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Glossary /

Co-op Advertising Fund

Definition

A co-op advertising fund (co-op fund) is a supplier-provided budget that accrues based on the buyer's or partner's purchasing volume and can be spent on qualifying advertising or marketing activity, subject to submission and approval of evidence.

A co-op advertising fund (co-op fund) is a supplier-provided budget that accrues based on the buyer's or partner's purchasing volume and can be spent on qualifying advertising or marketing activity, subject to submission and approval of evidence.

How co-op funds accrue and get spent

A supplier commits, say, 2% of purchases as co-op fund. As the buyer purchases, the balance builds. Qualifying advertising activities (subject to guidelines on channels, brand use, geography) are submitted for reimbursement against the balance.

The unused-balance problem

Co-op balances routinely expire un-drawn because the buyer's marketing team is not aware of the balance, cannot easily produce the compliance evidence, or misses the submission window. Live balance visibility is what converts co-op from a compliance nuisance to a marketing asset.

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