Map Pricing

Information about Map Pricing

What is MAP?

Quite simply it stands for Minimum Advertised Price. This is the lowest price allowed to publically display a product for sale that is covered by the MAP pricing policy. Many vendors have enacted MAP as a way to maintain pricing integrity in the market, especially in online advertising, enabling their authorized Resellers to typically compete for business on an other than price scenario. One of the primary justifications for MAP indicates the only way to properly represent the brand is to allow for a respectable margin so the resellers make enough money to support and represent the brand to the level expected by the manufacturer.

When manufacturers enact a MAP policy they typically require Resellers to execute some type of agreement authorizing the Resellers to market and sell their brand and display their logos etc. Most Manufacturers with a MAP policy have a system for reporting violations and some also use third party firms like Net Enforcers to shop the web and even purchase products and track back serial #s to the source. When a Reseller is found in violation of the MAP policy then they are at risk of losing the rights to sell that product or brand.

There are several derivations of MAP and it is important that you are aware of the specific vendor policies as even a 1 cent mistake can cost you the entire product line under certain circumstances. Some vendors have specific items that they have even more strict rules about and may refer to that as a “Hard MAP” which typically means there is zero flexibility but other items in the line may allow for some derivation of the rules.