As you would expect, there are different types of strategic business partnerships, and which one best suits you will depend on a number of factors. Knowing the differences between them can help you choose and formulate a partnership plan to move forward.
Strategic marketing partnership
If you’re a startup or a smaller business, then this type of partnership may be of most benefit to you, though it can benefit larger businesses too. On a smaller scale, let’s say for example you’ve launched a business offering SEO optimization and content writing services. Partnering with a business offering website design and development offers potential for referrals for both companies.
By strategically combining services in their marketing, both businesses can expand their reach, avoid marketing mistakes, and will refer businesses to each other on an ongoing basis.
However, that’s the simplest form of partnership and, as you move up the corporate pyramid, these relationships can become more complicated and need more work. Organizations often ask “What is a business process?” and “How important is it to us?” More importantly, “Can it be improved through partnership?”
A good example of high-level strategic marketing partnering is the Toyota iQ, an ultra-compact city car that was rebadged and marketed as the Aston Martin Cygnet in Europe (marketed as the Scion iQ in North America). While both these brands produce cars, Aston Martin normally targets the luxury market so Toyota saw this as beneficial.
This shows a commonality found in strategic partnering strategies; one producing the product and the other marketing the product in its own way. While this form of alliance is very common among car manufacturers, it is something that can be applied to almost any product, especially if your organization wants to penetrate markets in other countries or regions.
2.Strategic integration partnerships
This is a form of alliance that has become increasingly popular in the digital era. With the often complex needs of many businesses, business owners find that being able to integrate Product A with Product B can be a great way of attracting extra customers to both products.
For example, your business may sell Zoom phone alternatives and you identify a partner who offers an efficient CRM (customer relationship management) system that’s their own intellectual property. By partnering with them, you enhance your product and can potentially increase the sales for both parties as well as offer a product that gives a better service to your customers.
You’re therefore improving what you both offer as well as providing a more streamlined service or product to your customer base and this can help attract new customers. This sort of partnership is often seen as collaborations between hardware and software providers but can also occur between companies offering both. It should also be noted that an integration partnership does not have to be an exclusive one.
3.Supply chain partnerships