Digital marketing is simply defined as the application of digital technologies and media in order to achieve marketing objectives (Chaffey, 2015). In the modern age, it is key for businesses to make their online presence count due to how influential the internet is on consumers. The use of online partnerships is a very popular, and successful method of digital marketing as it allows businesses to market themselves whilst building a working relationship with other likeminded businesses. With online markets becoming more congested every day, is cooperation really the way forward?
So what are the benefits of utilising an online partnership for a small/medium organisation? They represent an opportunity to collaborate with other like minded businesses in order to achieve a mutual goal. Whether that goal is to create value\profit or gain more users for a service. Ryan (2014), explains how strategic online partnerships are seen as deals which has an outcome which benefits all parties involved.
Listed below are examples of some very successful online partnerships, varying from advertising in computer games to co-branding with other companies.
- An example of where the use of online partnerships have been effective is Uber’s integration with Citymapper. Citymapper, being the most popular commuting app, partnered with Uber to allow commuters to plan their routes whilst having the in-app option to request an uber to fulfill their commute. The strategy behind these types of partnership, is the sharing of resources which in this case would be the client base. By allowing Uber to feature on the app, Citymapper are taking a small commission fee for every ride requested on the app, whereas Uber are gaining access to the large consumer base which use the Citymapper app. Lomas (2017), states that the integration was a seamless success for both parties and that Citymapper has recently partnered with London Black Cab app Gett.
- Another method of marketing collaboratively is the affiliation between ClassicFootballShirts and Football Manager. With FM being one of the most played PC games over the last two decades, a sponsorship deal for ClassicFootballShirts, the largest online store for football garments, was likely to be beneficial for both parties. With FM actually advertising ClassicFootballShirts in game, it is being seen by hundreds of thousands of players worldwide. With just a click of the advert, it directs you straight to the sports retailers website. On the other hand, the release of the game was extensively covered by the ClassicFootballShirts marketing team. Patel (2017), describes how affiliate marketing is likely to be a commission based incentive for the parties involved, so like Citymapper, FM are likely to be making a ‘per click’ commission for their advertising efforts.
- Co-branding is another way that businesses can work together in order to create value. Jackson (2017), explains that co-branding is a strategic partnership which aims to recognise the value of synergising each other’s reputation in order to create awareness about a product or service. Uber and Spotify have teamed up in order to allow Uber users to create a soundtrack for their journey. This partnership synergises the two differing companies together, in order to improve the users experience. This aims for both companies undertaking this collaborative effort run parallel as it can be simply defined as a strategy to create more users.
For a small/medium size organisation, the use of digital marketing can be a very efficient method of amplifying awareness of a product/service. The methods presented in this report are some of ways in which businesses can benefit from an online partnership. With successful online partnerships being a beneficiary to all parties, it is certainly a productive way to build a digital presence.
- Bernazzani, S. (2017). 10 Examples of Successful Co-Branding Partnerships (And Why They’re So Great). [online] Blog.hubspot.com. Available at: https://blog.hubspot.com/marketing/best-cobranding-partnerships [Accessed 26 Nov. 2017].
- Chaffey, D. & Ellis-Chadwick, F. 2015, Digital marketing, Sixth edn, Pearson, Upper Saddle River.
- Chaffey, D. & Dawsonera 2009, E-business and e-commerce management: strategy, implementation and practice, 4th edn, Financial Times Prentice Hall, Harlow.
- Jackson, C. (2017). How Co-branding Can Make Two Reputations Better than One | Trackur. [online] Available at: http://www.trackur.com/cobranding-branding-reputation [Accessed 25 Nov. 2017].
- Lomas, N. (2017). Citymapper ties with Gett to launch shared taxi commuter route in London. [online] TechCrunch. Available at: https://techcrunch.com/2017/09/21/citymapper-ties-with-gett-to-launch-shared-taxi-commuter-route-in-london/ [Accessed 27 Nov. 2017].
- Panico, C. (2017). Strategic interaction in alliances.
- Patel, D. (2017). Affiliate Marketing Made Simple: A Step-by-Step Guide. [online] Available at: https://neilpatel.com/what-is-affiliate-marketing/ [Accessed 25 Nov. 2017].