Business collectives (i.e. when competing or complementary businesses band together) are trending. A recent notable example is New Zealand craft breweries with Wellington brewers Yeastie Boys and Tuatara Breweries, Renaissance Brewing from Blenheim, 8 Wired Brewing Co from Warkworth and Three Boys Brewery from Christchurch recently forming the New Zealand Craft Beer Collective to help market their brands to Asia.
So what can retailers do to ensure they are ready to take advantage of this trend? Firstly it is important for retailers to find themselves a niche and become an expert in that area. Niches, such as Funk Estate and their Seriously Funky Brews allow them to take advantage of a craft brewery collective but still stand out from the crowd.
By establishing a niche, retailers can maintain margins in an online world where consumers have access to products from all over the world. In addition, operating within a niche provides an opportunity for retailers to grow their audience. Where once a retailer was limited by their geographical boundaries and lack in numbers to service a niche, now, by adopting a multi-channel strategy which includes physical retail and ecommerce, they can tap into already-established communities of customers around the globe who are passionate about what they are selling. And by joining collectives, retailers can effectively sell to the converted.
This article was written for the Vend blog. Check out the original post to read more insights from retail experts.