Collaborating with Organizations: 9 Dynamic Ways to Expand Your Customer Base
Expanding your customer base is crucial for the growth of any business. One highly effective strategy is to partner with similar organizations that share a common target audience. This article explores nine innovative ways to collaborate, providing detailed examples to inspire your own partnerships.
Establish Your Target Audience
Before diving into potential partnerships, it’s essential to clearly define your target audience. Once you have a clear understanding of who your customers are, you can identify organizations that align closely with your audience. This step can be as simple as a Google search if you're unsure of specific organizations.
9 Ideas for Collaborating with Other Companies
Joint Product Development
Imagine creating a new product by blending the best of two existing offerings. For instance, Google partnered with Mattel to integrate their respective technologies into the classic View Master toy. The resulting product now offers virtual and augmented reality experiences, expanding the traditional playtime into a technologically immersive one.
Example: Google and Mattel combined Google Cardboard technology with Mattel’s View Master to create a new product that offers kids a taste of virtual and augmented reality. The product includes a Mattel headset, Android phones, and exclusive augmented reality content.
Complementary Product Advertising
Collaborative advertising is a powerful way to tap into each other’s markets. For example, JC Penney and Disney partnered during the Academy Awards to promote the live-action version of Cinderella. JC Penney used the stunning visuals and story of Cinderella to attract viewers interested in women and beauty.
Example: JC Penney took advantage of its prime spot during the Academy Awards and leveraged Disney’s strong brand to promote a relevant film, thus appealing to both the beauty and film enthusiast communities.
Unused 'Capacities'
Often, businesses have underutilized assets that can be turned into significant revenue streams through partnerships. Purchase College in New York State found a great solution by partnering with a nearby airport to rent out parking spaces and offer shuttle services. This initiative not only utilized unused space but also generated substantial income through a new service.
Example: By offering parking spaces at a fraction of the cost and providing shuttle services, Purchase College increased its annual revenue by over 80,000 dollars, which could be directed towards improving their college facilities and scholarships.
New Market Penetration
Partnerships can help you enter new markets by leveraging the strengths of others. The Huffington Post and Fairfax Media in Australia joined forces to bring quality content and expertise to the Australian market. This collaboration allowed both companies to benefit, with The Huffington Post gaining a foothold and Fairfax gaining valuable media space.
Example: The partnership between The Huffington Post and Fairfax Media helped both entities access new markets and expand their reach, ensuring mutual success and growth.
Complementary Technologies
When companies possess technologies that complement each other, the potential for collaboration is immense. Apple and IBM joined forces to leverage each other's strengths. IBM brought its enterprise-scale computing and analytics, while Apple contributed user experience expertise, leading to the development of innovative solutions.
Example: IBM and Apple collaborated to integrate analytics and user experience, creating a powerful partnership that delivered innovative, user-friendly products.
Natural Synergies
Situations arise where two companies have natural qualities that align perfectly, making collaboration a natural fit. For instance, Benjamin Moore paints and Pottery Barn partnered to design unique seasonal color palettes. This collaboration satisfied customers' requests for specific paint colors while providing exclusive offerings.
Example: Benjamin Moore and Pottery Barn collaborated to create a unique palette for every season, combining their respective strengths to meet customer needs and increase sales.
Additional Synergy Examples
Collaboration can also arise when companies share the same goal, such as providing quality products or services. Benjamin Moore and OPI, renowned for their nail polish, found a common ground in colors. Both worked on making colors more appealing through creative and innovative strategies. For example, Benjamin Moore created Fenway Park-themed paints for Red Sox fans, while OPI offered collections based on other brands to attract a wider audience.
Example: Benjamin Moore and OPI leveraged their shared goal to create unique and appealing color collections, satisfying their respective customer bases in different ways.
Conclusion
Partnering with organizations that share your target audience or have complementary assets and technologies is a strategic move that can significantly expand your customer base. From joint product development to complementary technologies, there are numerous ways to collaborate and achieve mutual success.