Co-Branding Tips for SMBs

Is this the dawn of a new era in co-branding?  Over the last few weeks, the marketing world has witnessed the birth of joint business ventures from such powerhouses as Google and Verizon, Yahoo and Microsoft’s “Bing”, and a host of others.  While such partnerships may have consumers buzzing with intrigue, these announcements usually send smaller companies shrinking into dismay.  Every SMB dreams of obtaining the level of brand exposure that Microsoft or Google enjoys but often remains unsure on how to actually accomplish this feat.  Through co-branding, they may find the means to do so.

Strategic moves like these – at times – can prove difficult to justify.  What methods will provide the greatest ROI?  What type of partners should you seek?  Most importantly, can one insure that the sum of two parts will be greater than the whole?  Capturing lighting in a bottle is no easy task to say the least.  Try these helpful tips to build the foundation for your co-branding initiative:

• Identify a NEW target demographic for brand exposure augmentation – Co-branding partnerships are generally born from this idea.  It helps to foster the creation of proper components for optimal synergy strategies.  It also helps to answer your first question of co-branding – “Why should I form a partnership with this company in the first place?”

• Select a partner with common markets as yours – This may sound contradictory to the first suggestion, but it is meant to be complimentary. Say that you want to increase your brand exposure with a specific niche within an existing demographic you have yet to tap. The synergy of two brands especially makes sense if you work in the same industry sector.  As you attempt to vie for new consumers, the potential partners you seek should be able to appeal to both your market as well as their own.  If no crossover appeal for your co-branding strategy exists from the start, then you may as well be label it under “failure to launch” before even attempting liftoff.

• Select a partner that echoes your company values – If your company stands for “innovation”, imagine the harm that would be dealt to your brand via your association with a boring product.  Such partnerships may be meant to boost those other brands with which you are working closely; however, if the devaluation of your company is the cost, reconsider the price.

• Look Local – Your SMB probably has a bevy of potential partners just around the block from your office.  It not only boosts your brand’s community value, but it makes communication with your partner easier.

• Be Audacious – Attempt creative means for marketing your co-branded initiative in order to stand out amongst the pack.

Being a SMB never means having to limit your options; it simply means using the resources you have available to better place yourself into an advantageous position.