Best Business Expert

In today’s business climate, you need to keep cash flow coming in. That’s not always possible when potential buyers seem to have scattered like scared townsfolk in an Old West shoot-out. In an economic downturn, people spend less so businesses need to work harder to earn revenue.

One way you can earn more revenue is through strategic partnerships with others. This takes some legwork and a hefty dose of creativity to make it happen, but proposing partnership is easy (since many businesses want to generate more clients and revenue) and collaborating is fun.

Here is how you can partner for greater business potential:

First, think about who your target market is. Explore their needs and wants and buying habits. Make sure that you’re not just working on data from who you WANT to sell to but who you are ACTUALLY selling to; you might find that those are two dramatically different markets.

Now, think about other needs and wants and buying habits of the same target market. Let’s say that your business targets soccer moms and sells clothes and accessories for their children ages 6 through 10. Think about what other needs and wants and buying habits they have. They’re probably also looking at minivans, lessons (like soccer, piano, etc.), and they’re buying things (like food) to enhance the health and wellbeing of their children. They might also be looking for popular entertainment for their kids – video games, appropriate internet activities, etc. And don’t forget, they’d probably like some downtime or pampering themselves with the amount of effort they invest in their children.

So, now that you have a long list of OTHER needs and wants and buying habits, think about who offers these. For our soccer mom example: Is there a local soccer team? Is there a go-to piano teacher? Is there a minivan dealership? Is there a grocery store nearby? Is there a spa? Do some research and find companies that meet the needs on your list. This is now your strategic partnership target list.

With this list, brainstorm how you can partner. Maybe you can create some co-branded marketing. Maybe you can promote each other’s services. Maybe you can include a coupon for each others’ businesses with every purchase. Maybe you can create a product or service and split the revenue and expenses. The opportunities are endless.

Let’s take the soccer mom example and look at some ideas. If you target moms to sell them children’s clothing and accessories, you might:

* Work with a minivan dealership to offer a "summertime package" – when they purchase a minivan they can also purchase a package of your summertime fun accessories, or maybe some travel accessories for kids. Or, perhaps you can offer to create mannequin displays in their dealership and clothe the mannequins with your clothes. It livens up their dealership and gives you a targeted place to show your wares.

* Collaborate with the local spa, piano teacher, and child nutritionist to create an occasional newsletter with tips for moms and coupons to your businesses.

* Work with local grocery stores to sell some of your accessories. For example, perhaps you can offer a "my first picnic" with your backpack stuffed with fun picnic food and a plastic tablecloth.

The secret to strategic partnering is to find the right partner and get creative at developing a solution that will be loved by the customers each of you share.

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