Chapter 6: Building and sustaining B2B2C partnerships

?? Rowing your B2B2C partnerships to success

Preliminary Note

Welcome to the sixth chapter in our B2B2C Marketing and Partnership Management series.

This chapter delves into the practical aspects of establishing and nurturing successful B2B2C partnerships.

We’ll cover key steps such as selecting the right partners, drafting effective agreements, and ensuring long-term success through strategic collaboration.

If you find these insights useful, stay tuned for more updates.

Chapter 6 – Table of contents

1.???? Section 1: Selecting the right partners

1.1.????? Market research

1.2.????? Marketing and sales strategies to enrol new partners

1.3.????? Aligning business objectives

1.4.????? Evaluating partner compatibility

1.5.????? Conducting Due Diligence

2.???? Crafting effective and balanced partnership agreements

2.1.????? Defining roles and responsibilities

2.2.????? Account management

2.3.????? Performance metrics in your SLA

2.4.????? Considering contingency and exit plans

3.???? Strategies for long-term partnership success

3.1.????? Marketing with partners

3.2.????? Fostering open communication

3.3.????? Investing in the partnership

3.4.????? Adapting to change

4.???? Conclusion and key takeaways

5.???? Sources

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1. Selecting the right partners

1.1. Market research

Market research forms the foundation for any successful B2B2C partnership strategy. It is essential to ensure that the partners you choose align with your business objectives and complement your overall strategy.

Effective market research helps to identify the right companies to collaborate with, filling gaps in your product or service offerings, expanding into new regions, or reaching your ideal customer segments. Here's how you can approach market research to build a strong B2B2C network.

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Define your ideal partner

Start by outlining the profile of your ideal partner. This is based on your business needs, long-term goals, and existing gaps in the value chain. Factors to consider include:

• Product or service gaps: Identify areas in your offering where a partner could add value. For example, if your business lacks a specific technology, marketing capacity, or distribution channels, seek out partners who can bridge that gap.
• Geographic expansion: If you are looking to enter new markets where you do not have physical presence, choose partners with established networks in those regions. A local partner with an in-depth understanding of the market dynamics and customer preferences can be a key driver of success.
• Target audiences: Define which audiences you need to reach. Partners should align with the same customer segments, be it by demographics, industry, or other relevant categories such as B2B (businesses that purchase your product or service) or B2C (end-consumers) sectors.

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Data gathering and sources

Once the ideal partner profile is defined, gather data from various sources to shortlist potential candidates:

• Industry events, congresses, seminars: These gatherings provide an opportunity to learn about new players, emerging technologies, and trends. Networking at trade shows or industry-specific conferences can help identify potential partners who are actively investing in innovation or expansion.
• Professional networks and schools, LinkedIn and other relevant workgroups: Networking is powerful for connecting with potential partners. Search for businesses or executives in your desired industries or regions, and start dialogues to explore opportunities.
• Market reports and industry analysis: Use third-party reports from firms like Gartner, McKinsey, or Statista to gain insights into market leaders and upcoming players. Competitive analysis reports can also highlight companies with strengths that complement your own.
• Competitive benchmarking: Analyse your competitors' partnerships and channels. Often, this reveals opportunities to either differentiate your approach or to collaborate with underutilized players.

Partner segmentation

Not all potential partners will have the same value to your business.

Once you've identified possible partnership candidates, segment them based on the key criteria that are more relevant to your business goals, among which:

• Industry: Look for partners within your industry, adjacent or complementary ones that can enhance your service. For example, a biotech company may partner with medical device manufacturers, or a logistics company may work with e-commerce platforms.
• Region: Partners in key regions where you seek to grow are crucial for geographic expansion. Evaluate their local market expertise and regulatory knowledge, existing distribution networks, and brand presence.
• Company size, growth stage and production capacity: The size and maturity of a partner can determine how agile they are and how well they’ll match your business requirements. While larger companies bring stability, smaller businesses or startups may offer innovation and flexibility.
• Technology and innovation capabilities: In industries such as tech, finance, legal, health or retail, a partner’s ability to innovate—especially in terms of digital transformation, data analytics, or customer experience—is a key differentiator. Evaluate their commitment to integrating new technologies.
• Customer demographics: Consider the end customers of your potential partners. Are they targeting similar or complementary demographics? For example, a luxury brand might partner with an upscale hospitality group to enhance customer experiences, whereas a tech company might look for partners in education to reach younger consumers.

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Exploring out-of-the-box partnerships

While traditional partnerships within your industry, adjacent and complementary ones may seem like the obvious choice, thinking outside the box can lead to ground-breaking collaborations that generate immense value for all parties.

Cross-industry partnerships can result in unique offerings that neither company could achieve alone.

Case studies

Apple and Nike Apple’s partnership with Nike on fitness-focused technology is an example of innovation beyond industry boundaries. Nike integrated Apple’s tech capabilities into its products, creating wearable devices like the Apple Watch Nike edition that catered to a shared customer base focused on health and fitness.

Starbucks and Spotify In another example, Starbucks and Spotify partnered to enhance the in-store customer experience. Starbucks wanted to create a more immersive experience for its patrons, while Spotify was looking to grow its user base. The result was a seamless integration of music streaming into the Starbucks app, offering curated playlists to customers and enhancing brand loyalty for both companies.

These examples highlight that out-of-the-box partnerships can provide not only additional revenue streams but also a stronger brand presence by offering unique, differentiated value propositions to end consumers.

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?1.2. Marketing and sales strategies to enrol new partners

Attracting new partners in a B2B2C environment requires a strategic approach that combines tailored marketing and sales tactics. These strategies must clearly demonstrate the value a potential partnership can bring, whether that’s through economic gains, technological support, enhanced reputation or unique service value for customers.

Building a robust marketing and sales framework is essential for effectively enrolling partners and expanding your business's network.

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Targeted campaigns for partner attraction

One of the key elements of any successful partner enrolment strategy is a targeted marketing campaign that speaks directly to the needs and interests of potential partners.

While generic messaging is a quick way to gain reputation among industry partners, it might not be enough for high-value partners, so it's essential to also design campaigns that align with their specific pain points and objectives.

Some of the key areas to focus on in your campaigns include:

• Economic benefits: Emphasise how partnering with your business can lead to increased revenue through shared marketing, improved or extended product offerings (e.g. service packs), or expanded customer bases. Providing clear examples of how current partners have seen financial growth thanks to the partnership can add credibility to new potential partners.
• Technical and scientific support: Showcase the technical or scientific advantages your company can offer. Whether it’s through access to cutting-edge technology, specialised training, or ongoing research and development (R&D) support, partners are often looking for ways to elevate their expertise and capabilities in front of their respective customers.
• Reputational gains: Some businesses are drawn to partnerships because of the brand value associated with a larger, well-established company. Highlight how being associated with your brand can enhance their credibility in the market and how previous partners have benefited from co-branding or joint campaigns.

Case study: Mayo Clinic’s B2B2C partnership program is a prime example of how a healthcare provider can effectively attract partners. By offering intermediary healthcare professionals robust scientific backing, training opportunities, and marketing support, Mayo Clinic positions itself as a valuable partner for highly skilled healthcare providers. This strategic alignment strengthens relationships with partners and enhances the overall patient experience, while also driving more referrals and expanding Mayo Clinic’s reach.

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Tailored marketing materials and sales decks

Once a lead is generated through a targeted campaign, converting that lead into a partner requires a tailored approach. This is when marketing hands over the baton to the sales team. For the latter to succeed, marketing efforts should be focused as described hereinafter.

B2B2C partnerships involve multiple stakeholders, including decision-makers from both business and technical backgrounds. To cater to this, companies’ marketing and communication departments, with insights from the company’s technical and product or service development staff, customer support team’s feedback and considering all gathered information from the market research and customer insights, should develop a range of materials designed for your sales or business development team to address different aspects of the potential partnership.

• Corporate sales decks Should outline the key benefits of partnering with your organisation. Must be tailored to the partner's industry and should focus on the unique value proposition you offer. A practical approach is to have a generic deck to cover the basics for the vast majority of potential partners, and 3 to 5 flexible versions, adaptable to specific features (e.g. regulatory requirements by country, or focused on specific segments). For example, if you're targeting technology partners, highlight the technical capabilities you bring to the table. If it’s a healthcare partnership, focus on how your brand’s scientific and medical expertise can enhance patient care and streamline service delivery.
• Bespoke pitches: While standardised presentations may work for regular partnerships, for out-of-the-box partnerships (such as cross-industry collaborations), a customised pitch is essential. The same as for the sales deck, you should ideally provide your sales staff with a set of customizable pitches for each of your targeted B2B2C audiences. For example, the Apple-Nike collaboration required tailored pitches focusing on the intersection of fitness and technology, and how each company’s strengths complemented the other’s goals.

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Sales strategies for enrolment

A cohesive sales strategy is critical in ensuring that marketing efforts translate into successful partnerships. Sales teams need to be equipped with the right tools and approaches to close deals with potential partners.

• Cold emailing: For many businesses, the first point of contact with a potential partner is through email. Crafting a compelling cold email is an art. It should be brief yet impactful, highlighting the immediate benefits of a potential partnership. A successful cold email grabs the recipient's attention within the first few lines and clearly outlines what the partnership offers.
• Sales pitch: Once contact has been established, a well-prepared sales pitch for potential partners is essential. This pitch should be comprehensive but also adaptable, depending on the audience.

For instance, when pitching to tech companies, focus on scalability, innovation, and market reach, when targeting healthcare providers, emphasise the benefits of scientific collaboration and patient outcomes. ?

Important to consider different tones and focus, depending on the decision making power of the person/s to whom the pitch is addressed.

• Assess the “momentum” for personalised follow-ups: In the B2B2C model, partnerships take time to cultivate. Since not all potential partners are in the same stage of the funnel, it is key to “listen” to the partner to understand the weighted potential conversion status of each potential partner, for your sales person to adapt the contents and information they need to transmit. Regular, personalised follow-ups that address specific concerns or opportunities for the potential partner are critical in nurturing leads and moving them through the sales funnel.

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Push-pull strategy for effective partner engagement

A well-balanced push-pull strategy is crucial in a B2B2C model.

This strategy aligns the interests of channel partners, sales representatives, and end consumers, ensuring that all parties are incentivised to contribute to the partnership’s success.

• The push strategy involves motivating channel partners and intermediaries through direct incentives. This could include sales bonuses, volume discounts, or performance-based rewards for hitting sales targets or adopting new technologies. Training and certification programs can also be part of the push strategy, helping partners stay up-to-date with your products or services while ensuring brand consistency.

Example: In the case of Mayo Clinic, the push strategy includes providing intermediary healthcare professionals with access to advanced scientific training and marketing support. This helps the partners represent Mayo Clinic more effectively and strengthens their loyalty to the brand.

• The pull strategy focuses on creating demand among end consumers, which in turn motivates channel partners to push the product. Pull tactics could include consumer-facing marketing campaigns (e.g. involving your technical staff in live events launched by your partners), loyalty programs, referral discounts, and promotions that drive sales. These actions not only boost partner engagement but also ensure that end customers are satisfied, leading to repeat purchases and referrals.

Example: Starbucks and Spotify’s partnership effectively used a pull strategy by enhancing the customer experience through curated playlists. Customers were drawn to the in-store experience, which boosted sales for both brands.

The key to success in a push-pull strategy is ensuring that both approaches are balanced. While the push strategy helps ensure channel partners are motivated and aligned with the brand’s goals, the pull strategy guarantees that end consumers remain engaged and loyal.

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1.3. Aligning business objectives

A successful partnership is built on aligned goals. Partners should complement each other's strengths and weaknesses, driving joint market expansion and product or service enhancement.

• Ensure mutual goals, whether expanding reach or improving offerings.
• Value propositions should benefit all stakeholders, including business stake end consumers.
• Create synergies to develop offerings that neither party could deliver alone.

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>> Stay tuned for the upcoming article “Mastering B2B2C goal alignment” by the same author >>

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1.4. Evaluating partner compatibility

Beyond objectives, cultural and operational compatibility is key to successful collaboration.

• Assess corporate culture, decision-making, and customer service approaches.
• Consider compatibility in day-to-day operations and strategic alignment.
• Check for regulatory differences or deviations from international standards, country idiosyncrasy, and how your partners’ end consumers in the potential region perceive your service offering.?
• Collaboration works best when both companies share core values and work ethics while offering complementary services or products.

Real Case: Apple and IBM The partnership between Apple and IBM demonstrates the power of complementary cultures, combining Apple’s consumer tech expertise with IBM’s enterprise solutions to create business apps for iOS.

1.5. Conducting Due Diligence

Before entering into any partnership, it’s essential to conduct thorough due diligence.

This involves, after the signature of a Non Disclosure Agreement (NDA), assessing and evaluating the potential partner for:

• Financial stability, market reputation, and operational capabilities.
• Compliance with legal, regulatory, and technical standards (technical, regulatory, quality management systems, certifications, CSR and other relevant to the concerned industry and country)
• Technology stack and system integration potential with your own.
• Data security methods and tools in place to protect consumer information.
• Track record in similar collaborations

A comprehensive review of these factors and including them in your SLA (Service Level Agreement) or M&A deal (if the partnership is bound to merge or purchase) will help mitigate risks and ensure that the project has a strong foundation.

Real Case: Google and Nest acquisition

Google’s acquisition of Nest is an example of effective due diligence. Google assessed Nest’s technology and corporate culture, ensuring a smooth integration into its IoT strategy.

2. Crafting effective and balanced partnership agreements

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2.1. Defining roles and responsibilities

Clear agreements should outline the roles of each partner, minimising ambiguity.

• Specify responsibilities for product development, support, marketing, and data management.
• Ensure both parties agree on decision-making processes and financial arrangements.
• Include provisions for dispute resolution and partnership dissolution.

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2.2. Account management

Effective B2B2C partnerships require dedicated account management and this should ideally be clearly defined in the SLA.

• Assign a dedicated Account Manager and establish a team to nurture relationships, address issues, and drive collaboration. Define one interlocutor (usually the assigned Account Manager) for each of your partners and a back—up person. Your account managers can be focused on business lines, regions, spoken languages, small or key accounts, or other parameters to match your corporate needs and team size.
• Define a communication schedule. Regularly update partners on new products, campaigns, and market opportunities and metrics (read below).
• If your commercial team size allows, consider separating account management from sales teams, letting the Account Managers nurture relationships while your Sales staff keep the focus on bringing in new partners.

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>> Stay tuned for the upcoming article “B2B2C – Sales and Account Management >>

2.3. Performance metrics in your SLA

To measure partnership success, establish key performance indicators (KPIs), that should be agreed upon between the parties and encourage both to top performing.

·??????? Include sales targets, customer satisfaction, and ROI, and other operational metrics.

·??????? Leave room for improvement, including regular reviews help adjust strategies and incentivise performance.

·??????? Ensure both parties agree on metrics to stay aligned on objectives.

Real Case: Coca-Cola and McDonald’s - Their partnership’s success is driven by clear performance metrics, regularly reviewed to ensure ongoing alignment, process improvement and ultimately customer satisfaction.

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2.4. Considering contingency and exit plans

No partnership is without risk, and it’s essential to plan for the possibility that the collaboration may need to be adapted or ended so it’s crucial to have contingency and exit strategies.

• Define processes for both, contingency measures and winding down processes, that should include how shared assets should be handled in each case.
• Include plans for resolving financial and intellectual property issues.
• A clear exit strategy protects both parties in case of partnership dissolution.

Real Case: Disney and Netflix

Disney’s decision to end its content partnership with Netflix highlights the importance of exit strategies, as both companies had to navigate content redistribution smoothly.

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?3.nbsp;nbsp; Strategies for long-term partnership success

3.1. Marketing with partners

Effective marketing strategies in B2B2C partnerships must be tailored to meet the needs of both partners and end consumers.

• In parallel to your respective marketing strategies, define a bespoke marketing plan together with your partner, including tailored campaigns to specific client requirements (webinars, Q&A sessions, reels, joint landing pages, etc.).
• Conduct regular syncs with customer success, product development, and marketing teams.
• Leverage technology and optimise digital touchpoints, marketing automation, sales and order automation, ensuring seamless customer experiences.
• Forster open communication and regular check-ins with partners, to ensure that everyone is aligned
• Invest in training programs for your partners, so they can better sell your service to customers
• Be ready to flexibly adapt to trends in the dynamic marketplace

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>> For deeper B2B2C Marketing insights, stay tuned and check the upcoming article “Marketing with partners: a collaborative approach”>>

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3.2. Fostering open communication

Open and transparent communication is critical to the success of any B2B2C partnership.

• Set up regular meetings and progress updates to keep both parties aligned.
• Establish communication protocols at the start of the partnership.
• Use tools like real-time collaboration platforms to facilitate transparency.

Maintaining consistent communication ensures that the partnership remains aligned and responsive to changes in the market.

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Real Case: Apple and Foxconn’s Manufacturing Collaboration

Apple’s partnership with Foxconn, one of the world’s largest electronics manufacturers, is a prime example of the importance of open communication. Given the complexity of manufacturing millions of devices annually, Apple and Foxconn maintain continuous communication to manage production schedules, quality control, and supply chain logistics. This level of communication is vital for meeting Apple’s high standards and ensuring that its products reach consumers on time.

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3.3. Investing in the partnership

Long-term partnership success often requires ongoing investment from both parties.

• Invest in joint marketing initiatives, technology upgrades, and training programs.
• Shared investments ensure both parties continue to deliver value.
• Regularly review goals, celebrate achievements and address challenges collaboratively to strengthen the relationship and foster a sense of shared purpose.

Real Case: Adidas and Parley for the Oceans

Adidas’s partnership with Parley for the Oceans, an environmental organization, exemplifies the benefits of ongoing investment in a partnership. Together, they’ve developed a line of products made from recycled ocean plastics. Adidas continues to invest in this partnership by expanding the product range, improving the recycling technology, and engaging in joint marketing efforts. This investment has not only led to commercial success but also reinforced both brands’ commitment to Corporate Social Responsibility ( #CSR ), #sustainability and #CircularEconomy .

?3.4. Adapting to change

The business landscape is constantly evolving, and successful partnerships must be flexible enough to adapt, by responding to market changes and new opportunities.

• Build flexibility into agreements, allowing both parties to modify resources or goals.
• Stay proactive in adopting new technologies or responding to industry trends.
• Agile partnerships can thrive despite shifting market dynamics.

By staying agile, partnerships can continue to thrive even in the face of uncertainty.

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Real Case: Starbucks and Alibaba’s Digital Collaboration

Starbucks and Alibaba’s partnership in China is a prime example of adapting to change. As the Chinese market increasingly shifted toward digital and mobile commerce, Starbucks collaborated with Alibaba to integrate its services with Alibaba’s digital platforms, including delivery through Ele.me and a virtual Starbucks store on Alibaba’s Tmall. This adaptation allowed Starbucks to maintain its competitive edge in the rapidly changing Chinese market, demonstrating the importance of flexibility in long-term partnership success.

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4. Conclusion and key takeaways

Building sustainable B2B2C partnerships requires careful partner selection, well-structured agreements, and ongoing communication and investment.

Aligning business objectives, maintaining open communication, and adapting to change are essential for long-term success.

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Key Takeaways:

• Align goals and objectives with your partners to create synergy.
• Invest in building relationships and maintaining open lines of communication.
• Define clear roles, responsibilities, and performance metrics.
• Prepare contingency and exit strategies to mitigate potential risks.
• Stay agile and adaptable to market changes for long-term success.

In the next chapter, I will explore the challenges commonly faced in B2B2C partnerships, including brand control, managing complex relationships, and overcoming dependency on intermediaries.

If you’ve found this chapter insightful, be sure to follow the author for updates on the series as we continue this deep dive into B2B2C marketing and partnership management.

#B2B2CMarketing, #PartnershipSuccess, #CustomerExperience, #BusinessStrategy, #SupplyChainManagement, #ChannelPartners, #MarketExpansion, #BrandCollaboration, #MarketingInnovation, #DigitalTransformation #CSR

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5. Sources and recommended reading

Please refer to the previous articles, as this chapter draws upon the same sources.

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Previous articles:

0???Introduction – B2B2C Historic context https://lnkd.in/dHp6etPP

1???Chapter 1: From B2B to B2B2C https://lnkd.in/dz84-4MG

2???Chapter 2: B2B, B2C & B2B2C - Common denominators and differences https://lnkd.in/dM5RUF6r

3???Chapter 3: B2B2C Core components https://lnkd.in/dPbzXnYR

4???Chapter 4: B2B2C Strategies https://lnkd.in/dz-QpNq9

5?????Chapter 5: Case studies - Successes & Failures https://lnkd.in/dTiZQjt9

?? Other recommended, recent articles, by the author:

??Business agility https://lnkd.in/dcsnpw2Z

??20 AI risks and how to mitigate them – Shaping a safer tomorrow

https://www.dhirubhai.net/pulse/20-main-ai-risks-how-mitigate-them-shaping-safer-panea-scheffer-kfe1f/?trackingId=MgxRxtsnTeiOR5OXsaUdPQ%3D%3D

??Cookies – How to protect your digital privacy https://lnkd.in/dxGH9TUV