Great Day, a leading American manufacturer of aluminum motor sport and powersport products, recently experienced some setbacks in expanding their business to more distributors because they did not have a minimum advertised price (MAP) policy in place. Upon implementation of a new MAP policy and partnership with ORIS Intel for monitoring and enforcement, Great Day has seen a significant increase in margin and revenue, as well as a jump in enthusiasm from potential large retailers and distributors.
2XU, a leading athletic apparel company, began noticing issues with minimum advertised price violations online about 3 years ago when they started selling directly to Amazon. 2XU was over exposed in the market and their brand and margin were suffering as a result. After partnering with ORIS Intel in early 2015, 2XU has seen a significant decrease in MAP violations and number of Amazon sellers, as the company has targeted ideal authorized dealers to work with and reduced the number of anonymous sellers distributing their products. They’ve even used this success as a springboard to create a new strategy for managing their channel mix to drive sustainable revenue and grow margin.
There’s plenty of advice out there on how to increase revenue in your business, but one thing that’s often left out of the discussion is the effect of MAP policies. Creation and implementation of a minimum advertised price policy can lead to sustainable revenue growth – for you as the manufacturer and also for your best retail partners. Read on to discover how this process can affect your business in a positive way.