20 Apr How to Solve the Problem of Inconsistent Pricing Across Channels
If your business is meeting its revenue goals, you might not think that having price differences across various channels is a cause for concern. After all, you’re making a profit and things are going well. But it’s never good to get complacent, and inconsistent prices can actually pose a threat to your brand, with trusted retailers dropping selling your product, and your bottom line.
Why You Should Be Worried About Inconsistent Pricing
When brick and mortar retailers and online sellers are busy competing with each other over prices, it confuses the consumer and strategically lets retailers know that you’re not supporting their efforts in marketing your products. You risk the threat of your brand becoming a commodity due to the inconsistencies.
Having your channels compete against each other does not promote a long-term sustainable selling strategy. Building your business around trusted partners who you support by maintaining price parity aligns all sellers and enables them to compete on a level playing field.
How to Eliminate This Issue
If this sounds like something your business could experience, you’ll need to address it sooner rather than later. And there is a proven way to fix this problem – with automated MAP monitoring.
The first step is to establish a minimum advertised price (MAP) policy for your business if you haven’t already done so. Find tips for getting started with a MAP here. Once you and your antitrust attorney have finalized your policy, in order for it to be effective, you’ll need an automated monitoring system to do the bulk of the work for you. That’s where ORIS Intel’s PROWL comes in. PROWL is a software as a service that crawls the Internet for you multiple times a day and reports on MAP violations, making it easy for you to enforce your policy.
With an enforced MAP policy, your inconsistent pricing problems disappear. Each retailer will have to comply with the advertised price you specify or you may determine that they will no longer be permitted to sell your product. Now you can successfully forecast revenue and production based on your trusted sellers, all while sending a clear message that you’re committed to supporting your channels and protecting your brand.
For a smooth transition into MAP monitoring and enforcement, get in touch with ORIS Intel today.