World-Class Business Questions Part 3 - Joint Ventures and Alliances
However, there is another world-class question you need to ask to ensure a successful joint venture or strategic alliance.
What must happen so both sides fell they got the better end of the deal? Why is that a world-class question? Because if you can figure out what the other side wants and they want it so badly they feel they got the better end of the deal and you feel you got the better end of the deal that's called mutual benefit.
Here's a great example.
It's a model that works; it's called the $20 affiliate call.
Many times when people are doing email campaigns online and this is in the online world, but it applies to the offline world as well, they will have an Opt-in page and will say here's a link.
It creates a cookie and you'll get credit if someone buys; then it goes to an Opt-in page.
We personally don't like that.
It's called stealing.
Even if they never buy we just took someone from our list and put them on someone else's list.
True they're still on our list, but they're on someone else's as well and a confused mind never buys.
A Confused Mind Never Buys An irritated mind never buys...
absolutely! You may be irritating, at the very least confusing them because now they're in two autoresponder sequences and the more effective those marketers and promoters are the more you'll confuse and irritate that mind.
So we don't like someone coming in just to a squeeze or Opt-in page.
We do sometimes, but not always.
What we truly like is creating a strategic alliance where both sides feel they got the better end of the deal.
So here's what to do...
$20 Affiliate Call Have a $20 affiliate call.
Give high content for two hours and it costs the recipient $20.
The recipient is being mailed by one of your affiliate partners.
Your affiliate partner is getting paid $18 out of the $20 dollars; 90% commission there's no Opt-in.
They either pay $20 or they don't, so isn't that worth mailing for you? If you're going to pay your affiliate $18 out of the $20 and as a 90% commission, don't they feel they got the better end of the deal? Why do you feel you have the better end of the deal? The two dollars you keep out of the $20 covers incidentals like the merchant fees and some customer service expenses, which is involved in every campaign that anyone does.
Now you have a lead that's bought something and that $20 can turn into $2,000 if you do your job, so you've paid for that lead and rightly that lead is yours, but if you have 1,000 $20 leads that's better than 10,000 free leads.
The $20 affiliate call is a good example for this world-class question.
If you're the affiliate manager you pay someone else $18 of the $20 for one of your calls and that is a preview call, which leads to something else like a workshop, another event, software, a consumer product or even a consulting service.
No Tire Kickers People are paying for it so they're not tire kickers.
You're giving up $18 of the $20 and if they buy you have a choice to pay your affiliates an additional bonus and that's a great deal.
Would we do that if we were the affiliate? You bet! We would take $18 a lead, especially if we're getting $18 a lead from prospects that have never purchased from us.
If we can monetize prospects $18 and they've given us zero why wouldn't we do that? Both sides feel they got the better end of the deal that's why it's a world-class question.