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Partnering with Another Professional: How Joint Ventures can Affect Your Pricing
from:From time to time, most successful Internet marketers engage in a joint venture with at least one other Internet marketer. Perhaps one of these marketers has created a product yet has no desire to market it. Maybe the other partner has plenty of marketing savvy but has no products of his own to promote. Put these two marketers together and you will have formed a joint venture that both marketers can profit from.
Joint ventures are great for both marketers because, ideally, each one brings something unique to the mix. Internet marketers who have developed solid reputations are always in demand to form joint venture partnerships with other, lesser known Internet marketers, which is exactly why you may find it difficult, if not impossible to convince one of these “gurus” to partner with you in a joint venture.
Still, joint ventures are still an excellent way to promote your products or to help someone else promote theirs. Do make sure that whoever you are partnering with has something valuable to offer and that they have a solid track record. Even if you partner with a new Internet marketer, you want to make sure that this partnership will enhance your business and your reputation so thoroughly check out the other person’s business before you commit.
Decide How You Will Share the Profits
You will definitely need to sign a contract when you form a joint venture partnership with someone else. There are just too many variables not to put this all important event in writing. You will need to spell out exactly who is responsible for what and how much each partner will earn. For example, maybe your joint venture partner has created the product but you have a long list of prospects to market to. Now that your JV partner has finished creating the product, his work is finished. You then take the ball and run with it and aggressively market the product via your email opt-in list. Should you split the profits 50-50? How long will this marketing continue? These are just a couple of the questions your contract should spell out.
Anticipate Problems and Their Solutions
Joint ventures can be lucrative and fun but they can also be wrought with unimaginable problems and headaches if you don’t take care to iron out all the details ahead of time. For instance, before you market another person’s product, it would be a good idea to try out the product yourself to make sure it is indeed a valuable product and one that you can feel good marketing. It would be a shame to go to all the work of marketing the product only to find out that the product didn’t do what was promised or was otherwise defective. Worse, it would be your name associated with a defective product and you would be in a far worse position than you were in before your joint venture arrangement. The key, as in every other area of Internet marketing, is to do your homework first and then you will realize far more successful ventures.
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