Frustrated by MAP pricing

[FishyFishFish]

I am in need of a few bits for my new tank, some of which are quite expensive so I thought I’d wait for this weekend to see if there were any president’s day sales. I was delighted to see that some of the more popular vendors are indeed having sales this weekend.

Then I looked for the items that I needed and almost all of them are restricted due to MAP pricing. In fact, having looked through these sites it appears that the majority of the popular items are not discounted, although there are some savings on a few products.

I am pretty disappointed with this. I don’t blame the vendors but this is blatant price-fixing from the manufacturer’s, which is illegal in many countries.

I know it would never happen but it would be great if all of the big sellers could get together and have a sale that disregards the MAP policies. The manufacturer’s wouldn’t be able to refuse to supply all of them!!

 

[mapleredta]

Buy used then.

 

[mdb_talon]

I would argue that sellers use it as an excuse not to discount those prices so they have zero reason to band together and sell below the MAP price... they dont want to. MAP pricing does NOT mean a retailer is restricted to a minimum price for that item. It purely deals with the minimum price they can advertise such item; generally this has been accepted to only include external advertisement and that in-store (or on their own website) they can advertise a price below MAP. Many online retailers go further just to be safe and dont show the price until in the cart. In any case MAP does not prevent selling items cheaper than the MAP price.

If a manufacturer sets an RPM then that is setting the minimum retail price. RPM is actually illegal under some states antitrust laws while a MAP is generally legal across all states.

 

[ReefBeta]

Pretty sure that's not what price fixing means. A single manufacturer always have the ability to set MAP, it perfectly legal and not reefing specific. There are always cheaper alternative there. If you don't agree on the price, don't buy them. I have yet to see there is any certain equipment from a certain brand in this hobby that is a must have. Every kinds of equipment have non-MAP alternative, which is usually cheaper also. Best and cheap usually don't mix anyway.

 

[fade2black]

So capitalism upsets you?

 

[bday1335]

I work in sales, and without MAP pricing, there would be no money to keep these companies floating. If you are upset with pricing, find a cheaper option, don't get mad at the brands that are protecting their future.

 

[shred5]

I am in need of a few bits for my new tank, some of which are quite expensive so I thought I’d wait for this weekend to see if there were any president’s day sales. I was delighted to see that some of the more popular vendors are indeed having sales this weekend.

Then I looked for the items that I needed and almost all of them are restricted due to MAP pricing. In fact, having looked through these sites it appears that the majority of the popular items are not discounted, although there are some savings on a few products.

I am pretty disappointed with this. I don’t blame the vendors but this is blatant price-fixing from the manufacturer’s, which is illegal in many countries.

I know it would never happen but it would be great if all of the big sellers could get together and have a sale that disregards the MAP policies. The manufacturer’s wouldn’t be able to refuse to supply all of them!!

It is so large retailers do not put smaller retailers out of business and then they jack prices sky high when no one is left or demand what a manufacture sells for. It protects the manufacturer.

 

[JCTReefer]

In its simplest form, minimum advertised pricing (MAP) is the lowest price a retailer can advertise the product for sale. To clarify, this does not refer to the lowest price they can sell it for in their store—just the lowest that they can show online or in an advertisement.

Before you ask, yes, this is perfectly legal under U.S. antitrust statutes. Since minimum advertised pricing only relates to “advertised” pricing and does not tell a retailer what they can sell it for in their store, this practice is legal and serves as a protection for the manufacturers. If customers begin to see they can buy your product for $699 versus the $999 MSRP, they quickly surmise that the MSRP is inflated or too high. And when that happens, no one will ever pay $999 again. Thus, making the value of your product (as a manufacturer) much less which then leads to brand erosion.