Monday, September 25, 2017

 

Traders Cup

of J.o.e.

(Just online eValues)

"Blogging Webcasts" for Members of:

Integrity Group for Referrals

(214) 299-9417

 

Videos of Integrity

Target Partners to Increase Profit Margins

 

While I was in Super Target, I noticed there was a Starbucks inside.  So I started wondering to myself, why is there a Starbucks INSIDE of Target?  Well, both of these companies are utilizing strategic partnerships to increase the profit margins for their businesses.  Both companies are getting to utilize economies of scale with a huge building but they are splitting the rent and therefore reducing their rent expense.  Additionally, they're going to get a combined marketing such that if someone walks into Target, Starbucks might benefit from the foot traffic or vice versa if someone walks into Starbucks, Taget might benefit as well.  This allows them to reduce the marketing expense for both of their businesses.  Since both of these activities are decreases expenses, they are consequently increasing the profit margin for both of their businesses.  

So, how can you in your business increase your profit margins by utilizing strategic partnerships?  What's your version of the Target and Starbucks strategic partnership?

If you can't figure it out, check out my youtube page, contact me, and I will definitely help you out.

https://www.youtube.com/channel/UCnKcpdDr7a4kF9Nzsurw0EQ

The Art of Marketing with Avinash Kaushik

Things I heard ...

"Figure out how to fail faster and fail forward".
"Let's have an ideas democracy"
"Our consumers are already two or three years ahead of us"
"We are shifting from shout marketing to whisper marketing"
"In the past, if you wanted to put your ideas out there, you needed permission, or you needed money... The only thing that is holding us back, is our ability to imagine. The platforma are free."
"Do you have the courage? The only thing limiting us is our ability to imagine, and our ability to deliver value"
"I read everything Seth Godin writes"