The short answer is that the database provides all the information you need to ensure your advertisers obtain any co-op funding that may be available to them. Let’s take a deeper dive so you know exactly what you would be getting.
The database contains all the contact information needed to reach out to either the brand/manufacturer directly or to the company that administers the program on behalf of the brand. You will see many large brands have companies such as ACB, Ansira, BrandMuscle, and Sproutloud as a program administrator. It is important to know the difference as it is the program administrator that is responsible for handling prior approvals and claim packages on behalf of the brand. You will find mailing addresses, email addresses, and appropriate phone numbers so that you have multiple methods of contact.
Brand Web Address/Dealer Locator Link
You can click on the link to go to the brand’s website. That may be important to you as you may see what the brand is advertising at the national level and can then tie in your advertiser’s campaign at the local level. The Dealer Locator Link is also important as it may “net” you some new customers. You may be dealing with a motorcycle dealer in the zip code of 48084 that sells Kawasaki. You may find that there are 4 more Kawasaki dealers in a 50-mile radius of this zip code. Now that you know the brand offers co-op to their reseller channel there are 4 potential new customers just waiting for you to call on them.
The database also points out all the media types that are eligible for co-op funding. It seems like every few months something new is added. You will now see co-op availability for:
- Print (Newspaper, Magazines, Direct Mail, Billboards, Transit, Stadium Signage, Yellow Pages, Yard Signs, Bus Stops and much more).
- Trade Shows and Promotional Items (Shirts, Ballcaps, ink pens, Home and Builder shows, golf contests/tournaments, and the list goes on).
- Broadcast (TV, Cable, Over-The-Top TV, Cinema, Radio, Streaming Radio)
- Digital (Social Media, SEM, SEO, Online Banners, Video/Pre-Roll, Websites, Mobile)
Keep in mind, if a brand does not show OTT (Over-The-Top) in the database, do not assume they would not provide co-op funding for this media. A lot of brands are trying to keep up with changes and may not be aware of interest in various media types. If they hear about it, see it, and think it is a good way to promote their brand, nine times out of ten they will provide co-op funding. So just remember, nothing is off the table. If you can show the brand a sample of what the advertising would look like they are very receptive to new ideas!
Accrual Percentages and Participation Percentages
The Accrual Percentage is the amount of money the retailer/dealer earned as their co-op fund. You will hear accrual amount, co-op fund, and perhaps other terminologies and they all mean the same thing – how much the retailer or dealer has earned to spend. It is normally a percentage (anywhere from 1 -5%) of purchases made with the brand in the previous or current year. Some brands let retailers/dealers earn their money monthly. The Participation Percentage is how much of the advertising costs the manufacturer/brand will reimburse, up to the amount the advertiser has available in their co-op fund. It is very common to see at least a 50% reimbursement and in many cases, you will see 100%!
The database contains the guidelines that must be met in order to receive the co-op reimbursement from the brand/manufacturer. For instance, Broadcast ads often have a minimum number of times they must mention (or show) the brand name in 30, 60, or 90-second spots. For print ads, you may not be able to mention competitors or may have to have a border around the brand if you mention non-competing brands. The guidelines vary widely by brand, and media type, so it is a must to look them over before preparing any advertising.
The Localogy Co>Op Connect database contains all the information for thousands of brands in hundreds of different verticals. In an upcoming article, we will talk about more features of the database such as our Knowledge Base. The Knowledge Base is a fantastic tool for new sales reps, and also a great refresher for seasoned professionals! For a database demo, or for more information call 866-323-5504 or email Alanda Hunt at [email protected].
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