Joint Partners

Joint Ventures

For those who fear their customer base may not generate enough new sales, look to joint ventures. Using your loyal customer base, a joint venture is the fastest and most economical way to double or triple your sales,

In the next few blogs, I will describe the power of joint ventures, their benefits to business owners; how you create joint ventures and what to avoid if you are to be successful with joint ventures.

A joint venture is a partnership where two or more businesses come together to share knowledge, to share a common market, and to share their customer data bases.

• This partnership could be as simple as a thank you note when someone buys a product from you that include an offer from another business that would compliment the sale.

• It could be the McDonalds that locates itself inside a Wal Mart so that both business benefit from the traffic to each other’s business.

• It could be a mutual endorsement email sent between two businesses to each other’s loyal customer base.

• It could be a discount coupon exchange between two businesses to promote each other’s products and services.

• It could be a common electronic newsletter sent to their loyal customers.

A joint venture is a win-win agreement between two or more businesses. It could be for a short time period. It could be for an extended period. A joint venture is the creation of something that is bigger than either of the businesses.

A study in 2005 showed that 25% of business profits were generated from joint ventures or strategic alliances between businesses. As a small business, you cannot afford not to explore joint ventures with other businesses.

To be continued, your comments are welcomed…

Comments

[Laurie]

You write very well.