As a rule, medical supplies are not a great vertical for co-op funds, however, it is worth discussing as the Localogy Co-op Team gets quite a few inquiries. We get asked quite often about brands like Botox, Juvaderm, LATISSE and SkinMedica. Those brands are all owned by the Allergan company. They chose not to offer co-op funding to the dermatologists and spas that purchase from them but instead provide posters and pamphlets. The posters are to go in their offices to show patients plenty of before and after photos, while the pamphlets are “take home” pieces for the patient that tells them what to expect, after care, potential side effects and so on. We have often been asked about other types of prescription medicines, and again, they may show many TV commercials on a specific brand, but they do not offer funding to the doctors to promote them. Again, a lot of these prescription medications are promoted within the doctor’s offices with posters/pamphlets, etc.

Another thing worth mentioning is that medical supplies are heavily sold through distributors. They act as intermediaries between the manufacturer and the healthcare providers, handling logistics for hospitals, clinics, and nursing homes. Distributors often have huge warehouses which allow them to be able to store thousands of products, which may streamline the supply chain and then may reduce costs for doctors or spas that then purchase them. Now, the distributor may get some co-op funds from the brands they buy from (since they purchase high volumes), but they may be using that to “sell” some of their products to their list of clients (which are the doctors and spas). I am sure you may have been in a doctor’s office waiting for your appointment when a “drug rep” comes in with bags of bagels and coffee for the doctor’s office staff – it may be a distributor trying to pitch doctors on buying items from their “medical warehouse”.

We don’t want you to think it is ALL doom and gloom, there are still some brands, particularly in the “Senior Health Care” category, that do offer co-op funding.

Below are just a few of the medical brands that we do have in the Co-op Connect platform:

Brand Name – Products/Services – High-Level Guidelines

Aetrex Worldwide, Inc. – Ambulator Footwear, Lynco Orthodics, Aetrex Footwear, Copper Sole Socks
Retailers earn 2% of their prior year’s purchases as their co-op accrual fund. Reimbursement is up to 50% for both Traditional and Digital advertising.

Beltone Electronics Corporation – Hearing Aids
Amount dealers earn varies based on the types of hearing aids purchased (there are 4 different types). Reimbursement is 100% for Traditional and Digital advertising.

Golden Technologies, Inc. – Lift/Recline Chairs and Scooters, Power Lift Chairs and Adjustable Beds Retailers earn 3% of quarterly purchases (and must also be used quarterly) as their co-op accrual fund. Reimbursement is 50% for Traditional and Digital advertising.
Pride Mobility Products Mobility Products, Scooters, Lifts This program also applies to the following brands: Go-Go, Jazzy, Pride Lift Chairs and Pride Scooters. Retailers earn their co-op accrual fund quarterly based on .75% of quarterly purchases from the manufacturer. Reimbursement is 50% for Traditional and Digital advertising and must be used within 6 months of earning.

Summary
To find out more about our Co-Op Connect Platform, or our Co-op Concierge Services, call us at 877-990-2667 or email [email protected].

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