Creating a strategic partnership is actually one of the best, smartest ways to grow your business. It is, in fact, a strategy that all good businesses use to get ahead.
Take franchising for example. Maybe you have a restaurateur who has created a successful restaurant but in order to grow, he or she needs money and partners. That partner is the franchisee. In return for learning the franchisor’s secrets and system, the franchisee pays a fee and extends the restaurateur’s brand. The important thing to note is that while both parties enter into the deal for their own reasons, and both get something different out of it, they also both know that they can accomplish more together than they can apart.
That is the power of partnerships. There are, of course, many more, including
Extending your brand: By partnering with another respected business, you increase the reach of your brand and business into new areas.
More customers: Not only will you gain immediate exposure to your partner’s customers by partnering up, but that initial exposure will be via word of mouth, and that’s the best.
Better data: Quantifiable customer data is extremely valuable. Another benefit of a strategic partnership is that it offers both companies increased insight and data into their shared customer base. They can combine their respective knowledge in order to construct a much more robust customer profile.
Potential expansion: Another valuable thing about strategic partnerships is that they give both businesses greater ability to expand into previously untouched areas. By utilizing the resources and reach of their partner, each company is able to harness the power of two sets of established customer bases and brands and reach an entirely new set of customers.
Filling gaps: Face it – your business is really good at some things, but others? Meh. Maybe not so much. That where the right partner comes in. By identifying your weaknesses and finding strategic partners who can complement them, you can bolster your ability to consistently deliver excellent products or services.
So yes, finding and creating a new partnership can yield all sorts of benefits. No less than director Steven Spielberg put the value of creating a partnership this way:
“I love creating partnerships; I love not having to bear the entire burden of the [project], and when I have unions like with George Lucas or Peter Jackson, it’s really great. Not only do I benefit, but the project is better for it.”
Spielberg gets it. Microsoft does too. And so should we.
As they say: Cut. Print it!