Cooperative advertising or co-op is advertising where a retailer or a wholesaler share the costs of an advertising campaign with the manufacturer of the product being advertised. This type of relationship is demonstrated best by larger retailers who carry products from various consumer brand partners. And co-op marketing programs are strongest when social media influencers are involved. Influencer marketing campaigns can effectively position influencers to showcase the product while driving viewers to the specific retail partner to purchase.
“We’ve seen many large retailers and brands lean into influencer marketing as one of their main strategies for their co-op campaigns. It allows both sides to gain additional campaign dollars and thus advertising power to promote a product or line of products, specifically available from the larger retailer,” explains Joslyn Goodroad, EVP, Sales and Strategic Partnerships with Find Your Influence. “Co-op marketing programs allow each entity to contribute marketing dollars to invest a larger spend, directly benefiting each organization.”
Using influencers within a co-op marketing program not only benefits advertising budgets for both partners, but it also produces strong results. Since 2018, Find Your Influence has executed more than 175 co-op marketing programs leveraging influencers. In 2019 alone, 110 influencers created 1,858 pieces of content including blogs, Instagram posts, Instagram Stories, Facebook posts, Tweets and Pins. The results? More than 64 million impressions, a 7% average engagement rate and nearly 25,000 clicks to the brands’ websites.
“At Find Your Influence we know that influencers have a built-in, trusted audience who often rely on influencers for their reviews and recommendations,” said Goodroad. “When brands include influencers in their co-op marketing program, they reach a targeted and loyal audience, often with an affinity for one of the brands already.”
Brands can reach their target audience through a variety of marketing channels but the difference with engaging influencers is the ability to measure performance of each individual audience. Whether your performance metrics are return on investment (ROI), cost per engagement (CPE) or cost per thousand impressions (CPM), influencer marketing campaigns have very specific measurements that provide brands important feedback.
In 2018, the average CPE for an influencer campaign done via a co-op marketing program was $0.89. In 2019, that average was $1.33. With more campaigns, more influencers and increased budgets, these co-op influencer marketing campaigns have grown with exciting complexities. Find Your Influence has introduced video, including the newest post features across social platforms including TikTok and Instagram Reels, paid social amplification and different creative within content requirements, all of which have increased the quality of the content.
As co-op marketing programs evolve their influencer content, there are key voices that have provided increased value as brand ambassadors. “What the data shows is that CPE decreases as brands continue to engage repeat influencers,” explained Goodroad. “One co-op partner brand had 47% of the influencers they used do additional campaigns.” An influencer’s audience is more inclined to shop a brand after they’ve been introduced to it multiple times.
Promoting diversity and inclusivity is at the forefront of all Find Your Influence campaigns, including co-op marketing programs. Representation from all voices is imperative, regardless of gender, age, race, sexual orientation, body size, religion and so much more. Let Find Your Influence showcase how influencer marketing campaigns can integrate into your co-op marketing program. Request a demo today and let us find the best influencers to tell your story.