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Co-Op Advertising Users are Traditionalists

by | Aug 2, 2017 | BIA, Blog, SAM, SMBs

According to BIA/Kelsey’s Local Commerce Monitor™ survey of small and medium businesses (SMBs), 14.8% of the 1,000 SMBs in the survey report using co-op advertising funds. Of these, 21.1% are franchisees or licensees of larger national companies — most owning between one and five locations.

It will come as no surprise that small businesses that use co-op advertising funds are heavy users of traditional media, including community sponsorships and direct mail. Radio also made their top ten media used list. They also spend heavily on traditional media. On average, they between 35-40% of their ad spend goes to “traditional” media, including print, broadcast, directories, sponsorships and giveaways. 25% of SMBs using co-op funds say that they get at least half of their ad budget from co-op programs. But, more than half of these co-op SMBs say that less than 1/4 of their co-op funds go towards digital advertising.


BIA/Kelsey’s LCM, Wave 20 reports can be purchased a la carte in the BIA/Kelsey eStoreOur LCM reports look at where particular SMBs (broken out by size, vertical, etc.) spend the most, as well as the top channels for marketing and advertising. Additionally, our reports provide analysis on the best product and service offers for highly coveted groups of SMBs.