For the office of the CFO

Risk off the
balance sheet.
Revenue on the books.

A COVR promotion lets the business sell tickets, memberships or merchandise at full price, and keep full margin, on inventory that would otherwise be discounted or written off. The money-back obligation moves onto COVR's balance sheet. What you pay is a variable service fee.

On your P&L Revenue booked at full price on the day of sale. A variable service fee in SG&A. No contingent liability carried, no discount, no write-down.
The problem

Unsold inventory has two bad options.

Discount it and lose margin on every unit. Write it off and lose everything. Upper-level seats, weeknight games, a championship game with a 10,000-ticket gap: most promotion budgets are spent choosing between those two answers.

$200B+
Spent on trade promotions every year in the US alone, a brand's second-largest cost after goods.
30–40%
Of trade promotion spend goes unmeasured, unpriced and unmanaged.
20–30%
The usual markdown to move soft inventory. Margin surrendered on every single sale.
The third option

Keep the price. Keep the margin. Add the revenue.

An outcome-linked promotion delivers the demand lift of a discount without touching the tag. The cost is a service line, not margin erosion, and the obligation behind the offer is not yours to carry.

01

Move dead inventory today

Aging or slow-moving inventory that would be marked down or discarded sells at full price with an outcome attached. The promotion moves it now, instead of a fire sale later.

02

Beat the discount

A 20–30% markdown is margin out of every sale. A COVR promotion delivers the same lift for a variable service fee booked as an operating expense, while you keep full margin on every unit.

03

Drive incrementality

The offer generates sales that would not have happened at full price without the outcome hook, rather than discounted volume that cannibalizes demand you already had.

04

No liability on your books

COVR carries the contingent obligation. There is nothing to reserve against and no open-ended promise sitting on your balance sheet.

Illustrative math

It changes the shape of the revenue curve, not the margin.

Take a $250 season pass that isn't moving. Here is what each path books, per unit. Fees are illustrative and priced to each program's outcome.

Path one: 25% off

$187.50 booked

  • $62.50 of margin surrendered on every unit, win or lose.
  • Discounted volume that overlaps with demand you already had.
  • Buyers learn the price moves. Next season starts lower.
  • The write-off on what still doesn't sell is coming anyway.
Path two: COVR-backed offer

$250 booked

  • Full price recognized on the day of sale. Product margin untouched.
  • A variable service fee, priced to the outcome, booked in SG&A as the sales come in.
  • Incremental units from fans who buy because of the outcome.
  • The money-back obligation sits with COVR, not on your balance sheet.
Aligned incentive

Nothing upfront. We only win when you win.

There is no fee before the promotion runs. COVR invoices across the window as the sales come in, so the cost scales with the revenue the promotion is actually generating.

01

No cost before launch

You approve the offer. Nothing is paid until a fan buys.

02

Paid as the sales come in

The fee follows the revenue, unit by unit, across the window. A quiet promotion costs you very little.

03

Symbiotic by design

COVR does well only when the promotion hits or beats its goal. Our interests and yours point the same way.

How the mechanics hold up

Why full price holds and the liability stays off your books.

You book revenue at full price on the day of sale. COVR designs the offer, prices the outcome through regulated channels and carries the reward obligation. The same logic extends from tickets to merchandise and any other inventory.

01

Priced before launch

Pricing models size the obligation against live market data before a single unit is sold, so the cost of the offer is known, not guessed.

02

Covered as it sells

Each qualifying purchase adds to a position COVR prices and carries through regulated channels. The exposure is monitored in real time, never absorbed.

03

Settled automatically

When the trigger event is declared, rewards settle automatically against the ledger. No manual reconciliation on your side.

04

One system of record

The liability ledger holds the campaign, every qualifying transaction, the priced exposure, the trigger, the obligation and the payout, with a full audit trail.

A quieter upside, where it applies

When the reward is paid as reward dollars that recirculate in your own ecosystem (next season's tickets, the team store, concessions), the money never leaves you, and not every fan redeems all of it. This depends on being set up to administer that credit; where the fallback is a statement credit to the original payment method, that benefit does not apply. We will tell you which case you are in.

Who's behind it

Disciplined, not a gimmick.

COVR's team comes from trading, investment banking, risk and private equity. Finance teams say maybe to good creative ideas. They say yes to good creative ideas with real financial impact.

The category is becoming standard

CME Group and FutureSports have announced listed futures on sports performance indexes, with sponsors, broadcasters and stadium operators named as the intended users. COVR is the layer that makes that discipline usable inside a consumer promotion.

Read the CME announcement
Next step

See the numbers
on your inventory.

Send us the unit price and last year's revenue on the product in question, and the outcome you would tie it to. We come back with a priced program and the P&L view, usually within one business day.