Cross Branding

Posted in Marketing and Strategy Terms, Total Reads: 728

Definition: Cross Branding

A cross-branding strategy is defined as a strategy that combines two offerings from different brands to sell complementary goods or services to increase the reach to audience. When two brands come together it will not only help them reach larger audience but can also help them enter a new industry or cater to a new customer segment.

A perfect cross-branding campaign has each company that is involved in achieving the following goals:


• Create a new product or service to increase corporate revenues.

• Increase the product salience to the consumer.

• Respond to the marketplace’s expressed and upcoming needs.


• Leverage one’s own core competencies.



Idea Kaun Banega Crorepati is an example where Idea as sponsor is branding itself along with the brand KBC & vice versa



• New contextual reach to broader audience

• Build purchase intention through brand recognition (the other brand’s)

• Each brand ‘validates’ the product in their industry which helps them build credibility which helps the other partnering brand.

• If both brands are equally important, you don’t need any extra budget for the agreement just goodwill and equal support to product.

• Communication can be more cost effective


• It’s very difficult to get an agreement between two big brands

• Doesn’t work well when one brand is more powerful than the other -> go for Royalties!!

• If one brand goes wild, the other might be tainted by the behaviour (especially in long term relationships)

• Consumer might not connect with the relation between the two brands.



Looking for Similar Definitions & Concepts, Search Business Concepts