When a manufacturer and a retailer selling the manufacturer’s product split the cost of an ad promoting sale of the product at the retailer’s store. The term co-op budget refers to the amount of money a manufacturer has set aside to help fund ad campaigns by their retailers, distributors, and others selling the product.

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1. When a manufacturer and a retailer selling the manufacturer’s product split the cost of an ad promoting sale of the product at the retailer’s store. The term co-op budget refers to the amount of money a manufacturer has set aside to help fund ad campaigns by their retailers, distributors, and others selling the product.