Post on 03-Feb-2016
description
Manufacturer and Alternative FundingManufacturer and Alternative Funding
Co-op & NTRCo-op & NTR
Co-opCo-op
The The Co-op Co-op
TriangleTriangle
ManufacturerManufacturer
RetailerRetailer RadioRadio
Local retailer runs
advertising featuring a
manufacturer’s or supplier’s
product or service
Local retailer runs
advertising featuring a
manufacturer’s or supplier’s
product or service
The manufacturer or supplier
reimburses the retailer for the
advertising (all or a portion) based on the retailer’s
previous purchases
The manufacturer or supplier
reimburses the retailer for the
advertising (all or a portion) based on the retailer’s
previous purchases
Co-operative Advertising
Co-opCo-op
Benefits
Lucrative source of new revenueLucrative source of new revenue
Stretches a retailer’s ad
budget
Stretches a retailer’s ad
budget
Local retailers can tie into national manufacturer's
programs
Local retailers can tie into national manufacturer's
programs Rarely CPP or ratings drivenRarely CPP or ratings driven
Co-opCo-op
11Retail-Driven:Retail-Driven:
You work with a single retailer to use accruals
from one or more vendors to
advertise one or more
products/services
You work with a single retailer to use accruals
from one or more vendors to
advertise one or more
products/services
Two OpportunitiesCo-opCo-op
Two OpportunitiesCo-opCo-op
22Manufacturer-Driven:
Manufacturer-Driven:
You work with one manufacturer to
combine the accruals from
several retailers to advertise selected products/services
You work with one manufacturer to
combine the accruals from
several retailers to advertise selected products/services
Info from RAB.com
K-SWISS INC: 31248 Oak Crest Dr.,Westlake Village, CA 91361. Geronimo Moran, (818) 706-5494.
Co-opCo-op
Company Info –
Who to contact
Info from RAB.com
K-SWISS INC: 31248 Oak Crest Dr.,Westlake Village, CA 91361. Geronimo Moran, (818) 706-5494.100%
Co-opCo-op
Allowance-What % of advertising
Info from RAB.com
K-SWISS INC: 31248 Oak Crest Dr.,Westlake Village, CA 91361. Geronimo Moran, (818) 706-5494.100% up to 1% of current year’s net
shipments.
Co-opCo-op
Accrual Rate-Source of funding
Info from RAB.com
K-SWISS INC: 31248 Oak Crest Dr.,Westlake Village, CA 91361. Geronimo Moran, (818) 706-5494.100% up to 1% of current year’s net
shipments.Expires 12/31
Co-opCo-op
Expiration Date-When funding ends
The Difference Between
NTRNTRCo-opCo-opPrevious PurchasesStructuredAd BasedCorporate Contact
Previous PurchasesStructuredAd BasedCorporate Contact
Future PurchasesNot StructuredPromo BasedLocal Contact
Future PurchasesNot StructuredPromo BasedLocal Contact
NTR = Revenue not from a traditional advertising budget.
NTR = Revenue not from a traditional advertising budget.
Spending (Billions)NTRNTR
AdvertisingAdvertising PromotionalPromotionalSources: Universal McCann 2006, Promo Magazine 2006Sources: Universal McCann 2006, Promo Magazine 2006
$70
$249 $276$288
$342
1995 2000 2005
$165
Kinds of NTR
Cause-Related
Event-Related
Internet
In-Store Mass Merchandiser
Convenience
Supermarket
Cause-Related
Event-Related
Internet
In-Store Mass Merchandiser
Convenience
Supermarket
Sports Marketing
Recruitment Job Fairs
Expos
Sampling / Couponing
Consumer Sweepstakes
Sports Marketing
Recruitment Job Fairs
Expos
Sampling / Couponing
Consumer Sweepstakes
NTRNTR
Show Me The Money!NTRNTR
NTR campaigns are NOT funded from an ADVERTISING budget! NTR campaigns are NOT funded from an ADVERTISING budget!
NO!NO! AD Budget
AD Budget
Sales
Branding
Multi-cultural
Promotional
Public Relations
HR
or others
NTRNTRNTR campaigns DO come from
these budgets: NTR campaigns DO come from
these budgets:
YE$YE$
Show Me The Money!
ElementsNTRNTRNTR campaigns can revolve around elements other than
Radio
NTR campaigns can revolve around elements other than
Radio
Newspaper Newspaper
Direct Mail Direct Mail
Promotional Gizmos Promotional Gizmos
Eventhe
blimp!
Eventhe
blimp!
Retail Driven NTRNTRNTR
The retailer agrees to buy more product
from the participating manufacturer
The retailer agrees to buy more product
from the participating manufacturer
Ask the manufacturer
to fund the promotion
Ask the manufacturer
to fund the promotion
In exchange, the
manufacturer agrees to pay
for the promotion
In exchange, the
manufacturer agrees to pay
for the promotion
Create a consumer promotion by
starting with a retailer
Create a consumer promotion by
starting with a retailer
Manufacturer Driven NTRNTRNTR
The participating retailers are asked to buy more product from the
manufacturer
The participating retailers are asked to buy more product from the
manufacturer
In exchange, the manufacturer agrees to pay for the promotion
In exchange, the manufacturer agrees to pay for the promotion
Create a consumer promotion by starting with the manufacturer Create a consumer promotion by starting with the manufacturer
Manufacturer and Alternative FundingManufacturer and Alternative Funding
Co-op & NTRCo-op & NTR