So, a business owner has offered to partner with your business to reach a common goal or promote a common event. Should you take them up on their offer? We think you should. The opportunities to grow are exponential, and who doesn’t love building relationships anyway?
In an effective business relationship, decision makers agree to cooperate to advance mutual interests. Typically, a business relationship forms between two businesses with similar missions or goals, but the opportunities for connection are truly limitless if you are creative.
Effective business relationships increase reach, referrals, and revenue for all involved. Here’s how:
Reach
Partnering with another business allows you to reach their customers and followers with little to no extra effort on your end. Consumers buy from brands they know, like, and trust. If someone is a loyal customer to a business, that trust has been established. Why wouldn’t they trust another company they see working closely with the businesses they already patronize?
Plus, close business relationships naturally lead to social media interaction between the businesses, creating an extra layer of exposure to existing customers and followers.
For example, a partnership with My Town Media generally includes shout-outs on our social media pages, remote broadcasts at our partners’ brick and mortars, and regularly scheduled mentions on air.
TIP: Build a relationship with businesses that have a similar target audience as yours so you are reaching the audience you want to reach – consumers who are likely to become customers.
Referrals
Suppose a business owner is approached by a customer for a service or product that business does not or cannot offer. The owner’s first instinct may be to refer the customer to a different business. To maintain their own reputation and credibility, that business owner should only refer customers to businesses they know, like, and trust. What better way to build that sort of trust than through a business relationship?
You scratch my back, I’ll scratch yours.
Business networking platforms like Alignable and LinkedIn make referrals easy – actual business relationships make referrals second nature.
TIP: Exchange business cards or other marketing materials with your business allies to make referring easy.
Revenue
I don’t have to tell you that increased reach and referrals lead to more revenue. But have you thought about the opportunities for revenue that the relationships themselves can bring you? When you have an existing relationship with another business, and they need some of the services you offer, who do you think they will go to for those services?
Here’s an example: My Town Media partnered with The Embassy Suites, Overland Park, for a promotion we called Destination Kansas City. In this partnership, My Town Media gave radio exposure to the Embassy Suites in exchange for access to hotel rooms. We sold these hotel rooms at a discounted price. At least 10% of purchasers informed us that they purchased additional nights directly from the hotel at full price. In this relationship, both My Town Media and The Embassy Suites brought in revenue that would not have existed without the partnership.
Other businesses that My Town Media has partnered with in a similar way are now in the process of transferring management of their digital marketing over to My Town Media because we gained their trust.
In the best business relationships, both parties continue to reap the benefits even after the deal is done or the event has passed.
TIP: Keep track of your Return on Relationships using this handy chart from SuperOffice.
Business relationships can positively impact your reach, referrals, and ultimately your revenue, but the types and benefits of business relationships cannot be summed up in one quick read. Get creative, get to know your neighbors, and get to making more money!
Interested in building a relationship with My Town Media? Give us a shout!
