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Managed Channels
Some of the rationale behind product integrations includes sharing data with relevant partners to increase value to their users. For instance, an example integration is if our client is a rideshare company and provides select partners with a widget that gives users estimated earnings based on inputs like geography and hours worked. In this example, the partner owns the relationship with the end-user, and by leveraging our client's data to provide an estimate on the partner's site, the user is being exposed to the client's offerings on a partner site. If the partner's audience is geared towards consumers who have luxury cars but are looking for ways to make additional income through side hustles, our client has just unlocked high-value drivers through the partnership.
Product integration partnerships are more complicated as they often require engineering resources, exchanging sensitive data across companies, and additional legal and creative support. Furthermore, because of the risks taken by both sides to invest resources into bringing these partnerships to market, one brand often invests a flat fee to move the partnership forward. In instances where our team has managed product integrations, we have worked to ensure that the early stages of the partnership are nimble and non-committal. However, because of the involved and customized nature of the partnership, even a lean approach is demanding. As such, these partnerships make the most sense for more mature programs hungry for incremental growth and willing to take on performance risk.