Greg Gerber posted on November 11, 2008 15:26
GOSEHN, Ind. -- Keystone RV Company’s minimum advertised price policy (MAP) instituted earlier this year has won both praise and occasional disdain by its dealers.
A recent lawsuit filed against Keystone by Cooper’s RV Center in Murrysville, Penn., serves to highlight the conflicting opinions on this subject. According to Keystone President and CEO Ron Fenech, “Over the past 3 years our Internet advertising policy has evolved as we have considered a wide spectrum of dealer positions. We recognize this is a very sensitive issue to all our dealers. What we have found works best is to ultimately consider the retail customer and what puts them in the best position to have a long term positive experience with Keystone products, including service after the sale.”
Keystone’s MAP advertising policy allows dealers to sell products at the price they see fit. The MAP price reflects a significant discount off list price. The policy is designed to discourage dealers from advertising any current model year new or used product outside of the dealer’s immediate market area at less than minimum advertised price.
Advertising within the dealer’s immediate market area carries no MAP stipulations. Continues Fenech, “We have no interest in dictating to our dealers at what prices they can sell Keystone products. MAP addresses advertised price outside the dealer’s primary market area, not selling price. Our dealers are free to sell for whatever price they feel best fits their customers’ and business needs.”
Concerning the Cooper’s RV Center lawsuit, Fenech commented, “Following many discussions with this dealership in trying to convince them to comply with our MAP policy, we were forced to give the dealer a termination notice for the brand in violation. Cooper’s is an important dealer to Keystone and we wanted to avoid terminating the brand but, unfortunately, their failure to comply with our repeated requests left us no choice.”
SOURCE: Keystone RV press release