The Minimum Advertising Price (MAP) is the lowest price on any given product which the manufacturer or the brand has set for advertising. The main goal of minimum advertising price is to cut competition around several products and to ensure that the product is not going to be advertised below the set price. So, if you are seeking to start your Amazon business and establish trustful relationships with your suppliers, you should adhere to several rules concerning MAP pricing. First of all, let’s try to understand why brands need MAP Policy.
What is a MAP Policy?
The Necessity of MAP Policy
By setting up a MAP Policy, you automatically protect your brand from negative consequences like advertising your high-quality products at a very low price. Imagine a situation that you are successfully selling a popular product for $100, and suddenly find out that there is a seller who offer your product for $70. It is logical that the customer will prefer to get that product for a lower price and you can not even affect this situation. It’s just customer instinct. But if you have thought about it in advance and set a Minimum Advertising Price on your products, you can easily avoid such kind of unpleasant situations. On the other hand, if sellers break your MAP policy and advertise your product for less than what it should be, some customers might think that your products aren’t top quality, which will in turn devalue your brand and that’s something none of us want to see!
Can a MAP Policy Violation Become a Reason for IP Complaints?
Of course, it can. MAP policy violation is a perfect undercurrent for an Intellectual Property Violation. If you have sourced your products from retailer stores and do not have a brand’s permission for selling their products on Amazon, you can easily get suspended once the brand catches you in selling their product. Imagine what will happen if you sell the products for less than what that brand’s MAP dictates! That’s insult to injury, because you’ll get in trouble not just for selling an unauthorized product, but also selling it for much less than it should be sold. Therefore, it is better to work solely with authorized distributors or directly with the brands in order to avoid Intellectual property issues within your business. Once you get the authorization, you need to discuss MAP policies and figure out how the brands want to approach their pricing.
At Got Suspended?, we can help you deal with any issues you might face on Amazon, whether it’s MAP, or IP complaints, we can cover pretty much all suspension grounds! So, don’t hesitate! Book a call with us now and we’ll talk over what we can do for your case.