So your business and or service, can most definitely benefit from, a steady does of new and or extremely loyal repeat customers and or clients, correct?
Absolutely. Me too! 😀 And systematically reducing your upfront out of pocket cost while you do so, wouldn’t be such a bid thing either, right?
And throw in in a side order (or two), of increased marketing efficiency, and guess what? It certainly sounds like, your business and or service, definitely needs to know and understand, some of the major, potential money making advantages of strategic alliances.
Don’t you agree? Let’s look even further under the hood, in order to have a much closer look…
So Who Else Wants To Know Some Of The Many Potential Money Making Advantages Of Strategic Alliances!
First of all, the really good news is, you and I, don’t have to have companies, businesses and or services, anywhere near as large as Federal Express and or Kinkos, in order to form, some potentially profitable strategic alliances and or cross promotional arrangements.
And here’s the other, extremely cool thing, with regards to you (or I), forming, potential money making, strategic alliances and or cross promotional opportunities.
You can participate in three way, marketing triangulation arrangements as well. As these, when properly executed, and can definitely will, help you increase, both your gross front and back end profit margins.
Lower your upfront out of pocket cost, and generate a steady supply of not only extremely valuable, first time customers and or clients.
But equally important, a steady supply, of loyal, long term repeat customers and or clients as well.
Effective Strategic Alliances Help You Create and Or Generate Multiple Streams Of Income!
Case in point.Let’s suppose, you run a very successful, non franchised, independently owned, single location family style restaurant.
And your main clientele, is husbands and wife-s, who earn somewhere in the mid to high five figure a year incomes.
Which also means, they routinely socialize, vacation and network, with other local men and women, (basically) from all walks of life, with similar income and backgrounds.Right?
So one day, as you enter the restaurants lobby, you noticed, a beautiful state of the art, 75 inch flat screen TV, just waiting for one lucky patron of the restaurant, to claim it, in the free monthly drawings, the restaurant will be sponsoring, from the summer months of June through September.
And if they’re not on your opt in email/mobile marketing list, they can’t enter your free drawing.
Cross Promotions Is Definitely One Of The Proven Ways To Promote Your Business And Or Services!
In reality, your local retail jeweler and or retail appliance dealer, is the one actually sponsoring the monthly drawing.
Because in reality,some of those local patrons, are also the ideal customers, for both the jeweler and the appliance dealer.
And both of those extremely marketing savvy entrepreneurs, ideal customers, have a total lifetime customer value metric, of somewhere in the neighborhood of $8,500 dollars, over the next five to seven years.
So for either one of them, (or both of them!), sharing equal joint ownership, (and or equal access to) the subscribers, by splitting the cost of the TV, (and or) whatever the ultimate prizes are, is no big deal, since their lifetime customer value metrics, will more than support them doing so.
Effective Strategic Alliances Multiplies Your Marketing Reach!
For example; each patron can enter the drawing for free. However, every patron who spends over $30 dollars (or X), their names automatically going into the drawing, an additional time.
They’ll need to inexpensively price test, in order to discover, which particular price point, generates the most increase in gross profits.
Obviously, since only three grand prize winners, each month, will be rewarded either 1st, 2nd and or 3rd prizes.
Every patron who enters, wins a valuable third prize of an extremely time sensitive discount coupon, (for brand new first time customers only),from the appliance dealer, jeweler and or whichever, non directly competing vendors, actually helped sponsor (finance) and or co-sponsor the free drawing.
Second prize will be, an equally appealing, extremely time sensitive discount coupon from the restaurant owner, and each runner up, will be able save on a sliding scale. More on this potentially profitable concept in part two, okay?
Who Says Your Small Business Marketing Strategies Can’t Mirror The Big Boys And Girls!
Here’s one of the really cool, not so obvious benefits, from forming these potentially profitable, strategic alliances and or cross promotions..
Let’s say your restaurant, the local jeweler and local appliance retailer, have all three formed, a strategic alliance, triangulation marketing arrangement.
And strictly for marketing illustration purposes only! 😀 And for ease of calculation.Let’s further state all three non directly competing vendors, either have, their very own opt email and or mobile marketing list of 1,500 subscribers each.
(Very Important note: Entrepreneur, (both) the actual numbers being provided as well as the actual, non directly competing local vendors are irrelevant here.It’s the overall marketing concepts being conveyed, are what you need to focus on.)
Marketing Triangulation Is Definitely One Of The Proven Low Cost Ways To Promote Your Business And Or Service!
So let’s say the appliance retailer, (and or retailer X) is holding their extremely popular, summer, “everything Must Go!” liquidation sales event.
So they notify both the jeweler, your restaurant, as well as their other non directly competing, local bakery store owner(s), who also have their very own, mobile marketing list of 1,500 subscribers.
So all three non directly competing vendors, (meaning), the jeweler, bakery and your restaurant, send the appliance dealers, extremely time sensitive discount coupon offers, to your list,making them aware, of the appliance dealer, (and or) the local vendors, extremely time sensitive offer.
And let’s say you all average a 30% open rate.Which means, out of the 1,500 (or X) number of subscribers you send a unscheduled, extremely time sensitive ‘broadcast’ email/mobile marketing message to.
Entrepreneur Isn’t Past Time You Started Forming Your Very Own Potentially Profitable Strategic Alliances?
Typically, 30% percent will open them.So out of the total of 4,500 email/mobile marketing messages sent. 30% or 1,350 subscribers open and read the message.(4,500 x 30% = 1,350.)
And another 30%, actually rush over to the appliance dealers showroom.So 405 local storms the gate.(1,350 x 30% = 405.)
And let say the average customer spends just $125 dollars each. The appliance dealer (and or) local retailer X,just grossed an additional $50,625 dollars!(405 x $125 = $50,625)
(And this only with three local, non directly competing vendors.Is there any logical reasons why, there couldn’t be five to ten, local, non directly competing vendors, forming these type of strategic alliances? 😀 )
And this does not include what they may or may not have grossed, off of their outrageously expensive, local,traditional prime time TV, radio and or newspaper ads or inserts etc.
Entrepreneur, are you starting to see and appreciate, the long term money making potential, advantages of strategic alliances? And why you and I, simply can’t afford not to be using them asap!Great! See you in just a little bit, in part two.Okay?
P.S.Now as is customary during this part of our show.
Please share your extremely valuable comments (in the comments section below) that you can
apply to your business, product or service in the next 30 days or less!
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