Beauty startup, Birchbox continues to make its mark in the industry, and now they are taking the revolution to the skies. The e-commerce retailer has had a ton of success from their subscription business which featured hand picked sample size beauty products from top brands, and from the looks of it, they are just getting started.
A lot of critics doubted the long term viability of the subscription model, wondering how the company will manage to continue to convince its subscribers to shell out $10 every month for sample sized products, but the e-commerce giant has proven it is here to stay. Its business has grown tremendously over the years, and the company has expanded into other areas such as men’s personal care and lifestyle sample boxes.
The beauty startup recently made headlines again as a result of its partnership with luxury airliner, JetBlue. Airline passengers in the premium seat sections known as Mint will be receiving Birchbox sample boxes.
This partnership proves yet to be another strategic move by the startup to make their mark as a force to be reckoned with in the beauty world and beyond. As beauty entrepreneurs, there are a few crucial business lessons we can take away from this strategic partnership.
Lesson 1) You don’t have to do it alone
Oftentimes we get so caught up in our idea or the day to day operational aspects of the business that we lose sight of potentially beneficial partnership opportunities around us that can catapult our business.
Successful businesses in all stages often leverage strategic alliances to expand their reach, explore new markets and improve on areas of opportunities.
Forming the right partnership can also increase profitability by reducing costs while providing additional exposure beyond your sole capabilities that can drive sales.
Lesson 2) Know the areas where you can benefit from a strategic partnership
Determine which aspects of your business will profit the most by joining forces with another business. This will not only help to bridge the gap in those areas of opportunities, but will also help in narrowing the search for new alliances and partnerships.
Lesson 3) Form the right alliances
To form a strategic alliance, you need the right partner otherwise it could turn into a nightmare that could drag down your current operation. First step as stated above is to outline the areas where you could benefit from having a partner, and then outline your expectations of the partner.
Lesson 4) Know how you are aligned in values before initiating a partnership
When seeking to build an alliance, it is essential to look at the values and culture of the potential partner(s) to see if they align with those of your company. You want to make sure that you band together with a company that sends out the type of message you want affiliated with your brand.
Birchbox positions itself as a premium service that brings to its consumers sample size products specially curated by beauty editors, and its partnership with JetBlue the luxury airliner only reinforces that brand message.
Lesson 5) Look for your consumers elsewhere
While it is important to focus on the industry you serve, think outside the box when seeking alliances. Your consumers are consumers in a wide variety of industries. Explore other types of businesses that might not be in the same category as yours but do appeal to your market. This will also help position your company as a lifestyle brand.
Are you a beauty entrepreneur? How do you develop strategic alliances? Please share in the comment box below