How To Prevent MAP Violations As Brand Owners

MAP violations can be irritating for many brand owners. Especially the ones who do not rely on self-monitoring when it comes to MAP violations can have really hard times when situations hit the court. Brand owners with no self-monitoring pricing policies can have an extremely hard time proving their innocence in front of antitrust laws. Brands who rely on solely their retailer’s reports on such policy violations can be tricked or fooled by the inferior intentions. All in all, not having a self-monitoring method for MAP protection can cause many troubles.

If there is an automated MAP monitoring software like PriceRest, brand owners can keep up with their monitoring in a sustainable way. With the advanced technology of PriceRest, brand owners will be provided with updated and automated data regarding their MAP policies.

There is a little detail when it comes to MAP violations. A MAP violation may not be an isolated and one-time event. Unregulated MAP policies may cause more than one violation by different retailers. When a retailer does not see any sanction after a MAP violation, others can follow in their footsteps. It is easier for retailers to get into such violations if there are no sanctions. And if a brand owner does not regulate their pricing policies and creates a ground for violations, retailers will follow. Many retailers seek price cuts for a competitive edge. And such price cuts can affect the MAP policies of a brand. If a brand lets pricing policy violations happen with no sanctions, retailers will not respect the brand, in terms of policies. MAP policy violations may create a chain reaction from retailers. They would lower the prices against the MAP policies, by knowing that there will be no enforcement.

If there is no enforcement when it comes to MAP policies, such violations can cause price erosions that can diminish the value of brands’ products. A regular stream of MAP violations can normalize diminished price points for consumers. Even though brand owners take action after such violations, consumers might still expect lower prices for products. And it can affect the perception of potential and actual customers when it comes to the products. This situation might create an unreliable image for the brand.

Pricing policies can have power only if there are enforcements for them. If there are no consequences for violations, they mean nothing. Preventing violations can only occur if it is good enough for monitoring and sanctions. Monitoring such events should be made by brand owners to seek out equal ground for retailers.

Policy violations may create a domino effect on brands’ general image. And such an effect will not do good for any brand owners. It can create diminished values of products and an unreliable image for brands. To stop such effects, brand owners should create reliable, automated, and updated self-monitoring services. Such updated data from retailers can be provided consistently, with the help of PriceRest.

If you also want to monitor your retailers or sellers on e-commerce, join PriceRest today. And see What PriceRest can do for you.