Alison Coleman , CONTRIBUTOR
Whether it’s launching a new product in a new market, or an untried and untested service in an established sector, it is a risk for any business. And if it is to stand any chance of success it requires a bold approach to marketing.
The partnership strategy
Dashboard cameras or dashcams have been one of the fastest growing consumer technology categories for the past two years, yet four years ago it barely existed. When UK dashcam manufacturer Nextbase decided to enter the market it came up with the idea of promoting its products by forging links with an insurance company that would provide a discount to drivers who used a dashcam.
Commercial director Richard Browning said: “Our strategy was to connect Nextbase, then a fairly unknown brand, with bigger and more established ones, thus adding the gravitas we couldn’t achieve as a standalone brand. Insurance companies were top of our list. Initially they were apprehensive. Most failed to see the benefit of dash cams or acknowledge that the market would catch on.”
Then they approached insurance firm Swiftcover, where initial conversations were positive, but tempered by the insurer's reservations about the notion of a dashcam policy with a discount for motorists.
“We persuaded them by positioning it as an innovative business recruitment and marketing tool, even though there were many other benefits, including increased road safety, better efficiencies and financial benefits,” said Browning.
In less than four years Nextbase has seen sales rise from 1,000 units per month to more than 50,000, and currently has more than 80% market share in a category that didn't really exist four years ago.
Follow Alison on Twitter @alisonbcoleman and https://plus.google.com/+AlisonColeman/posts
Catch up on my current posts along with industry articles