Aeromotive is now implementing a Unilateral Pricing Policy (UPP) that will establish a Minimal Retail Price (MRP) for all of its products.
This new pricing policy is designed to curb price slashing among Aeromotive retailers and eliminate unlawful counterfeit product sales, according to the company.
“Likewise, it will allow all Aeromotive resellers to become more profitable in this highly competitive business environment,” the company stated in a news release. “In order to remain in good standing with Aeromotive, from the date of implementation of the UPP, Aeromotive resellers will not be allowed to advertise or sell Aeromotive products below the company’s MRP.”
Aeromotive will be utilizing the services of the Brand Protection Agency (BPA) to administer and enforce the new UPP. BPA will utilize proprietary software to search websites for violations, send notifications of violations, and track the number of violations. Violations or refusal to participate in the Aeromotive UPP, according to the company, could result in the loss of, and is not limited to:
- Annual advertising cooperative funds
- Privilege to use Aeromotive intellectual properties
- Privilege of being listed on Aeromotive’s dealer locator
- Ability to purchase Aeromotive products
All Aeromotive warehouse distributors have been asked to review their pricing and ensure that it conforms with the MRP, as the UPP will be strictly enforced, according to Aeromotive.