American Bass Adopts MAP Pricing

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Press Release (edited): Cleveland-based audio equipment and accessories manufacturer, American Bass USA, has implemented a minimum advertised price (MAP) policy to address the unauthorized sale of American Bass products on e-commerce sites such as Amazon and eBay.

American Bass adopted the policy after learning its equipment and accessories were being promoted by online sellers at prices below the minimum price “the company determined to be fair to its dealers, distributors and customers,” it said.

“These practices are in direct violation of the agreements we have in place with our sellers,” said Gurwin Ahuja, Vice President.  “We take these matters seriously since selling below MAP undercuts our dealers’ and distributors’ prices, making it difficult for them to successfully compete in the marketplace.”

The implementation of the new policy has resulted in a 64% decline in products being sold below MAP price since the beginning of the year.

Ahuja said, while the MAP policy has been in effect since early this year, the company began aggressively enforcing it last month. It sends out violation notices and said it will take legal action if necessary.

“The amount of discounting was pretty significant. It hurt the brand and made it hard for our dealers to make money. We’re very pleased with the results in taking this action,” Gurwin said.

 

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