Maximus1000 - 12:03 am on Dec 22, 2010 (gmt 0)
Strict MAP enforcement is very beneficial to my business. I have a few brands that I sell that are very strict with their pricing and work to take down unauthorized sites or sites that are breaking the rules. Unfortunately there are few brands that say they have MAP pricing rules however they do not enforce them. I have found that we make a much larger profit margin on the brands who enforce MAP pricing, and much less on those that do not. I would rather sell 1 item at the MSRP map price rather than 3 at a discounted price.
I had a big problem about a year ago with a particular manufacturer whos products we were selling on our site. We had just negotiated with them to buy 30K of inventory and we would receive 10K free. It was a good deal for us as sales of this companies products were going well. Just a week after we made this large purchase a competitor opened shop offering huge discounts on this same brand, well below MAP. I reported them, and the manufacturer said they were aware of this site and said they are no longer selling to them. However they are still up and running, and we had a very difficult time selling through this large batch of inventory. The problem is that we had to abide by the MAP rules even though the other site didn't putting us in a very hard situation. Thats why I fully support MAP policies as long as they apply to everyone and are strictly enforced.