This workshop was presented at the LSA17 event in San Diego, February 27 - March 1, 2017.

1. Co-Op Breakout Session
Tuesday, Feb 28, 2017

2. Welcome &
Introductions

3. Objective
An INTERACTIVE discussion
about HOW TO leverage Co-Op to
drive revenue & margin GROWTH,
and win new customers.

4. Agenda
• A Few Contextual slides
• LSA Co-Op Process Guide
• Discussion & Q&A

5. The Opportunity?

6. $40-$50B
Budget
est. Co-Op Budget from
Brands
70%
Digital
% of Brands Now
Reimbursing For Digital
Ad Products
40%
Unused
est. Unclaimed Ad
Budgets
60% NOT
Digital
% Co-Op Still Allocated
to Traditional Media
Brands Need Help!
SMBs Need Help!
Understanding Local Marketing
Shifting Budgets To Digital
Co-Op- The Untapped Opportunity

7. What Do We All Want?
• Revenue (& margin) Growth strategies
• Especially Digital
• Preferably blended with traditional media
• Competitive advantage & differentiation
• Sticky products & services
• Expanded capabilities
• Contained/managed costs

8. The Challenge?

9. 4 Critical Barriers To Success
• Complexity
• Processes, programs, lack of standards
• Competency & Capabilities
• Capacity
• Cost

10. Co-Op Challenge- Complexity,
Competency, Time/Effort, Cost to Scale
Digital Media Company/Digital Reseller Processes
Brand/Manufacturer Local Marketing Processes
Marketing
Fulfillment/Operations Billing/Accounting
ServiceSalesSales Ops
AccountingCompliance & ApprovalCo-Op Mgmt.Marketing
3rd Party Service Providers
Seller-side complexity- up to 6 functional organization and 10-20 Brand touch points
Brand complexity- unique program, 10-20 dealer touch points, 3rd Party Providers

11. The Solution

12. LSA Co-Op Business Process Outsourcing
(BPO)- People, Process Data & Platform
Digital Media Company/Digital Reseller Processes
Brand/Manufacturer Local Marketing Processes
Revenue & Customer
Strategy & Planning
Sales & Marketing
Support
Claims, Admin &
Accounting
Support
Ad Ops &
Fulfillment Support
Marketing
Fulfillment/Operations Billing/Accounting
ServiceSalesSales Ops
AccountingCompliance & ApprovalCo-Op Mgmt.Marketing
3rd Party Service Providers
Service Bureau People, Processes & Platform
LSA Recas Platform & Database
(2200 Brand Programs)

13. LSA Co-Op BPO Playbook-
4 Strategic Processes
Marketing
Fulfillment/Operations Billing/Accounting
ServiceSalesSales Ops
Digital Media Company/Digital Reseller Process
Revenue & Customer
Strategy & Planning
Sales & Marketing Support
Claims, Admin &
Accounting Support
Ad Ops & Fulfillment
Support
1 2 3 4
Joint Strategy, Goals &
Plans for Co-Op Success
Enable Sales & Account
Teams
Ensure Approvals &
Compliance
Support Claim s& Prove
Value-add
• Market and Account level
Co-Op research & analysis
• Ad Products mapped to
Brand Programs
• Offers/Campaigns
• Pre-Approval
• Leads & Lead Supplement
• Sales enablement
• Fulfillment process
mapping
• Compliance criteria
• Compliance controls
• Claims package production
• Direct claiming option
• Program Accounting &
support

14. Service Bureau Account Management Structure
Account Mgmt. Team
Additional Support & Fulfillment Services
Fulfillment Center Delivery Teams
LSA/Recas Manufacturer & Brand
Program Database
LSA/Recas Application
Service Bureau Delivery Processes
Revenue & Customer
Strategy & Planning
Sales & Marketing Support
Claims, Admin & Accounting
Support
Ad Ops & Fulfillment Support
1 2 3 4
Lead Gen &
Sales
Approvals &
Compliance
Claims
Processing
Client
Support &
Admin
Brand
Management
Tech &
Systems
Account Management
(Client facing)
Delivery Management
(Internal)
Tech &
Integration
Education & TrainingConsulting ServicesCreative Services
People
Platforms
Processes
Client Dedicated Team
Shared Services Teams-
“Fulfillment Centers”
Ad Hoc, As Needed
Services
Systems & DB To Drive
Scale & Efficiency

15. LSA Co-Op BPO Value Proposition
• We bring the people, processes, data &
infrastructure to support Co-Op
• Behind the scenes, supporting you
• We align our incentives & compensation
with your success

16. LSA Co-Op & BPO Qualifications
• 20+ years operational & platform outsourcing experience
• 20+ years Co-Op sales & processing experience
• Success within all Co-Op media types
• Relationships across the entire Co-Op value chain
• Manufacturers, wholesalers/distributors, Agency & Media
• Trusted & independent intermediary
• Leading Co-Op DB & platform- +8,000 brands, +2,200
manufacturers

17. Your Co-Op Business Partner
& Outsourced Service Provider
(The benefits of Co-Op without the investment)