MSRP, MAP, ESP -- What do prices mean anymore?

Started Dec 6, 2007 | Discussions thread
Bob Helm
New MemberPosts: 13
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Re: MSRP, MAP, ESP -- What do prices mean anymore?
In reply to deuxcent, Dec 7, 2007

Nobody wants to pay list and everyone wants a discount. MSRP serves no purpose other than to show you you got a discount.

MAP is the price that the manufacturer has set as the lowest price that it will pay for advertising on a model. It is designed to help manitain the "Status" of a product, allow retailers to make a profit on their gear and let the consumer have an idea of the actual retail price they can expect to pay. Almost all retailer advertising is paid using Co-op funds from the manufacturer where the manufacturer pays part or all of the cost of the ad. Since they are paying they get to set the rules they will pay under.

ESP is when the manufacturer tells a publisher what the MAP will be when the item hits the street.

A retailer is free to sell anything at any price they want to sell a Nikon D3 for $200 they are free to do so but they cannot advertise it at that price. If a retailer violates MAP priceing not only will they not get paid for the ad they will most likely not get any product either

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