Customization and its influence on Minimum Advertised Price (MAP) monitoring


The concept of “personalization” is defined in the dictionary as the “creation of custom or tailored prices or services to meet the specific needs or preferences of individual customers.”



While personalization has long been a part of the retail industry, it is currently generating increased attention due to the growing depth and breadth of available retail data. Moreover, the emergence of cost-effective automated tools has simplified the processing and utilization of this data. This technological advancement is likely to impact the way pricing offers are extended to consumers and, consequently, the manner in which MAP policies are supervised.

Both retailers and brands are making substantial investments in a variety of personalization tools aimed at enhancing their engagement with loyal customer communities and delivering more individualized customer experiences across all interaction points. In Chapter 6 of our eBook, “Pricing Intelligence 2.0: The Essential Guide to Price Intelligence and Dynamic Pricing,” retail analyst Kevin Sterneckert, a former vice president of research at Gartner, delves into the intricacies of personalized pricing.

From the brand’s standpoint, personalized customer offers are significantly influencing the way they oversee MAP policy compliance.


Brands now confront some of the most critical questions, including:

Does the “hidden price” presented to a consumer upon login violate the MAP policy?

Are products offered to segmented clusters priced below MAP? For example, does the price presented to customers in a specific ZIP Code breach the MAP?

Should we reconsider the definition of “advertised” in our Minimum Advertised Price policy?

Are there tools or applications available to assist in this regard?

As personalization may increasingly become the standard rather than the exception, brands must invest in solutions capable of addressing this challenge.