My Idea Online
  • Privacy Policy
  • Contact Us
Wednesday 29 March 2023
  • Login
  • News and Society
  • Automotive
  • Business
    • Business
    • Communications
    • Employment
    • Finance
    • Legal
    • Home Based Business
    • Marketing
    • Online Business
    • Product Reviews
    • Real Estate
    • Self Improvement
  • Home and Family
    • Home and Family
    • Family
    • Home Improvement
    • Kids and Teens
    • Reference and Education
  • Lifes
    • Arts and Entertainment
    • Cancer
    • Entertainment
    • Food and Drink
    • Fashion
    • Health and Fitness
    • Humor
    • Lifestyle
    • Music
    • Recreation and Sports
    • Writing and Speaking
    • Women’s Interests
  • Online
    • Computers & Internet
    • Site Promotion
    • Web Development
  • World Affairs
No Result
View All Result
  • News and Society
  • Automotive
  • Business
    • Business
    • Communications
    • Employment
    • Finance
    • Legal
    • Home Based Business
    • Marketing
    • Online Business
    • Product Reviews
    • Real Estate
    • Self Improvement
  • Home and Family
    • Home and Family
    • Family
    • Home Improvement
    • Kids and Teens
    • Reference and Education
  • Lifes
    • Arts and Entertainment
    • Cancer
    • Entertainment
    • Food and Drink
    • Fashion
    • Health and Fitness
    • Humor
    • Lifestyle
    • Music
    • Recreation and Sports
    • Writing and Speaking
    • Women’s Interests
  • Online
    • Computers & Internet
    • Site Promotion
    • Web Development
  • World Affairs
No Result
View All Result
MyIdeaOnline.com
No Result
View All Result

The proper care and feeding of revenue partners

idea online by idea online
in Business
4 min read
2.1k 21
0
316b9158df6cd777710daabf 1920

316b9158df6cd777710daabf 1920

1.2k
SHARES
2.6k
VIEWS
Share on FacebookShare on Twitter


You’ve had a couple dinners and a few phone conversations; there is chemistry and a further relationship looks promising. But, how do you really know if that next step is worth taking? Advanced Internet Technologies has talked to, literally, hundreds of companies about partnership possibilities. By partnerships, I mean the type that produce revenue, not vendor agreements. As the IT industry matures and customer demands evolve, the growth of a services company like AIT depends on our ability to bring greater value to our customers and to develop new sources of revenue; partnerships are an integral component of that strategy. But, how do you really know if the company on the other end of the line will be a good fit?
During AIT’s 8 years, we have refined a methodology for distinguishing between genuine opportunities and inquiries targeted at gaining access to our customer base. To be sure, painful lessons have been learned but one hallmark of a successful company is to not repeat mistakes. The AIT partnership doctrine serves the purpose of 1) minimizing the chances of a bad choice being made and 2) minimizing the damage, just in case. An approach of very healthy skepticism based on experience; not everyone who wants to be your partner is your friend, and not everyone who is your friend makes for a good partner.
Our partnerships are governed by a philosophy called DIRE. Putting DIRE into practice, D is for Dominate, which is less intimidating than it sounds and primarily speaks to value proposition. Does the other company offer name or brand recognition? What sales channels can they help you gain access to?
AIT hosts more than 190,000 business domains, has thousands of Value Added Resellers, and is a two-time Inc 500 company. That means our value propositions include a healthy customer base and robust reseller channel, both of which are constantly searching for additional products and services to offer their customers. Combined, they can act as both customers and sales force for a viable partner. Add to that AIT’s financial and institutional credibility as a serious company, and our firm foothold in a growing industry sector, and you have several powerful selling and negotiating points.

“I” stands for Interest, the ‘so what’ that forms the basis for continued talks. Does the other company know anything about what your business does? Is what the company does complimentary to what you offer? Ideally, you offer related products or services to the same target market. For example, one recently-formed partnership is with a provider of pay-per-click advertising on search engines. There is mutual benefit in working with them: the SE company gains a new customer channel plus AIT co-markets the offering; our customers gain by having access to affordable marketing help for their web sites; and, AIT gains by giving its customers one more reason to remain loyal and by creating a revenue stream that would not have been otherwise realized.
The successful partnership, of course, is the one in which both sides bring something of value, leading to next step: R, for Reciprocity. Is there any aspect of their business that competes with any aspect of yours? Is buying or borrowing the partner’s product/service more cost-efficient that building it yourself? In the perfect world, both businesses are complimentary and you can each sell to the other’s customers. In the semi-perfect world, one of you has something that the other’s customers need and the buyer gets a cut of the revenue. In the world to avoid, a potential partner is too closely aligned to your core business and will likely become a competitor.
One partner offers merchant accounts that online stores use in order to process credit cards, a natural tie-in for AIT to offer its customers who use their web sites to make sales. This company wanted an exclusive agreement, and one that had a non-compete clause in it. It wasn’t long before their repertoire expanded to include hosting, making the non-compete a very dangerous part of the agreement. Eggo, the waffle-maker, recently went into the syrup market, which its own commercials depict as a no-brainer of a decision. Now, imagine that you’re Log Cabin or another syrup maker, and you had a co-marketing arrangement with Eggo. How valuable would that deal now be?
Be wary of any deal points in which ownership of the customer, exclusivity, or length are issues, bringing up “E” for Escape. Is the potential partner in a hurry to close a deal? Is there an upfront or setup cost? Any partnership agreement must have a clause that allows for reasonable termination in case the deal sours, or if cooperation becomes competition. Some years ago, one company dominated domain registration, and mindful of both its monopoly and the coming of de-regulation, this company offered providers like AIT long-term partner agreements. AIT also anticipated de-regulation, and modified its agreement to a month-to-month basis while creating its own accredited domain registration company. That company has since added web design and hosting, making them a direct competitor and confirming the importance of the escape clause.
Partnerships have become a fact of business as companies look for ways of developing new customers and giving existing clients more reasons to stay. They’re also a catalyst for serious self-analysis: being sure of who and what your company is, and equally important, who and what it is not. A little introspection is vital in determining how to responds to current trends and how to be pro-active in planning for what your customers will expect next. So after those initial dinners and late-night phone calls, make sure you follow through with details like due diligence, checking of references, and using the Internet for research. Just as the right partnership can be rewarding, the wrong one can be disastrous.

Tags: Business
idea online

idea online

The internet makes it easy to start a business but what should you start? Discover the right business for you to start with our definitive list of the best online ideas

Related Posts

43075531be1aad687aeae844 1920

10 Ways To Make More Money In Network Marketing

6 hours ago
db2e0ccd977b01a17acc1c50 1920

The Ultimate Business Model – Creating Residual Income Streams

7 days ago
f860b9c87bee6877ab006d12 1920

What you should know about a Medical Billing Specialist

1 week ago
6bbb9d6b320fb5f388d8d8fe 1920

What’s the Difference of Trading Mini Lots Vs. Full-sized Lots in Forex.

1 week ago
c49d9e8d097f790e0e10634e 1920

The REAL TRUTH on choosing an eBook Compiler

2 weeks ago
b4cc536325130e7ba2ad9ee6 1920

The Great Affiliate Dependency

2 weeks ago
No Result
View All Result

Recent Posts

  • A School Loan Consolidation Primer
  • 10 Ways To Make More Money In Network Marketing
  • Web Site Promotion: Getting Exposure For Your Promotional Articles
  • Media Savvy – How To Lead, Persuade, And Influence
  • The importance of having a feedback form in your e-commerce website
  • Repair And Maintenance Of Kitchen Faucets
  • A Sign Or Just A Rainbow?
  • Why You Should Eat Lentil Soup at Least Once a Week
  • Impotence
  • Things You Should Know About Vitamin K’s Unique Power
  • How To Write eBay Auction Descriptions That Get Bids
  • What is Compost Tea?
  • How To Dramatically Increase Your Clickbank Sales Now
  • A Nostalgic Flashback Of The 1950s Era
  • Baby Strollers – Consider Your Budget
  • บริษัท
  • โรงเรียน
  • ก่อสร้าง
  • บริการ
  • กฏหมาย
  • ท่องเที่ยว
  • พนัสนิคม
  • ผู้ผลิตสินค้า
  • อิเลคทรอนิคส์
  • ราชการ
  • ไทย

© 2020 myideaonline.com - property for rent - property for sale.

No Result
View All Result
  • Home
  • Online Idea Content
  • Contact us
  • Privacy Policy

© 2020 myideaonline.com - property for rent - property for sale.

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In