joint venture marketing
joint venture marketing
joint venture marketing is not a new concept, but it is one that many small business owners fail to tap into effectively. JV marketing partners are an easy way to build your business through brand recognition and relationships with your partner’s current customers that can much more readily become your customers as well.
While the idea of approaching a potential JV marketing partner might seem somewhat intimidating, the benefits of the relationship far outweigh the possible discomfort at the beginning. Consider these benefits JV marketing can offer your business.
When you enlist the assistance of a joint venture partner, you do not need to pay to link their popular, established business with yours. In many cases, JV partners agree to work with new or lesser-known businesses for a commission on their sales. While the percentage might be rather high at first, the increased profits can more than make up for the initial payments. The cost is also more affordable because you pay your partner after the money comes in, rather than trying to cough up a large amount at the beginning to place an ad that will get your business name known.
Let’s face it; advertising is an involved science that many go to school for years to learn. If you can’t afford to hire a professional advertiser to market your company, you may need to dedicate plenty of time and effort to learn the finer points of reaching prospective customers and inspiring them to buy your products.
However, if you turn to JV marketing for your advertising needs, your primary job will be to find partners that have businesses closely associated with your own. Once you work out an agreement with those companies, your marketing efforts are already in full gear. It is helpful to learn a few advertising basics, but the biggest share of your work is already done for you.
When you are a new business just starting out in your industry, it can be hard to convince customers they can trust your quality and reliability. If you link your name with a popular company in a related field, you can often reap the residual benefits of your partner’s reputation to build your own customer base more effectively. After all, a customer who likes Company ABC is more likely to try out your products or services if Company ABC recommends you, right? This is the core of JV marketing, and why every new business should undertake at least one good JV partnership to help build a solid customer base.
While joint venture marketing isn’t the only type of advertising you should rely on when building your business, it is definitely one of the most valuable. By choosing an established company to work as your JV partner, you immediately link your business name with reliability, quality and customer satisfaction. With minimal up front costs and quicker results than other traditional advertising methods, joint venture marketing is definitely an effective way to build your business and boost your sales.
christian fea is CEO of Synertegic, Inc. A joint venture marketing firm. He exemplifies how to profit from Joint Venture relationships by creating profit centers with minimal risk and maximum profitability.