WHAT IS A MAP?
MAP stands for the minimum advertised price. MAP policies can be created by the brands. In this policy, the retailer advertises their product by pre-decided minimum price. The brand also provides a handsome profit margin to retailor by setting the minimum advertised price.
If in case, the retailer does not agree to advertise the product on giving (MAP) price, the brand should restrict that retailer’s product sales by using legal rights.
MAP policies are the kind of policy between the distributor and manufacturer. Due to this policy, the distributor should be bound to sell a product at a minimum price.
It is a kind of policy that recites the low price to the distributor. It can advertise the product at a cheap and low price by the retailer for sale. MAP pricing means offering a low or reasonable price of the product but it does not mean the distributor and retailer do not make a profit and give up all the profit for the satisfaction of the customer.
GET INSIGHT ABOUT MAP MONITORING & IT’S ADVANTAGES
Minimum Advertised Price monitoring is a kind of action, in which online products price should be monetized. It can not only monetize the price but also help to build the reputation of a brand. Due to the Map monitoring retailers should be responsible for their wording and always be stand on the agreement. It can be working in a manual way as well as it also working automatically. The companies should choose the above ways according to their requirements. Without monitoring MAP pricing the prices of the products become doomed.
Nowadays digital techniques can be used in every business so the brands also want that kind of technique by which they monetize the products selling. But it does not mean that retailers did not gain profit give up all profit margins for the satisfaction of the customer.
MAP IS IMPORTANT FOR SALE
MAP policy helps the customer. The retailers should be informed about the cheap trading price as a result, in promotion sessions the product can be set as a minimum trading price. The most common reason for creating MAP policy by brands is that the policy should be a help to make a healthy and strong relationship between the retailer and brand.
By the MAP policy retailer created a different level field also but, remember one thing it is important to adjust the MAP policies in the right path which is not affected on the product’s life cycle.
BENEFITS OF MINIMUM ADVERTISED PRICE POLICY
The MAP policy is one of the best options for the brand companies and also recommended by brand, distributer as well as mostly prefer by the manufacturer. They all prefer the MAP due to its effective and positive results.
One of the most important benefits of MAP is that it helps in avoiding the pricing war. It also helps avoid loss-leader products and keep consistency in competition.
The above discussion concludes that MAP policies and MAP pricing strategies are effective and beneficial for brands. To earn profitable margins from products selling and track the reports in real-time the best action plan for online retailers is to use AI-based monitoring software.