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The reality is, if they are professionals in
truest sense of word, they will be more than willing to take much of paperwork burden off of you by handling it. After all, more value an account rep creates for their clients greater chance for an ongoing business.
Co-op dollars are not limited to retail businesses. Often, there are hidden dollars for non-profits. There are city and state funds that are set aside to help various organizations increase their visibility and reach.
One nice thing about using co-op dollars from a large manufacturer is that brand names do attract customers to your business—that's why you offer them. Advertising specific well known brands will increase your foot traffic. Harley Davidson has an amazing co-op program they offer to their retailers. It is a primary reason they have done so well. They encourage advertising based on specific guidelines.
It is to advantage of an advertiser to utilize these dollars. Manufacturers in virtually every industry want to help with advertising costs. They are very aware that when you correctly advertise their brand name product you will probably sell more of it, thus increasing your orders.
The disadvantage of co-op advertising can be restrictions set by manufacturer. Often, they have such rigid guidelines about how to design ad that you may lose all control of creative expression. For example, their logo may have to be positioned in an exact location in order for them to co-op campaign.
If you are working with someone who claims to be an expert at advertising and they know nothing about co-op dollars they are not expert they claim to be. Be aware.
Areas that you need to be educated on are program terms and reimbursement schedules. In some cases it can take months to receive reimbursement for a co-op campaign. In other cases, company you are cooping with will send money directly to media source. Be sure to check this information out in order not to run into a cash flow problem.
Advantages of co-op advertising - Extra money to advertise - Account executive can do paperwork - More frequency
Disadvantages of co-op advertising - Restrictions by manufacturer - No guarantee it will work - Limited creativity in ad copy
Before making a final decision, research your options on co-op advertising. You may be pleasantly surprised with what you discover.
Kathleen Gage is a business advisor, keynote speaker and trainer who helps others gain marketing dominance and visibility within their market. Get Gage’s FR*EE report “Learn How One Salt Lake City Based Business Consultant Made Over 100k from One Idea” by visiting www.kathleengage.com
