One of the biggest challenges that retailers face when it comes to MAP is the snowball effect. When one retailer violates MAP and advertises a product at a lower price, it can cause other retailers to follow suit. This creates a cascading effect that can quickly spiral out of control.
The problem with this is that it can lead to a race to the bottom, where retailers are constantly trying to undercut each other’s prices in order to stay competitive. This can ultimately lead to lower profits for everyone involved. Additionally, manufacturers may also suffer as their brand equity and pricing power is damaged by this price erosion.
This is why it’s so important for retailers to stay on top of MAP violations. By catching and correcting them early, retailers can avoid the snowball effect and the negative consequences that come with it.
Bridge Below offers a solution to help manufacturers stay on top of MAP violations. Our MAP monitoring software tracks prices across various e-commerce platforms and alerts retailers to any potential violations. This allows manufacturers to quickly address any issues and maintain their pricing agreements.
MAP violations can have a significant impact on retailers and manufacturers. It’s important to stay on top of these violations to avoid the negative consequences that come with the snowball effect. Bridge Below’s platform helps manufacturers monitor and keep retailers compliant with their pricing agreements.