A Marketing Agreement is a written contract that is especially formulated when a temporary business partnership is formed between two different companies for the purpose of creating a marketing campaign that will help benefit both parties. This method of business partnership is often dubbed a Marketing Agreement, a Cross-marketing Agreement, or a Joint Marketing Agreement.
A Cross-marketing Agreement helps in improving the companies’ respective brands in order to achieve more sales and broaden their market. If you are in the process of setting up a Cross-marketing Agreement, download our Agreement Forms to ensure that your interests are protected.
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Cross-marketing arrangements typically happen between supply-chain partners such as wholesalers, retailers, and manufacturers and are primarily constructed for marketing purposes such as promoting a specific product or service. This marketing strategy benefits both parties as it allows both of them to tap into the benefits and strong suits of each other in order for them to produce a combined effort that magnifies their product or services. This is especially beneficial to new or lesser-known companies that are able to expand its market with the help of more popular companies.
What a Marketing Agreement Should Include
A Marketing Agreement (Partnership Agreement Forms) lays out each company’s obligations in relation to the shared marketing and promotional efforts such as the use of logos and trademark images. The contract also provides the scope of the promotional efforts being made, the license details, the relationship between both companies, and a confidentiality clause to make sure that trade secrets and other confidential information are not leaked. Below is a more in-depth play-by-play of what should be found within a Marketing Agreement:
Licensing. Your agreement should commence by stating licensing provisions to protect the brand assets of each company. Each party’s intellectual property should be strictly protected while allowing both parties to use each other’s copyrighted and trademarked assets.
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Terms and Conditions. Your agreement should be able to lay down the terms and conditions as well as each party’s provisions in supporting marketing activities such as the right to issue press releases. Non-compete clauses should also be included in your contract, or you can simply create a separate Non Compete Agreement Form to ensure that your partners do not go behind your back and compete with your business.
Liability Limitations. Provide liability limitations to your agreement to protect each party from any financial liability that ensues from possible unscrupulous actions as well as methods of mediation in order to settle disputes among yourselves versus settling it in expensive methods.
Marketing Endowment. Each party should be able to bring something to the table that contributes to the marketing campaign such as cash, advertising time slots, valuable intellectual property, or the capacity to provide tools or resources for campaign.
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