With the call for entrepreneurs to take the leap of faith and start up their businesses; I think that it would be soo useful and more effective if all those small-medium local businesses here in the UAE (or even around the world) would get together in a united front and work with one another to flourish! Every marketing/advertising professional would tell you that the strongest form of advertising till this very day is word of mouth.
Let's imagine this scenario: an engaged couple are planning their big day. Just like any other couple getting married, they don't want their wedding to be anything ordinary. They are looking for venues but a venue is as good as the decoration in it. The hotel recommends one or two event decorators who propose amazing concepts. Now we need an amazing photographer to capture how beautiful the wedding will be! But yes of course, the decorators worked with one before so they recommend someone. Now the bride needs a make-up artist to look even prettier than she usually does. But of course! The photographer took some photoshoots of someone's make-up work before and still has the contact number. Now all we need is a dress and we are all set. This is when the make-up artist would remember the beautiful work of this local-based fashionista who also makes wedding dresses. I know I'm missing some wedding components in my scenario like music, lights, stage, etc but you get it by now. What happens is because of this strong network of small businesses coming together, everyone gets a piece of the cake (no pun intended)!
I call this concept Integrated Local Business (or ILB for short). To get a little technical, ILB is when owners of small-medium local businesses integrate their own business strategies and plans with those of complementing businesses. When starting-up, it is best to map out all those businesses that you can either work with or refer your customers to before launching your own business. It would be even better to get together with the owners of those businesses prior to the launch and discuss how you will benefit one another; either through referrals or even business conducted with one another.
But for this to actually work, you need the right mindset for it. Don't think that you should benefit from every referral because sometimes the profit margin is too small. Think of it this way instead: you never know how those who you benefit today may return the favor tomorrow.
Let's imagine this scenario: an engaged couple are planning their big day. Just like any other couple getting married, they don't want their wedding to be anything ordinary. They are looking for venues but a venue is as good as the decoration in it. The hotel recommends one or two event decorators who propose amazing concepts. Now we need an amazing photographer to capture how beautiful the wedding will be! But yes of course, the decorators worked with one before so they recommend someone. Now the bride needs a make-up artist to look even prettier than she usually does. But of course! The photographer took some photoshoots of someone's make-up work before and still has the contact number. Now all we need is a dress and we are all set. This is when the make-up artist would remember the beautiful work of this local-based fashionista who also makes wedding dresses. I know I'm missing some wedding components in my scenario like music, lights, stage, etc but you get it by now. What happens is because of this strong network of small businesses coming together, everyone gets a piece of the cake (no pun intended)!
I call this concept Integrated Local Business (or ILB for short). To get a little technical, ILB is when owners of small-medium local businesses integrate their own business strategies and plans with those of complementing businesses. When starting-up, it is best to map out all those businesses that you can either work with or refer your customers to before launching your own business. It would be even better to get together with the owners of those businesses prior to the launch and discuss how you will benefit one another; either through referrals or even business conducted with one another.
But for this to actually work, you need the right mindset for it. Don't think that you should benefit from every referral because sometimes the profit margin is too small. Think of it this way instead: you never know how those who you benefit today may return the favor tomorrow.
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| Image source: www.infovark.com |
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