How We Are Redefining Co-op Advertising

Updated: Apr 8, 2021

Co-op advertising is a hassle. Everyone knows that, and it is no surprise that it is the most common reason retailers give up an estimated $35 billion every year in unclaimed co-op funds. How can we make these programs more attractive for retailers to participate in?

What is Co-op Advertising?

Co-op advertising is when a manufacturer works and partners with retailers to help advertise their products. The manufacturer will help pay for a portion of the retailers’ advertising costs that include their product. These types of partnerships are beneficial for both sides of the marketing equation since the ads drive brand awareness and sales for both parties, while the retailer receives compensation for approved branded advertisements, and the manufacturer gets to have control over how their brand is represented.

Why should I participate in co-op advertising?

One of the biggest struggles for retailers is establishing a solid brand awareness base that knows and trusts their brand. With co-op marketing, you are working with a major brand name manufacturer that already has the market cornered on loyal customers and not only do they encourage retailers to promote their personal brands, but they will actually pay them to do it.

Sound too good to be true?

What are the disadvantages to co-op advertising?

Although the benefits seem like a no-brainer for participating in a co-op program, there are a few challenges that can be a major road block to successful co-op participation:

· Ad Compliance: Retailers’ messaging on their ads must be 100% compliant with the manufacturer’s guidelines. One small error, whether it’s an unapproved logo size or missing a required word, could result in zero reimbursement for the retailer.

· Time consuming: There is a lot of admin work that needs to be done that most business owners would not want to deal with. Dealing with the ad approval process and submitting proof of ads regularly is time taken away from the business owner focusing on their business. Each program has its own rules around what can or cannot be approved and following them can become a nuance to any retailer.

· Delays: Since a retailer is subject to the speed of the manufacturer’s approval process, this means ad approval could delay the launch of your marketing campaigns and reimbursement time could delay how soon funds hit your account.

The complexities of the co-op process have a steep learning curve for business owners who aren’t familiar with digital advertising or don’t have the time to learn the nuanced rules and requirements.

How Adalane Media Group helps co-op advertising

At Adalane Media Group, we believe in leveraging technology to help our clients achieve their goals. As an advertising agency that works with many retailers who participate in co-op programs, our mission is to help our clients maximize the use of co-op funds to help them accelerate the growth of their business. We’ve found that the best way to help our clients find success in these programs is to manage the entire co-op program for them.

We’ve developed leading edge software that uses technology and data to revolutionize the co-op/manufacturer relationship.

Introducing Adalyze – our proprietary software that helps retailers, like you, reap the benefits of participating in manufacturer-sponsored co-op programs without any of the risks.

By revolutionizing the way we create, validate, and rebate, Adalyze and Adalane Media Group will help you on your way to a successful partnership with your manufacturer, so you can get back to running your business.

Create: AI-driven ad generation that will automatically create ads based on the manufacturer’s approved rules combined with your company’s name and mission.

Validate: Ads are submitted through our verification process to ensure they qualify for reimbursement by your manufacturer.

Rebate: Automated submissions for reimbursement, eliminating the guesswork, errors, and hassle that are involved with providing the required claims and proof of advertising needed, allowing you to be reimbursed sooner.

The ability to drive and prove ROI as an ad agency with our marketing campaigns combined with our experience working with co-ops has been a recipe of success for our clients. Taking the first step to participating is not easy as the process can seem daunting. Adalane is here to help you take that leap.

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