connection between the brands can make the promotion feel more natural and compelling.
Step #6: Coordinate your cross-promotion efforts
Effective coordination is key to a seamless campaign. Both brands should align on timelines, promotional schedules, and deliverables. A shared content calendar ensures consistency across platforms, preventing missed opportunities or overlapping messages.
Regular team check-ins help address logistical challenges and keep the campaign running smoothly. Clear roles and responsibilities should be established early on so that both brands contribute equally and benefit fairly from the partnership.
Step #7: Track your performance
Tracking performance is essential to measure success and identify areas for improvement. KPIs might include website traffic, social media engagement, conversion rates, or direct sales generated from the promotion.
Using analytics tools, brands can assess what worked well and where adjustments are needed to optimize future campaigns. Customer feedback can also provide valuable insights into how the collaboration was received. By continually refining their approach, brands can build stronger cross-promotion strategies over time, leading to more effective partnerships and sustained business growth.
Cross-promotion challenges
While cross-promotion can be highly effective, it comes with challenges that businesses must navigate to ensure a successful collaboration.
Mismatched branding
If 2 brands don’t align in tone, values, or reputation, the partnership can feel forced or confusing to customers. For example, a luxury brand partnering with a discount retailer might struggle to maintain its perceived value. Ensuring that both brands complement each other is crucial for a cohesive message.
Audience overlap
If both businesses already share a significant portion of their customer base, the cross-promotion may not yield much new exposure. Partners should analyze their audiences to maximize impact and ensure they reach new potential customers.
Legal and contractual considerations
Partnerships should be clearly defined regarding expectations, responsibilities, and revenue-sharing agreements. Intellectual property rights, content ownership, and exclusivity clauses can complicate collaborations if not addressed up front.
Maintaining authenticity
Customers can quickly detect inauthentic partnerships, and a poorly executed cross-promotion may damage trust. Both brands must ensure that the collaboration feels natural, provides real value, and aligns with their core messaging to keep customers engaged and receptive.
Key takeaways
- Cross-promotion expands reach and credibility at minimal cost: By collaborating with complementary brands, businesses can introduce themselves to new audiences, enhance credibility through association, and drive sales—all without significantly increasing their marketing budget.
- Successful cross-promotion requires strategic alignment: Choosing the right partners, aligning brand values, and selecting the most effective promotional channels are critical to ensuring a seamless and mutually beneficial collaboration.
- Tracking performance helps refine future partnerships: Monitoring key metrics such as engagement, conversions, and audience growth allows brands to evaluate success, adjust strategies, and build stronger cross-promotional campaigns over time.