By pooling your resources you will be able to buy substantially more space or time in the advertising medium of your choice. Or you may choose to run the same volume of advertisements and simply utilize the 50 percent reimbursement as a cost savings. More often than not a retailer will use cooperative advertising to pump up the size and frequency of advertising during a promotion or peak season. The manufacturer often supplies recommended layout and copy for cooperative ads. In some cases, specific elements will be required in order to receive the cooperative support.
Cooperative advertising can be a real benefit to a retailer.
However, you need to make this decision carefully. There are a few constraints on cooperative advertising. First, you will have to make some compromises in the advertisement to accommodate your ideas and the manufacturer's or wholesaler's messages. In some cases, this will mean pre-approval of your ads. If your advertisement met the criteria set forth by the manufacturer or wholesaler you will be reimbursed.