With partnership marketing, two or more companies team up to create marketing campaigns that help them grow organically with a mutual agreement, thus making it possible to reach shared business goals. Partnership marketing leverages the time and resources of partners that help them expand their market.
Why and when partnership marketing makes sense
Partnership marketing can be a great way to grow a business in several circumstances. As financial resources might be scarce and a company wants to grow more organically, partnership marketing can help in forming long-term relationships to expand overnight the market of your company.
In shot, partnership marketing can be the most effective organic growth strategy as an alternative to other paid channels.
The Pinterest Shopify’s app case study
Announcing our new channel partnership with our friends at @Pinterest! Get @Shopify products in front of 350m+ Pinners for free with shoppable Pins and shop profile tabs, plus buy shopping ads all from one app. 📍 https://t.co/IHmw7xN8yi— Satish Kanwar (@skanwar) May 7, 2020
Both companies (Shopify and Pinterest) can gain from the partnership. And as effect also its main partners (e-commerce websites on Shopify, users on Pinterest).
Indeed, Shopify makes it even easier for its e-commerce websites to directly post their product listing on Pinterest, thus expanding each of their products.
At the same time, Pinterest benefits by gaining more active users, and by enabling more curated images on the platform, which makes it more valuable for Pinterest users. And in turn, the company would be able to sell more advertising.
As specified on the Pinterest blog:
The Pinterest app on Shopify includes a suite of shopping features like tag installation, catalog ingestion, automatic daily updating of products, and an ads buying interface.
As further explained on the Pinterest blog:
By uploading their catalog feed, merchants make it possible for people to discover and save their products and buy directly from their website. People come to Pinterest with an intent to plan and purchase.
In a well executed Partnership Marketing agreement everyone wins
As we saw partnership marketing can be a great way to organically growt a business, while at the same time expand is boundaries, as parters can draw from each other’s markets to add more value to their existing audience.
A well executed partership marketign plan then adds value for everyone!