Glossary: Pricing

MAP pricing

MAP stands for minimum advertised price: the lowest price a reseller may publicly advertise for a brand's product. It is set by the brand in a policy or agreement, and it limits advertised prices rather than the price a reseller actually charges.

  • Reviewed by Hoa Nguyen, Senior Marketer. Last reviewed
  • Last updated

In detail

Brands set a MAP so that resellers do not undercut each other in public. A shop that advertises a product far below the others pulls shoppers away and weakens the brand's value. A MAP keeps ad prices, product pages and marketplace listings in line, and protects the margin of resellers who invest in service and stock.

A MAP is not the same as MSRP. MSRP is the price the brand suggests for a sale, and MAP is the floor on what a reseller may advertise. A product can have an MSRP of $60 and a MAP of $50. MAP policies usually say where they apply (websites, ads, marketplaces, email), what counts as advertising, and what happens after a breach, such as a warning or a pause in supply.

MAP policies are agreements between a brand and its resellers, and the law on pricing arrangements differs by country, so it is worth asking a lawyer before you write one. A MAP covers advertised prices only, which is why a policy normally defines what counts as advertising and says how it treats a price shown in the cart or in a private quote.

To run a MAP policy, publish it to your resellers, keep a list of who agreed to it, and review reseller listings on a schedule. Show MSRP and MAP next to the wholesale price on a line sheet or price list so resellers see the price they should advertise and the margin it gives them.

Example

A brand sets an MSRP of $60 and a MAP of $50 for a speaker. A reseller may advertise it at $50 or more. A reseller who advertises it at $45 is in breach of the policy and receives a warning.

Learn more

Read the Wholesale pricing hub for guides, use cases and setup docs, or the complete Shopify B2B guide.

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