Co-Op Deductions Audit and Claims

International Beauty Group - Co-op Deductions Audit and Claims

Background

The client is an international beauty group operating in North American and European markets, conducting multiple joint marketing campaigns with Amazon annually, involving numerous Co-op terms and cost-sharing arrangements.

Challenges

Over years of partnership, the client gradually discovered numerous “Co-op Deductions” (marketing expense deductions) in their accounts that lacked internal approval. Due to the diversity and frequency of Promotion activities, the lack of tools for effective contract review and expense reconciliation led to deductions for some “unauthorized activities,” creating a financial gap over time.

Adjustment

The brand’s finance department decided to implement an automated audit mechanism to validate the compliance of all Co-op deductions at the clause level and conduct retrospective verification of historical records.

Solution

Through Flint, the system automatically matches each Co-op charge with contract terms, campaign IDs, and corresponding POs, flags anomalies, and assists in generating complete dispute documentation to support claims.

Results

After partnering with Flint, we helped them identify over $93,000 in unreasonable deductions and successfully recovered more than 75% of the funds.

Contact us to learn how we can help your business audit and claim Co-op Deductions.