Minimum Advertised Price Policy
ITSKINS INT LIMITED, a Hong Kong corporation, has adopted the following Minimum Advertised Price Policy (“MAP Policy”) for all ITSKINS products, except as designated by ITSKINS from time to time in writing. ITSKINS’s goal in establishing this policy is to avoid degradation of, or damage to, the premium quality and image of its products and to the trademarks, other marks, brands or trade names under which its products are sold. ITSKINS intends to sell these products only to Distributors/Resellers that do not advertise products below the Minimum Advertised Price set forth in this policy. ITSKINS may choose to enforce this policy through action up to and including termination of a Distributor/Reseller or other authorized distributor that advertises any ITSKINS Product below the stated Minimum Advertised Price as set forth below. This MAP Policy will be applied and enforced as follows:
1. The minimum advertised price (“MAP”) for each ITSKINS Product shall be the price designated as the MAP on the current ITSKINS price list as issued by ITSKINS from time to time, or, if no MAP is listed for any ITSKINS Product, the MAP will be the Manufacturer’s Suggested Retail Price (“MSRP”) for that ITSKINS Product minus 15% of that MSRP. Current price lists may be obtained by contacting a ITSKINS sales representative. The MAP for one or more products may be amended from time to time and may be suspended periodically for national, regional and/or seasonal promotions sponsored by ITSKINS. Changes to the MAPs will be posted on the ITSKINS website designated by ITSKINS and will supersede the MAPs on the price lists. It is the responsibility of distributors of ITSKINS Products to monitor the designated ITSKINS website for updates.
2. This MAP Policy applies to any and all forms of print and electronic media, direct mail, and audio and video communications.
3. ITSKINS considers any price advertised below the MAP a violation of its MAP Policy. For example, if a product with a MSRP of $34.99 is advertised at or below $29.74, this is a violation of the MAP Policy.
4. The MAP Policy only applies to advertised prices of ITSKINS Products, and not the prices at which ITSKINS Products are actually sold. The dealer is free to resell ITSKINS Products at any price of its choice.
5. ITSKINS reserves the right to modify, suspend, or cancel the MAP Policy, or modify any or all MAPs at any time. ITSKINS will provide notice of any such modifications, suspension or cancellations on the designated ITSKINS website. It is the responsibility of each member of ITSKINS’s distribution network to monitor the ITSKINS designated website for updates.
6. If a dealer advertises prices below those required by this MAP Policy, ITSKINS shall take appropriate action to enforce this MAP Policy, including but not limited to one or more of the following actions:
a. Notify the dealer of the non-compliant advertisement with a reminder of ITSKINS’s MAP Policy on ITSKINS Products.
b. Suspend the dealer’s right to sell the ITSKINS Product in question for a period of time (e.g., thirty (30), forty-five (45) or ninety (90) days) depending on the breadth and severity of the MAP Policy violation, commencing from the date of notice from ITSKINS;
c. Suspend the dealer’s right to sell the entire ITSKINS series designation in question (e.g., Brilliance, or Karat, etc.) for a period time (e.g., thirty (30), forty-five (45) or ninety (90) days) depending on the breadth and severity of the MAP Policy violation, commencing from the date of notice from ITSKINS;
d. Suspend the dealer’s right to sell the entire ITSKINS product portfolio for a period of time (e.g., thirty (30), forty-five (45) or ninety (90) days) depending on the breadth and severity of the MAP Policy violation, commencing from the date of notice from ITSKINS;
e. Suspend the dealer’s right to sell the entire ITSKINS product portfolio for a period of not less than one (1) year, commencing from the date of notice from ITSKINS; and/or
f. Terminate the Distributor/Reseller Agreement or other relevant agreement between ITSKINS and the member of the distribution network who has violated this MAP Policy.
7. ITSKINS will make all decisions concerning compliance with and enforcement of this MAP Policy unilaterally. This MAP Policy is a unilateral declaration of policy by ITSKINS and does not reflect or constitute an agreement between ITSKINS and any Distributor/Reseller, any other authorized distributor, or any other person or entity, and by issuing this policy ITSKINS is not seeking any such agreement.
ITSKINS MAP POLICY FAQs
What are examples of communications to which the MAP Policy applies?
The MAP Policy applies to all catalogs, coupons, coupon codes, promo codes, flyers, inserts, magazines, mail order catalogs, mailers, postcards, newsletters, newspapers, posters, billboards, television and radio advertising, internet-based advertising including without limitation, newsletters, e-mail solicitations, call for newsgroups, Internet “lists,” website advertising, Internet auctions, and electronic billboards.
Do dealers need to sign the MAP Policy indicating that they agree with its provisions?
No. The MAP Policy is not an agreement between ITSKINS and the dealer. It is a policy that ITSKINS is unilaterally implementing for all members of the ITSKINS distribution network in order to maintain the integrity of ITSKINS products. The purpose of this document is to inform all members of the ITSKINS distribution network that there are certain consequences for deviating from the published MAPs of ITSKINS Products.
Does the MAP Policy affect selling prices?
No. Dealers are free to resell ITSKINS Products at any price of their choice. The MAP Policy only provides requirements relating to advertised prices for ITSKINS Products.
Where can I obtain information on suspensions or modifications to the MAPs, or for updates to this MAP Policy?
Any temporary suspensions or modifications of the MAPs, as well as any modifications to the MAP Policy, will be posted on the designated ITSKINS page. Any member of the ITSKINS distribution network may also contact their ITSKINS sales representative. No individual notices will be sent with respect to MAP suspensions or modifications, or changes to the MAP Policy.
How are “drop in cart” or “call for pricing” advertisements treated by the MAP Policy?
Advertisements and offers to sell that do not include a particular price, but require further action that implies a price that is lower than the MAP price violate the MAP Policy. Examples of such unauthorized advertisements include “drop in cart” pricing, “add to cart” pricing, “click to see” pricing, and “call for” pricing. Also prohibited are advertisements that indicate that discounts may be available when a customer takes specific action that goes beyond buying the product, such as “special price option” or “name your price.”
What are examples of advertising that does not violate the MAP Policy:
Examples include:
- Advertising discounts where the resulting price is at least as high as the MAP for the ITSKINS Product.
- Advertising that does not state a price directly or by reasonable implication.
- Advertising that promises to “meet or beat” a competitor’s price.
- Advertising that offers free or low interest financing, deferred payment, free shipping, free installation or some other free service for a ITSKINS Product, provided that the advertisement does not subtract the value of the offer or free service from the advertised price of the ITSKINS Product.
- Advertising for ITSKINS Products that are clearly designated as “refurbished,” “demo” or “used.”
- Advertising that includes an offer of a gift card when a ITSKINS Product is purchased and that provides for a future discount on subsequent purchases from the dealer.
- Advertising of a blanket price reduction, applicable store-wide, so long as no ITSKINS Product is shown in the advertisement with the discounted price.