So you created a MAP policy to protect your brand and products from predatory pricing and excessive discounting of unauthorized sellers. But now that you’ve rolled it out, you find that it’s not working and you have no idea why. Perhaps it’s due to one, or worse, all of the following reasons MAP policies fail:
You have a Generic MAP Policy
No one MAP policy is perfect for every business because different businesses have specific goals, circumstances, and relations with resellers to take into account. That generic MAP policy you copied online might not be enough to safeguard your brand. Your MAP policy should perfectly align with your needs and contain specific rules your authorized resellers must adhere to when advertising.
Your MAP Policy isn’t Crystal Clear
Mainly, it needs to state clearly what constitutes MAP violations and what resellers are allowed to do. It must be user-friendly and easy to read and understand. While you could make all sorts of rules, provided that they’re legal and won’t harm your resellers’ businesses, you must make your MAP guidelines clear to easily follow them. In addition, your policy should specify the consequences of not following your rules, which brings to the next subject — MAP policy enforcement.
You’re Not Monitoring and Enforcing your MAP Policy
Your MAP policy is only as good as the work you put into its monitoring and enforcement. Unfortunately, MAP policy enforcement is the most tedious, time-consuming, and challenging part of implementing your policy. Fortunately, there’s software for that. If you need something more thorough and extensive monitoring, there are subscription services for automating your monitoring and enforcement tasks.
You Didn’t Get Legal Help
Are you entirely certain that your MAP policy is in line with state and federal antitrust laws? If not, then you need to revise your MAP policy to consider these laws to avoid running into trouble with the law, and safeguard your business and authorized retailers.
Drafting and implementing a MAP policy — not to mention monitoring and enforcing it for the first time — could seem quite intimidating. This is especially true since you have to take into account your business needs and stay on the right side of the law, but it can be done. If the scenarios above seem familiar to you, start by righting your wrongs and then go from there.