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Hiring the Right Firm for RDA Administration

RDA Administration is time consuming and often frustrating for those who do not understand it. Hiring the right firm for Retail Display Allowance (RDA) Administration can reduce a retailer’s frustration and ensure they receive all funds they have coming to them. The retailer can rest assured that each quarter, when it is time to claim their RDA, the right firm will have prepared the required reports, submitted them and file the claim; the retailer does nothing but wait for payment.

An agreement is made between magazine publishers and retailers selling their magazines in their stores. The retailer promises the publisher that their publications will receive prominent display in the stores in exchange for a retail display allowance. The displays will be either on a large newsstand with their magazines placed at the front or near the checkouts where many customers make impulse purchases. Currently, RDA is between 6% and 10%

The right RDA Administration firm will have experience. A retailer may be able to find an RDA Administration firm that charges less for their services, but are they sacrificing needed experience to save a bit of money? Is that firm able to get the most allowable funds for the store? By going with a lesser experienced RDA Administration firm, a retailer may be losing money each quarter.

An experienced RDA Administration firm will have the knowledge needed to work with both large retailers and those that are smaller. The administrator will have access to the contract with the magazine publishers and will be able to see what RDA rebates are promised and ensure the funds are disbursed as contracted.

Another task the right RDA Administration firm handles is tracking magazines sales. They record which magazines a retailer has an RDA contract with, which magazine titles are sent each month and then track how many of each title is sold. This will ensure that all magazines sales are accounted for when they prepare the required reports. Of course, a retailer may choose to have an employee handle this task, but they take the chance of some sales slipping through the cracks and losing their rebate for those magazine sales.

Many retailers wonder if there really is a need to hire a RDA Administration firm to handle these tasks and whether they would be able to handle these tasks in-house. That is an alternative that retailers may consider and some may even attempt for a short time. What they soon realize is that hiring an RDA Administration firm to do these tasks is more cost effective than doing these tasks on their own.

Along with ensuring the retailer receives all rebates they should get, the right RDA Administration firm understands how to earn more RDA rebates with proper magazine displays. They can help retailers arrange magazines to ensure those that are most popular and offer the highest RDA are featured to encourage customers to purchase them. They will also be able to offer advice on special displays during holidays or major events so the right magazines will be featured.

RDA Administration is a specialized skill that not everyone understands. Hiring and working with the right RDA Administration firm, such as the experts at Premiere Retail Services, Inc., can make a huge difference in the amount of the RDA rebates the retailer receives as well as reduce the frustration and time required to do the task in-house.

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