Coproduction: How to Create Products in Partnership With Other People
Coproduction or cocreation is a strategy that helps creators find the support they need to create digital products and scale their businesses with a partner that will bring more expertise to the table.
Many people want to start their online businesses nowadays. After all, this kind of work would enable you to have more flexibility when it comes to working hours and places, besides advantages such as having more time with friends and family and also become more specialized in what you do.
When we look for opportunities on the internet, we usually come across well-known roles like creator, affiliate, digital entrepreneurs, designer, programmer, and freelancer. But these may not be exactly what you were looking for.
The truth of the matter is that there are many people with particular knowledge about a topic, but still, they don’t know what to do with it. If you are one of these people, know that it is possible to use your expertise and work in a cocreation with other creators.
To understand a little bit more about this coproduction, keep on reading. Today, we are going to talk about this role that has become an incredible ally to many creators on our platform.
Learn all about coproduction!
Coproduction or cocreation is a strategy that enables you to create a digital product in collaboration with someone else. It’s a way for creators to find the support they need to create digital products and scale their businesses with a strategic partner that will bring more expertise to the table.
Basically, this is the easiest way for you to have a partner in your business for a predetermined period of time, or even indefinitely. It all depends on what you set as your coproduction time frame.
Let’s take a look at some examples to make this clear.
Imagine you have a digital product, but your expertise is “merely” the knowledge about that topic. In other words, you don’t know how to sell or how to use marketing strategies.
With coproduction, you can get someone involved, someone who is a specialist in marketing and sales, to do this for you. In turn, they would get a cut from what you make selling the product.
Or maybe you are a specialist in a certain market, but you’re not an authority to talk about a particular subject, such as architecture, for instance. You can then find someone who is an expert in this topic and launch this person in the market, paying them royalties.
The greatest advantage of coproduction or cocreation is that it can be easy to share the profits. This means you won’t have to spend more time on making transfers to cocreators, since on some platforms, such as Hotmart, the distribution of commissions is done automatically, as the sales are made.
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A coproduction takes place when two or more people create a product together. There are two scenarios in which this feature stands out, they are:
- When a group of specialists in a particular niche gathers to create a special product, top of the market;
- When a specialist gets together with a marketing professional, or even an agency, to create and launch a new product in the market.
These partners may prove to be the missing spark that the creator needs to take their digital product and business to the next level.
You, as a creator, can access the settings on your Hotmart account to add cocreator to your business.
- To do so, log in to your Hotmart account and go to Products on the left-side of the menu.
- In Products, click on Tools.
- Find the Cocreations tool in the options available.
- Select one of your Products and start setting up the partnership!
Then, you have to inform:
- The cocreator’s Hotmart email (They must also have a Hotmart Account);
- The timeframe for the contract (which may be a predetermined period of time, or unlimited);
- How the cocreator will get the commissions;
- The percentage of commissions to the cocreator.
Check it out:
After you make the invitation, Hotmart will send an email with a link for the user to accept your cocreation offer. Once the invitation is accepted, the cocreation contract starts.
The user that registers the product is called the main creator.
To end the partnership, the creator goes through the same steps above and then clicks on Cancel contract.
This way, an email message will be sent to the other party so that they agree to the cancellation.
Main rules for cocreators
1) The number of cocreators is unlimited. However, the main creator must retain at least 30% of the income. In other words, the main creator may share up to 70% of the income with as many cocreators as he or she sees fit.
2) Regardless of the number of cocreators, the main creator is responsible for the product in the various spheres: fiscal, tax, and legal, and that’s why the creator should always have a larger share of the commission.
3) Only the main creator can make changes to the product’s settings. The cocreators have access to the product’s sales history, but cannot make any changes to the characteristics of the product.
4) As the main creator, you may add other people as cocreators to one or more products, and to every product, you may also set a different commission.
5) The main creator is the one who decides if the cocreators can also sell a product as Affiliates, or not. If you allow this, besides the commission for the coproduction, the cocreator will also earn for sales made as an affiliate.
6) The affiliate manager may also become a cocreator who attracts affiliates to your product, and will get commissions on the sales from the affiliates he or she brings in.
We believe the Hotmart cocreation tool is very innovative and can transform the market and the way partnerships are made.
If you are a creator, you probably noticed that coproduction or cocreation is an excellent option if you don’t want, or are unable, to spend time in everyday tasks such as marketing, since your focus is the creation of products.
No matter what your profile is, the coproduction tool is yet another feature to help you grow your online business.
Cocreators are part of the booming creator economy, where Hotmart plays an important role. Want to learn more about the industry responsible for 3% of global GDP, and that generates more than 50 million jobs?
Check out our Creator Economy Report!