Emerging Trends in Resale
Price and MAP Policies
Eugene F. Zelek, Jr.
Freeborn & Peters LLP
September 7-8, 2016
Trend 1: Continuing Confusion Over Terminology/Legal
Status
 Minimum Resale Price (MRP) Program: All Offers and Actual Selling
Prices
 Minimum Advertised Price (MAP) Programs: Some Offers, But Never
Actual Selling Prices
Trend 2: Some Things Don’t Change
 Pricing Policies Won’t Solve All Problems
 Commitment Remains Essential
 Prevention: The Best Way to Avoid
Unauthorized Resellers
 Amazon Still is Not Your Friend
 Stupidity Gets You in the Soup
Trend 3: Policy Application Spread




Online Sellers as the Bad Guys
Protecting Big Retailers from Themselves
Giving Amazon a Hand with CPG
B2B Uses
Trend 4: More Retailer Pressure to Do Something
 Moaning and Groaning
 Demands and Threats
 Lost Margin Compensation
Trend 5: Online Selling Dynamics
 Jet.com, then Jet.com + Walmart
 Death of Drugstore.com and Beauty.com
 Increasing Use in B2B
Trend 6: Next Generation Pricing Policies
 Added Elements
• Distribution Restrictions
• Website/Intellectual Property Use
 New Discounts
• Basket
• Subscription
• Installation
 Cost-Plus Selling
Trend 7: Hybrid Pricing Policies
 MRP + MAP
 MAP + Promo MAP
 Maximum/Minimum Resale
Prices
Summing It All Up
Eugene F. Zelek, Jr.
Freeborn & Peters LLP
312.360.6777
[email protected]
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