BrandKnew September 2013 September 2013 | Page 20

Four Reasons Brands Need to Partner Dan Khabie I’ve been in Italy for the past couple weeks, which really put a crimp on my LinkedIn correspondence, but as I voyaged through the beautiful countryside and tasted many different kinds of delicious Italian food and gazed upon a grand panoply of classic architecture and distinctive villages, I gradually realized something was missing. At first I thought it was the lack of Starbucks, but then I noticed that the Starbuckslessness was only a small piece of the puzzle. The big picture was a near-total lack of brands partnering with and among each other. The only time I noticed some form of partnership/sponsorship was watching football (pardon me, American readers: soccer) on TV. Other travels have brought me to places that understood the need for alignment, and thus the absence of it was clearly noticeable. Again, I love Italy for its simplicity, and found the lack of advertising refreshing at times. But it did get me thinking about why the partnership of brands is critical in this new economy. Here are four reasons why: 1 Partnerships create relevancy and added value. A partnership has to be mutually beneficial, it has to impact your bottom-line or create a level of brand awareness that sets each involved brand apart. As PBM Marketing Solutions’ president Gregory J. Pollack writes, “For a true strategic partnership brand marketing program to work, both brands must complement each other and deliver similar customer profiles.” A good example of what Pollack says would be Nike and iTunes, which struck an incredibly relevant partnership because their pairing connected your daily activity with your everyday joy of listening to music. By doing that, Nike continues to position itself around innovation and distinguishes itself in the fitness category. 2 A successful partnership aligns similar values, which allows you to talk to the right audiences for your brand. Late last year, the Guardian reported that a survey from over 130 companies and non-profits cited nearly 60% of respondents as saying they place a greater emphasis on cross-sector partnering than they have in the past. A good example of this is the (RED) campaign, which brought famous musicians together through a cause; you can purchase a (RED) card at places like Starbucks and other retailers. People want to feel like they’re giving back, and (RED) has made it easy to do so through partnerships with brands like American Express, Apple, Coke, Bed Bath & Beyond, and beyond. 3 Partnerships encourage a long-term view of your brand. When thinking what and with whom to partner, it is important to understand that some investments may appear short-term, but, as they say, you become who you spend time with -- it will force you to think more longterm around your brand. You will not just jump into any partnership, but be much smarter about who you bring into your home and why. To return to Gregory J. Pollack: “As consumers, we know what we like. And we know what we want. We surround ourselves with a select group of brands that encompass and define who we are and—of equal importance—define our lifestyles.” 4 Partnering might actually keep you alive! Look at the way Netflix partners with game consoles, or Zynga aligned with Facebook. But another recent example is the partnership between Crossfit and Reebok. I like this partnership because Crossfit (a nationwide fitness community) has become a great platform for Reebok to align with and help reposition its brand around fitness and active athletes. As microeconomics professor Patrick Rishe wrote in Forbes: “The burgeoning relationship between Reebok and CrossFit may take the connection [between fitness and profitability] to another level altogether.” And Dave Castro, Director of the CrossFit Games has said “We have seen large gains in commercial success with bringing on Reebok as a partner to the CrossFit Games.” I’ll close with a reference that anyone who’s spent time in Italy and visited St. Marco Square in Venice, watching the crowds flow from one live orchestra to another: If you look up one day and think the world has passed you by, always remember that the crowds didn’t disappear -- they just went somewhere else! A savvy partnership may keep that from happening.