How Joint Ventures Can Help You Grow Your Business

As a business owner, you must have resources if you want to grow your client list. One of the most effective ways to easily access a volume of qualified customers is to establish joint venture partner agreements. Naturally, you should be selective about who you choose to work with, as their conduct will reflect on your business. But if you do it right, it can be a very successful way to grow your business.

There are two ways you can set up a joint venture. One way is to link up with other companies that regularly refer business to you. The second way is to use gifts and free offers from joint venture partners as a way to build relationships with your customers.

Create an irresistible offer

If I went to your business and offered a way to build customer loyalty at no cost to your business, would you take it? Of course you would. Most business owners would jump at that opportunity. If it’s something you know your customers will love, that they’ll see as a great value, the gesture of giving them a gift can help you build better relationships with them.

For the business that offers gifts to their customers is a way to add value to what they are already buying. For the business that has provided the giveaways, it gives them exposure to qualified customers who might not otherwise know about your business. Customers are happy because they get something for free and they feel important. Both businesses win because they are building customer relationships and building their customer lists.

For service-based businesses, this type of joint venture can work very well. For example, if you have a consultancy you can offer a session without obligation. Or you can offer a free training session. While it may take some of your time, it’s not really costing you anything materially. Remember that the goal is not to sell during these sessions. Instead, it’s offering customers something of real value. Regardless of whether they buy from you or not, they should leave feeling like the experience was really worth it.

Joint Venture Partner Referral Rewards

One way I get new clients is by offering a free marketing audit and I use joint ventures to help me promote this. For example, I have a publication that I work with called Grapevine. They send letters to their clients telling them about my free marketing audit. For any of your clients who accept the offer and become my clients, I pay them a referral fee. It’s a win-win for everyone. If the client chooses not to sign up, you still have valuable information that she can use. My joint venture partner has still added value to their customer, which helps improve their customer relationships so they win too. If the customer signs up, you get a commission that has cost you very little to earn. I got a new client, and yes, I paid to acquire it, but it is much better the return on investment to pay a referral commission after having the client than to pay advertising with an unknown return.

Joint ventures use business synergy to drive business growth. There are many ways you can apply this strategy to your business. The above are just two examples. Keep an eye out for joint venture opportunities; it’s a proven way to grow your business.