Strength in Numbers

Strength in Numbers

By Megan R. Smith

Whether you’re talking team building or the 2009 hit song by Boys Like Girls, everyone knows the impact of two is obviously greater than one. The same holds true for businesses. These days, strategic alliances are becoming a common strategy to business growth and development. By creating a strategic alliance, businesses can accomplish more than they could individually. This especially holds true for small businesses, since two or more enterprises can form a partnership and work to achieve mutually beneficial objectives.

On the surface, a strategic alliance simply reflects the desire of businesses to achieve their independent objectives, cooperatively. By implementing a strategic alliance, the two or more businesses involved are able to instantly improve their image and their credibility. Falling in line with today’s global and complex marketplace, however, there is an obvious need to make such a business arrangement in order to gain a competitive edge amongst the competitors in your respective industries. Not only are you able to cast a wider net for potential clients, but you also gain access to key individuals and businesses your partner has a great relationship with, along with the possibility of expanding both businesses into new markets. Additionally, you’re able to market an increased number of services and/or capabilities.

A strategic alliance gives your business access to additional resources – including personnel, new technology, office space and increased areas of expertise. You’ll have to share some risks, but the risks should be minimal. A well-designed partnership can magnify each company’s strengths while reducing any affect of identified weaknesses, with one company able to compensate for the other’s weak points and vice versa.

My firm, Brownstone PR, has three strategic partners: an advertising and media buying agency, a web development firm specializing in building web frameworks and customizable tech applications, and a business consulting and enterprise development company. With all three, we are able to (1) create unique service packages for major corporations and lifestyle brands, and (2) roll out new products and services on a quarterly basis. What’s more, each partner actively promotes us to their clients, and we promote them to ours. As a result of our partnerships, Brownstone PR has experienced a 600 percent increase in annual revenue between 2007, the year we started, and 2010.

When it comes to building partnerships, business owners should ask: What exactly do you need internally that you don’t have? What are your company’s short- and long-term goals? What does your target audience need right now that you don’t offer? What direction is your industry going in and what do you need to stay ahead of the game? These are just a few questions to ask yourself, but it’s a good starting point. Once you’ve found the right match or matches, you’ll realize that you all are able to accomplish more together than you would have on your own.

Megan R. Smith is the principal of Brownstone PR, a full-service, media/public relations, strategic partnership development, and community relations firm with offices in Philadelphia, PA and Washington, DC. Visit www.brownstonepr.com to learn more.