Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!
Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!

A Primer on Cooperative Advertising and Outdoor Ads

A Primer on Cooperative Advertising and Outdoor Ads is a guest post brought to you from ADstruc.

What is co-op advertising?

Cooperative, or co-op, advertising is a common practice where two parties share the cost of an advertisement for their mutual benefit. Co-op is popular with franchises, retailers & manufacturers, and local businesses.

Germain Dermatology & Coolsculpting co-op ad

All photos courtesy of Todd Turner, Adams Outdoor Advertising

Larger parties (e.g manufacturers, brands, and franchisors) typically covers the lion’s share of an ad’s cost via reimbursement or in trade. This makes local advertising affordable for your business, while simultaneously lowering out-of-pocket and inventory costs.

Is it worth it?

Absolutely! Co-op programs often reimburse 50-100% of eligible media costs.

If you’ve ever seen an ad for your “Tri-state,” “Area,” or “Local” Honda/Toyota/Ford/Lincoln dealer — that’s co-op at work. And co-op programs aren’t always controlled by corporate parents. Local auto dealers representing the same brand often pool their marketing funds together to get volume discounts on media.

Even major national brands use co-op to help promote partnerships.

Dr Pepper & Coca Cola co-op ad

What kind of media can I buy with coop?

Depending on the program, there can be a wide range of eligible media: TV, Radio, Outdoor, Print - even Google Adwords & banners.

Home & health services, hardware & furniture stores, and food franchises are three of the biggest users of outdoor co-op advertising. In all of the examples shown, both the local business and the franchise logo are prominently featured. This co-branding is a common requirement.

TriCounty Roofing & CertainTeed co-op ad

Why should I spend my co-op dollars on outdoor ads?

Outdoor advertising brings customers in the door, reaches people on the move, enables awesome creative, and is very affordable. With that kind of return, it’s the perfect medium for co-op!

The CPM chart and billboard pricing map below illustrate how outdoor stacks up against other media and the average costs in several markets: CPMs for competitive media - courtesy of OAAA

Four week billboard costs in major DMAs

Where can I find out about co-op programs and eligibility?

Check with your manufacturer, franchise, or brand rep to see if they have a co-op program. Even if they don’t, you may be able to negotiate a beneficial deal. After all, co-op benefits both parties! You can also use Recas to investigate co-op opportunities.

How do I buy outdoor advertising?

At ADstruc, we make buying billboards and outdoor media a snap. Our planning and buying tools are intuitive and put you in control. Because nobody knows your business like you do.

Check out ADstruc online or give us a call at 646.692.4966. Our team is ready to help you plan and execute an amazing coop campaign!

How buying a franchise is different from a start-up

History has shown that a struggling economy encourages entrepreneurship, which leads to a significant increase in new start-up businesses. But what if you are a hard-working professional with limited business knowledge and resources? You are motivated and more than willing to do the work, but you need a roadmap to guide your efforts. In that case, franchising may be a good option for you.

Why Do Companies Franchise?

The most successful entrepreneurs, however, eventually come to recognize that achieving long-term success requires that they step back and put in place the right systems, processes, and people to expand their company beyond what any one individual -- no matter how motivated and sleep deprived -- could possibly manage on his or her own. Once a business owner sees what's possible when employees take on operational responsibilities that free management to actually manage instead of act like their own employee, he or she quickly understands the enormous power that scalability means for a business.

The Kardashians: Marketing Lessons for Every Business Owner

Kardashian matriarch Kris Jenner has been criticized for “pimping out” her children, but the mother’s shrewd dealings may be a smart move. Of the 10% manager fee Kris takes from her family members’ earnings, daughter Kourtney says, “We’d have to give it to someone else; I’d rather keep it in the family,” and Kim states, “She has this vision for us, and she makes it happen.” In fact, it has been reported that Kris “makes it happen” to the tune of $65 million a year. What can business owners learn from this? When the goal is to build wealth, keep it in the family – all of it.