MAP- HOWTO PREVENT VIOLATION OF MAP? MAP is the lowest price that a retailer can advertise a product for sale, or the price at which a retailer agrees not to sell the brand or product. Manufacturers advise online retailers to use legal or informal agreements to protect their brand and to sustain their business. Example- If a sunglass brand sets a minimum price (MAP) of $200, then online retailers must sell the product at $200 or higher, If not it means retailer violates MAP policy.
It is important that suppliers remember the MAP agreements can be a great way to protect themselves from price violations. So using map monitoring can help you see the positive results. · Building fair competition on different channels · Great brand identity · Maintaining a steady relationship with retailers · Small and medium-sized online shops can compete more effectively with larger ones by offering support · Maintain stable margins · Prevent lower prices How suppliers can adequately monitor retailers to prevent MAP violation? As a new habit, you need to routinely monitor retail prices. This will help you to establish a consistent and manageable monitoring process. This research can be done manually by adding URL’s to a spread sheet and reviewing all product pages each day. It may seem like a good way to do it, but is it efficient? Consider that you’re selling large quantities of products to retailers. It will take you a lot of time and effort to manually track hundreds of prices. Price tracking software, which is faster and more efficient than manually monitoring the prices retailers assign to your brand, makes it much easier to do this. You might have signed a contract regarding minimum advertised pricing. But if you don’t know enough information to verify that they are, your business is at risk.