Chrysler Promotional Allowance Program. October, 2009
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1 Chrysler Promotional Allowance Program October, 2009
2 Agenda Program Overview Program Processes Advertising Rules and Examples Getting Started Program Headquarters
3 Program Overview Program Administrator: NSI Industry leader Dedicated Chrysler program staff Responsive, no-charge, pre-approval services Robust automated claims processing Comprehensive reporting 24/7 program web site documenting real-time claim activity
4 Program Overview Enrollment All active Chrysler Group Dealers are eligible for enrollment Must complete and submit opt-in form prior to sending in a claim or a pre-approval. Funds accrue based off of NEW (Type 1 or Type L) sales PAP Fund: $160 per NEW vehicle sold Bonus Fund: $90 per NEW vehicle sold Reimbursement Rates PAP Fund: 1:1 match (100%) o Dealer spends $1,000 in approved claims, reimbursed $1,000 Bonus Fund: 2:1 match (50%) o Dealer spends $1,000 in approved claims, reimbursed $500
5 Program Overview Spending/Claim Period PAP Fund: o o Spend: 3 months following accrual month Claim and required documentation postmarked (or submitted online) no later than 2 months after the last day of the month in which the ad ran. Bonus Fund: o o o Spend: 1 month following accrual month All PAP Funds must be exhausted each month in order to receive Bonus Funds. Claim and required documentation postmarked (or submitted online) no later than 2 months after the last day of the month in which the ad ran.
6 PAP Funds Process Chart
7 Using the Funds Example #1 Sept.-- Dealer sells 100 vehicles Total Fund Balance available in Oct-- $25,000 o PAP Fund.--$16,000 o Bonus Fund --$9,000 Total Ad Expenditures in Oct.--$34,000 Total Claimed in 1 month --$34,000 Total Reimbursed--$25,000 o PAP Fund --$16,000 (exhausted fund) o Bonus Fund --$9,000 (50% of $18,000) Remaining Balance--$0 Expired Funds--$0
8 Using the Funds Example #2 Sept.-- Dealer sells 100 vehicles Total Fund Balance available in Oct- $25,000 o PAP Fund--$16,000 o Bonus Fund--$9,000 Total Ad Expenditures in Oct.-- $5,000 o Remaining PAP balance-- $11,000 Total Claimed in 3 months -$16,000 Total Reimbursed o PAP Fund--$16,000 o Bonus Fund--$0 o Remaining Balance--$0 Expired Funds: o Bonus Funds--$9,000
9 Same Dealer as in Example #2 next month Oct.-- Dealer sells 50 vehicles Total Fund Balance available in Nov.-$23,500 o Total PAP funds -- $19,000 $11,000 of Sept. accrual unspent $8,000 from Oct. accrual o Bonus Fund amount accrued in Oct--$4,500 Using the Funds Example #3 Total Ad Expenditures in Nov.--$28,000 Total Claimed --$28,000 Total Reimbursed--$23,500 o PAP Fund --$19,000 (exhausted fund) o Bonus Fund --$4,500 (50% of $9,000) Remaining Balance--$0 Expired Funds--$0
10 Using the Funds Example #3
11 Submit claims by mail, fax or online submission Utilize official claim form October advertising utilizing September budget is the first month of claim activity Claim Process All claims will be processed within approximately 5 days of receipt of all required documentation Claims will receive one of the following status types once processed: Approved Missing Document Declined (either for content or too late to submit). Insufficient Funds A letter will be ed to the Dealership if claim status is: Missing Document Declined Insufficient Funds Dealers will have an additional 30 days to submit missing documentation
12 Reimbursement Process Chrysler will reimburse through the dealer Parts Account Normal reimbursement timing will be twice a month All approved to pay claims will be paid approximately the 2 nd and 4 th Tuesday of the month To increase the likelihood of a credit posting the same month as the claim submission, claims and all required documentation should be sent to Program Headquarters as early in the month as possible Scenario 1 Claim sent to Headquarters: January 4 Scenario 2 Claim sent to Headquarters: January 18 Claim approved: January 11 Claim approved: January 25 Claim reimbursed: January 26 Claim reimbursed: February 9
13 Pre-Approval Process Advertising can be submitted to Program Headquarters prior to publication or airing Dealer or agency can submit No-charge Unlimited use Ensures advertising content will be eligible for reimbursement Turnaround time 24 hours or less
14 Eligible Media TV & Cable Radio Newspapers Magazines Direct Mail / Circulars Billboards Internet Advertising o Search engine marketing o Banner ads o Must be signed up for basic Chrysler Digital Website to receive reimbursement for Internet Advertising o Not eligible: Dealer web sites and lead generators Fees Not Eligible for Reimbursement Agency Fees and Commission Production Costs Eligible Media
15 Required Documentation Television: Radio: The storyboard or script imprinted with the ANA/TVB or ANAS/CAB (cable) signed by a station official and notarized by someone other than the official plus an original station invoice reflecting dates, times, cost of each spot and any earned discounts or agency commission (including the agency name). The script imprinted with the ANA/RAB signed by the station official and notarized by someone other than the official plus an original station invoice reflecting dates, times, cost of each spot and any earned discounts or agency commission (including the agency name). Newspapers: The actual newspaper advertisement bearing the publication name and ad date plus an original publisher s invoice reflecting the ad size, cost Direct Mail An original mail piece, along with an original printer s invoice reflecting quantity and cost and Circulars: as well as postal receipts reflecting the quantity mailed and mailing cost. Internet: For web banner advertising, the required documentation is the printout of the Internet creative and an original invoice. For search engine marketing, the following documentation is required: the invoice from the search engine company reflecting the costs incurred, a list of the key words purchased on the search engine and a screen shot of the search engine site showing a successful search using one of the key words. Billboard: An onsite photograph of the installed billboard plus an original invoice reflecting the location, number of billboards, posting dates and costs.
16 Advertising Rules % of the ad or spot must be allocated to support NEW or CPOV Chrysler, Jeep or Dodge vehicle advertising. No combined ads with any other manufacturer will qualify. 2. At least 75% of the ad space (or running time) must be dedicated to NEW Chrysler, Jeep or Dodge vehicle advertising, and up to 25% of the ad space (or running time) can be dedicated to CPOV Chrysler, Jeep or Dodge vehicle advertising. Only dealers that have either completed a CPOV sale or retained CPOV inventory during the month that the advertising ran may advertise CPOV vehicles.
17 Advertising Rules TV Spot with other manufacturers
18 Advertising Rules 1 Direct mail piece with service offers
19 Advertising Rules 3. The NEW vehicle portion (or message) of the ad or spot must be clearly separated from the CPOV portion,with a solid, uninterrupted box or line. 4. The CPOV portion of the ad or spot must include the CPOV logo. 3 4 Newspaper ad with no separation and no CPOV logo
20 5. The ad or spot must include all Chrysler Group logos representing the dealership s franchise(s) or a national or regional campaign logo. Advertising Rules 6 Newspaper ad with no logos and used vehicles. 5
21 Advertising Rules 6. No traditional used vehicles may be present in the advertising. If traditional used vehicles are present anywhere in the ad, the entire ad will be ineligible for reimbursement. 6 Newspaper ad with used vehicles
22 Approved Advertising Examples
23 Getting Started Opt-In Form Dealers need to complete and submit opt-in form prior to sending in a claim or a pre-approval. Fact Sheet All program details in Fact Sheet October Budgets from Sept. sales Budget amounts for both funds will be/were mailed to each dealer principal at the beginning of October. Web Site Will be live very end of October/early November you will be notified All forms and fact sheet,along with Program Headquarters contact information, are posted on the site.
24 Program Headquarters Contact Information Getting Started Chrysler PAP Headquarters c/o NSI 2300 Locust Street St. Louis, MO (phone) (fax)
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