Subaru’s Co-op Program makes good sense (cents)
In a recent trade publication to the automotive industry, Subaru is listed as the only Original Equipment Manufacturer in the business to show a profit for 2008. In addition to providing a well-made, affordable product, Subaru’s dealers are engaged in a two-part advertising program, both managed by NSI: a digital asset management media resource center (DMR) and a cooperative advertising/reimbursement program.
The advertising reimbursement portion of the NSI-provided service has met with great success and acceptance. In the first two years, claim submissions realized a 40 percent increase from before NSI’s management. In the program’s third year, ad submissions continue to grow – up 116 percent as compared to year one.
The pre-approval arena has been just as successful. Metrics in this area indicate high dealer participation and a desire to comply with Subaru guidelines. In the three years of the program, pre-approvals are up 191 percent above participation levels prior to NSI taking over the program. To date, more than 98 percent of the Subaru dealers have used the Pre-Approval Support Center, staffed by NSI.
The Bottom Line: NSI has provided the opportunity and the necessary tools for Subaru dealers to be engaged in promoting these award-winning vehicles in an active, brand-enhancing method. Subaru advertising can be effectively monitored, while maintaining the Subaru brand image.
