Strategic,Alliances,Make,Them, business, insurance Strategic Alliances: Make Them Work


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The simplest definition of a strategic alliance is: the joining of forces and resources, for a specified or indefinite period, to achieve a common bjective. Partners can share resources such as products, distribution channels, services, customer lists, knowledge and expertise.In terms of marketing, strategic alliances offer several advantages:- expand their email/customer email lists- provide more and different products and services to their clients- split expenses (if any)- low-cost way to expand the reach, awareness and credibility of your company- increase your professional contacts, knowledge and experienceTo make sure the strategic partnership works to everyone's benefit, below are some questions to consider as you go through the different stages of setting up and operating a strategic alliance.1. Develop/Outline Strategy* Feasibility:- Are there companies out there that would be a good fit?- Is your company in a position to be able to offer something to a partner?* Objectives:- What outcomes do you want to achieve with the alliance?- How does a strategic alliance move you closer to your company and marketing goals?* Issues:- Are there any potential problems with partnering, in general, or with a specific company?- Does your company have the resources to successfully create and carry out an alliance?2. Partner assessment* Reputation:- How great is your potential partner's reputation?- Do they have credibility, offer value, have good client relations and customer support, and so on?* Business Model:- Does the prospective partner have compatible business goals, philosophies, ethics and values with your company?- Do they have similar goals and objectives of the strategic alliance?* Customer Base:- Would their customer base be interested in your product or service, and vice-versa?- Do each of your customer/prospect lists enhance and build on each other?* Resources:- Are there any resource capability gaps that need to be addressed?- Are they in a position to successfully run a strategic alliance with you?* Price Point:- Are your prices compatible with each other?- How will the prices set by the alliance be viewed by each company's respective customers - positively?3. Contract negotiations- Are each partner's contributions, commitments and rewards clearly outlined?- Is any proprietary information protected?- Are the termination clauses and penalties for poor performance stated and agreed upon?4. Operations- How are you measuring and rewarding the alliance performance of each partner?- How are you evaluating the effectiveness of the alliance and the meeting of each partner's stated objectives?- How are you allocating and tracking resources devoted to the alliance?- What mechanisms are in place for adjusting priorities, resources, direction as required?Strategic partnerships can move your company up to the next level of profitability and success, or waste your time, money and resources. By being as thorough as possible, you can work to ensure that your company reaps all the numerous rewards afforded by strategic alliances. Article Tags: Strategic Alliances, Strategic Alliance

Strategic,Alliances,Make,Them,

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