Is a home-based franchise right for you?
Working from home offers many advantages. It provides...
Recent news that franchise businesses Peloton and Lululemon are collaborating is not only good news for the future success of those businesses but for all franchises looking for innovative ways to expand, grow their brand and achieve greater visibility.
The two companies, which were previously rivals, have reached an agreement to collaborate and work together to sell equipment, clothing and fitness classes. This deal is likely to have far-ranging and very positive implications for both businesses, who will be able to access a much larger customer base than in the past, in addition to benefiting from increased visibility and buying power.
.
Collaborate for success
With many franchise businesses operating in similar industries, collaborating and developing partnerships is an unusual but effective strategy for growth. Forming a strategic alliance, as described above, is a mutually beneficial arrangement that solidifies the boundaries between two competing firms while delivering significant benefits for both parties.
It is not always necessary to form a partnership or to lose sight of the original intention of either brand. Collaborating can be done on a short-term basis, wherein two businesses could cross-promote each other's services or arrange a skills exchange that would allow each business to learn useful lessons they could then apply to their own business.
Some businesses benefit from simply attending networking events and conferences wherein they share ideas and experiences with others from their industry sector with the aim of benefiting from the advice and guidance of the other participants.
.
Collaborate with influencers
A modern and often very effective method of collaborating is for brands to work with social media influencers. These individuals have a strong engagement with specific types of people, so when a brand's products or services are targeted toward that particular audience, paying an influencer to promote them or providing them with free samples to test and report on can be a very successful tactic for gaining greater exposure and increasing profits.
It is important that the terms of this arrangement are agreed in advance and that affiliations and payments are declared to remain legally compliant with the terms of the chosen platform. Although collaborating with influencers can be an administrative burden, it is often worth the effort and can open the doors to a much larger audience than would otherwise be accessible.
.
In conclusion, there are many ways in which a franchise business can collaborate for growth. The key decision is which one is best for your business.
