When ad agencies and marketing teams discuss ways to increase sales there's often talk about refining retail strategies, creating innovative promotions, adjusting price points and more... We're always very focused on brainstorming new ways to attract more customers to us.
But what about diving head first into new arenas?
Question: Have you ever just walked around and mentally put your logo on different things in society? Swapped their logo for yours?? It's amazing where you go in your mind when you start doing this. But it's not only fun to think about, it can also lead to good business.
Of course, I'm talking about Acquisition and Branding Partnerships. And ad agencies should think more about this on behalf of the brands they represent.
In advertising we often think of acquisition and company mergers as something that only investment bankers and management consulting firms do. Truth is, these ideas should be considered in the integrated mix just like TV, web and social media. It's a great option for growth and creativity can lead to many opportunities.
Case in point: Best Buy...
Best Buy wanted to expand into airport stores. This proved problematic so an idea surfaced to provide kiosks inside of airport terminals. But instead of going through the headache of starting from scratch, a company called ZoomSystems already operated non-branded kiosks in several terminals. So Best Buy wisely approached them. Together, they created BEST BUY EXPRESS and the concept was brought to market in only 150 days. You can now find Best Buy Express kiosks in LAX, SFO and 10 other airports in the US:
Really smart of everyone involved.
As Best Buy knows, branding an unknown entity immediately brings three things to the consumer:
trust--familiarity--value
In the case of airport shopping, before Best Buy Express, the ZoomSystems' kiosks meant nothing. Consumers might ask: Can I trust them? Are the products quality? If there's a problem can I return it when I land in Phoenix? Such questions stop an otherwise solid purchase occasion. But by simply turning the machine into a Best Buy kiosk, all of these questions are immediately answered and the company created a whole new way add value to consumers and extend their brand into new channels.
Since the rebranding, Best Buy has seen double-digit sales increases at the kiosks.
So if you're a company with plenty of cash reserves, a down economy can benefit you; Acquisition and/or Branding Partnerships opportunities will bubble up, most likely at good prices. Consider pouncing. After all, down economies are when strong companies gain market share.
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