Winning by Not Competing: Late Mover’s Strategy to Lead the Pack
Table of Contents
The Origins of the Idea #
At the time where Zumba classes were taking off in popularity, a group of partners wants to hop on the train as a fundraiser for publicly-funded daycare centers. While making some profit, they also aim to gather financial support for the upkeep of the kid-centered spaces.
Their initial plan? A full-on dance showdown with the province’s finest instructors. Enterprising, yes. Realistic? Let’s just say their commitments and a surprising lack of fitness licenses threw a wrench in that particular groove.
With these limitations, one cannot go head to head with regular classes. Hence, a creative differentiation strategy was born.
Forging Win-Win Partnerships #
Instead of beating already established players, they joined them. They partnered with them.
The group approached top Zumba instructors with a unique proposition value: a flat fee plus a 20% commission on tickets sold to their students.
On the group’s side, this means performance marketing wouldn’t be so much of a problem anymore. For the instructors, this meant more income and exposure for them. A win-win.
And by securing partnerships with 5 key instructors who dominates 70% of the market, the event gained instant credibility and reach. Talk about a strategic dance move!
Executing a large-scale fitness event #
With instructors on board, it was time to plan the flagship event. The small organizing team handled the end-to-end planning and execution. This included securing sponsorships, designing promotional materials, ticketing logistics, and venue coordination.
They secured sponsorships for sound, lighting, and even waived venue fees with a government endorsement. The venue provided concession spaces rent-free, which was sold to local food vendors as an added income stream.
Nearly all marketing was done digitally, without paid media. The instructors’ networks were leveraged through social media and constant guest postings in their respective digital communities.
The response was overwhelming, with tickets selling faster than anticipated. The venue capacity was reached, forcing the team to cap sales early – a good problem to have!
Execution with little overhead? Done.
Blockbuster Results #
On event day, the venue was filled to its brim with over 750 Zumba enthusiasts, exceeding even their capped attendance. (Whoops!)
Thanks to the creative partnerships and minimal overhead, they achieved a remarkable 95% profit margin. They not only surpassed their fundraising goals for daycare centers but also created a win-win scenario for everyone involved:
- Attendees: Love the electric atmosphere and made connections
- Sponsors: Enjoyed brand exposure and prime placement
- Instructors: Showcased their skills and gained new students
- Organizing team: Took pride in their success and community impact
Key Takeaways #
This proves that event in crowded markets, latecomers can thrive with creativity and collaboration. Maybe, it’s not too late.
- Existing demand can be tapped by improving and/or complimenting the experience
- Reduce costs via partnerships with established players for marketing and operations
- Focus on a niche goal to stand apart from competitors
- Create win-wins for partners by aligning incentives
Additional takeaway: In addition to strategic partnerships and the type of differentiation, the business model was tailored to the time and resources the group are willing to shell out.
By applying these strategies, you too can carve out you own space, even in a crowded dance floor. With some creativity, play to your strengths and embrace collaboration.