One of the largest areas of marketing is a co-op style of advertising for dealer networks and franchisees. These programs utilize the power of group buying to allow each local business to get a better marketing result; and more bang for the advertising dollar. These programs can also have a downside. Waste can erode the return for the large budget spend. Manufacturers and franchisors continually question the effectiveness of marketing programs every year if the programs produce a good return on investment. The use of big data is now solving these problems. It is disrupting the franchise and co-op marketing model.
In 2018, a research project was launched to examine a national co-op marketing program and determine how to fix it. Over the later part of 2018 through 2020 ;a data science team began examining every aspect of the co-op marketing program. They measured what resulted in a sale and what resulted in waste. The results of the research were eye-opening. “It took thousands of hours of research to uncover exactly where the waste was occurring”; said Chris Smith of All Contractor Marketing. “Everyone had hunches but finding a way to correctly measure the process was challenging”.
The team initially set out to complete the research and then publish the results in a public relations effort. But near the end of the test, they had a change of plans. “We quickly understood that these solutions represented a very large economic opportunity for our agency. So we decided to hold the results as a closely guarded business secret”, stated Chris.
Big Data Visualization
The team also uncovered some very powerful enterprise-level data visualization. This could immediately discover geographic regions that were lagging and needed more attention to gain market share. “It is a game-changer; it takes the unknown of co-op marketing and transforms it into a clear visual path to gain market share. From there it just becomes a math formula. Your goals include a 4% market share increase, our tools tell you how to get there”, Chris responded.
It’s obvious disrupting the industry as Chris’ team at All Contractor Marketing just achieved the 160th position of the Inc. 5000 fastest growing companies in the US. They are presenting the programs to manufacturers and franchisors now and putting dedicated teams in place to start the new marketing programs. “We know that each product is unique and that to correctly execute the program and meet the company goals, we have to put dedicated teams in place to partner with each company for a highly effective long-term solution”, said Chris.
If you have additional questions about starting the franchise/manufacturer co-op marketing programs that All Contractor Marketing is rolling out across the world, you can reach the team by using the contact information below.