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Revenue Sharing as a Marketing Strategy for Entrepreneurs

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What is the desired outcome when business revenue sharing is used as a marketing strategy?
Is revenue sharing a viable solution for the challenges facing entrepreneur?
What other alternatives are available to this entrepreneur?

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Solution Summary

This detailed solution discusses the desired outcome when business revenue sharing is used as a marketing strategy. It also discusses revenue sharing as a viable solution for entrepreneurs, and other alternatives available for entrepreneurs. It includes links and examples.

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The desired outcome for using revenue sharing as a marketing strategy is to utilize other companies/people as a source of customers.

On the internet this could be a "click through" ad in which case the snowboard rental company would pay a cost per sale (CPS) or cost per action (CPA) to the referring site. In each case the snowboard rental company would only pay when sales were actually generated. Also, e-commerce website operators might pay affiliate marketers for generating potential customers. In this way the snowboard company would pay on a per click (CPC) basis, paying for each lead. Another way might be ...

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Sally Baldwin, Ed.D
Education
  • BA, University of Southern California
  • MSS, United States Sports Academy
  • Ed.D, Boise State University
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