A new trend in business collaboration and space-sharing around the Roosevelt Row arts district has led some Phoenix businesses to find that the whole is greater than the sum of their revenue.
Collabs of all kinds
For Bison Made, a leather products manufacturer that shares space with Songbird Coffee and Tea House on Roosevelt Row, their location provided the opportunity to open the doors to an entirely new customer base.
“A lot of people who are willing to spend $5 on a cup of coffee are willing to pay $100 for a nice wallet,” said Bison Made co-owner Sebastian Sandersius.
Coffee and wallets provide an unconventional example of a business team. A more traditional collaboration is exhibited when a business incorporates local ingredients or materials.
Newly opened ice cream shop Melt is producing its ice cream with Gilbert-based Udder Delights dairy products.
“It’s the trend because it really promotes the community. It keeps the money down here,” John Sagasta, owner of numerous downtown businesses including the new ice cream shop, Melt, said.
Sagasta believes these types of collaborations are beneficial for customers and business owners, which is why he decided to buy his ice cream from Udder Delights.
Short Leash Hot Dogs and Mamma Toledo’s pies, previously two separate food trucks, have taken their partnership beyond sharing a building; they’re sharing a kitchen in the hot dog eatery’s recently opened brick-and-mortar location, Sit…Stay.
Beyond the extra buck
For Short Leash owner Brad Moore, collaboration means more than just bringing in more customers and dollars.
“Everyone wants to make a profit, but the important thing is to foster the sense of community – building a relationship,” Moore said.
Although the reasons for collaborating may have initially been their bottom line, the business owners agree that the idea of a true business community is what keeps them together.
Popular food truck Short Leash Hot Dogs began a more permanent business collaboration when they dedicated a space, called The Pie Hole, in their restaurant, Sit…Stay, for the sale of Mamma Toledo’s pies. Short Leash owner Brad Moore says the decision to work with Mamma Toledo’s was not really for economic reasons, but rather to build a stronger community relationship between businesses. Short Leash and Mamma Toledo have worked together for years, Moore said, and decided to further the partnership for multiple reasons.
Because Sit…Stay does not serve desserts and Mamma Toledo’s does not serve entrées, Moore said the collaboration is beneficial for both businesses, as they have a similar customer base. It allows their customers to purchase both entrées and desserts at one location. He said the collaboration just made sense and was a win-win situation.
Bison Made started its partnership with Songbird Coffee and Tea House in MonOrchid in August 2012. Sandersius said the initial reason for the collaboration was that the MonOrchid building offered air conditioning and plenty of space. Bison Made’s full manufacturing space is located right behind the coffee shop, and it displays samples in the cafe. The ambiance of the cafe, coupled with the customer base that the cafe draws, provided a new opportunity for Bison Made to be marketed.
Since the display case of Bison Made products went up in the cafe nine months ago, Sandersius said revenue has increased, especially with the First Friday crowds Songbird draws.
The relationship between Melt and Udder Delights is a symbiotic one, Sagasta said. Udder Delights’ reputation as a quality ice cream producer has helped improve business for the ice cream shop, while also providing Udder Delights with increased exposure in downtown Phoenix.
Sagasta said he already had a pre-existing business relationship with Udder Delights and chose to continue that relationship when he opened Melt because he truly loved their products and knew they would be popular around the downtown Phoenix area.
Contact the reporter at pkunthar@asu.edu.
