A marketing partnership agreement is created when two companies are in collaboration to promote the efforts of a co-branded offer. Both companies are responsible for sharing the work involved in the promotion and for sharing in the results.
When writing up the agreement, these are some of the basic areas to cover:
If people from both companies will be involved, make the entire process more efficient by assigning each person to a task they are most prepared or experienced to do.
When a marketing partnership agreement is in place, it provides protection for both companies by clearly outlining the terms of the agreement in order to avoid any misunderstandings.
A partnership agreement is a clarifying contract that states the steps or processes the two companies will take to exchange products or materials and to provide the training tools necessary to market each other's products or services. This may include joint marketing, promotions, and sales events.
Marketing partnership agreements are also referred to as cooperative marketing agreements or joint marketing agreements.
Several benefits result from a co-partnership agreement. For example:
In the agreement, everything pertaining to the relationship between the partners in terms of partner offers, logo/banner/signage placement, sales metrics, and ownership of the end customer buying the product should be stated.
Although some businesses may not feel an agreement is necessary, it is for the benefit of both parties to have one written and signed by both parties. As with any agreement, it is recommended to only sign an agreement with a company you trust and want to have a marketing partnership with.
While agreements are important, it is up to the two partners whether it will be detailed and complex or simply covers the basics.
There are many formats for marketing. The following are examples of how partners can promote goods and services:
An example of when a marketing partnership agreement is utilized is when one business is interested in placing products in another the store or storefront of another business to promote and increase sales. Another example is a joint marketing campaign or sale that benefits both businesses.
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