Posted by: garispang | August 7, 2009

4 Proven Benefits of Successful Joint Ventures

Joint VentureIn today’s economy and competitive environment successful businesses are reaping the benefits of one of the oldest strategies – partnering.  On line marketers have been using this strategy for years to catapult their sales to unbelievable heights and now, Joint Ventures are making a comeback in the bricks and mortar world of business.

A joint venture is when two or more businesses, individuals or projects come together to co-market an opportunity, project or product to each other’s client list and new prospects. It allows you to leverage the relationships and goodwill already established by your partner to the benefit of both parties. So in layman terms, a joint venture is when you join forces with another business to make some money!

With joint ventures, you want to identify people who are selling into your target market with a non competitive product or service but who are working deals with the same individuals who make the decisions on your products or services. Develop a proposal that is mutually beneficial for both parties and a marketing strategy and hit the road with your co-branded offer.

Did you ever hear the old saying “you are only as good as the people you know”. This holds true for forming successful joint venture partnerships. People want to surround themselves with successful, positive and magnetic people and businesses with a strong brand so it is critical to align with a business with comparable values and goals.

Although this is one of the quickest ways to enhance your market presence and boost your profits, there are many other benefits to forming a partnership with another business in your space.

Benefit # 1: New Client Acquisition
Joint ventures are a great way to acquire new leads and new clients at no additional cost. By having new subscribers, you are able to continuing building a relationship with these people and even if they don’t buy from you right away, chances are they will eventually. Not a bad way to build a prospecting list without incurring any fees. Some new online marketers may benefit greatly from giving away all profits from their first joint venture just to build their list for future opportunities.

Benefit # 2: Enhanced Credibility
You gain instant rockstar status and enhanced credibility. One of the keys to an effective partnership is selecting the right partner. If you joint venture partner is reputable, trustworthy and has already established a great following, their followers will trust you based upon that recommendation. This is why your “list” is sacred. Do not partner with just anyone, make sure you select someone who is worthy of your list and make sure that you are worthy of theirs.

Benefit #3: Increase Breadth of Services
Joint ventures are a great way to offer your clients and prospects additional products. By jointly co-branding a product, you and your partner are able to bring new solutions to your current client list increasing your breadth of services you offer. The more solutions you can bring to your customers, the more valuable you are to your customers.

Benefit #4: Improved Conversion Rate
You will enhance your conversion rate. One of the goals when you get your list is to convert those prospects into buying customers. With a joint venture partner, you will increase your conversion rate. Your joint venture partner will be endorsing you and your product and by that testimony alone, will convert more of their leads into sales in their own list. Since they already have an established relationship, their subscribers trust their endorsements and you can leverage that trust by offering a high quality product that will benefit the joint venture partner’s subscriber list.

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