Minimum Advertised Price (MAP) Policy
The following is a restatement of our MAP Policy followed by the revised version now in effect to increase the success of full compliance by all our channel partners.
1. Minimum Advertised Price (MAP) Policy
1. Each Goulds Professional Dealer Association (“GPDA”) member is free to independently decide whether or not to follow the MAP Policy. However, XYLEM may in its sole discretion remove any or all of the benefits provided to GPDA Members in the event of non-compliance with our MAP Policy.
2. We have included a MAP pricing schedule; see Attachment 1 for your reference. Xylem reserves the right to modify the MAP pricing schedule at any time.
3. Xylem does not regulate pricing – Distributor is free to sell at whatever price it chooses.
4. Violating our MAP Policy will result in graduated enforcement by loss of access to buying programs, special payment terms, discounts, rebates, promotional marketing programs.
5. Failure to comply can ultimately result in termination.
2. Revised MAP Policy
The following revised MAP policy, effective immediately, supersedes and replaces the current MAP Policy (with the following revised MAP policy referred to as “MAP Policy”):
1. Xylem does not regulate your sales pricing – distributors and all resellers are free to sell into the market at whatever price they choose.
2. Xylem maintains a minimum advertised price policy (“MAP Policy”) respective to Goulds Water Technology branded products to create an even playing field for all distributors and resellers and to help support brand equity
3. Xylem makes certain benefits available to its distributor and GPDA members, such as access to buying programs, special payment terms, discounts, rebates, and promotional marketing programs (collectively “Benefits”). At the end of each calendar year, Xylem will review each distributor’s and GPDA member’s compliance with the MAP Policy as well as any Benefits each distributor and GPDA member have notionally accrued for the given year. To the extent the distributor or GPDA member was in strict compliance with the MAP Policy for the entire year, any notionally accrued Benefits for the given year will vest in the distributor’s or GPDA member’s account with Xylem. Anyone involved, either directly or indirectly, in any violation of the MAP Policy is subject to XYLEM, in its sole discretion, taking the following actions:
a. For distributors: graduated enforcement, including permanent forfeiture of all notionally accrued Benefits, eventual agreement termination, and available legal recourse.
b. For GPDA dealers and other resellers: enforcement, including permanent forfeiture of all notionally accrued Benefits and available legal recourse.
c. Loss of warranty-related credits and support.
4. MAP Policy violation enforcement action will extend to everyone involved, either directly or indirectly, in each violation.
5. Attachment 1, for your reference, contains a MAP pricing schedule. Xylem reserves the right to modify the MAP Policy pricing schedule at any time.
6. Xylem’s MAP Policy implementation and enforcement measures include:
a. MAP Policy compliance obligation hard-coded into all distribution agreements.
b. A new MAP Policy Violation Tracking Forum accessible to all members. Violations and Violators will be listed with 30 day grace period notifications for rectification.
c. An updated GPDA membership policy that includes MAP Policy compliance requirements.
d. Distributor requirement to ensure sales of Goulds Water Technology branded products include an express written requirement that their customers comply with the MAP Policy.
e. Use one of the below statements on distributor’s invoice documents:
The sale of Goulds Water Technology (GWT) equipment is conditioned on purchaser’s agreement to comply with GWT’s Minimum Advertised Price Policy (www.goulds.com/mappolicy) in any resale of the GWT equipment.
The sale of the items on this invoice is conditioned on purchaser’s agreement to comply with all applicable manufacturer Minimum Advertised Price policies, which can be found here (distributor MAP Policies), in any resale of any of these items.
f. Updated Xylem tracking and enforcement tools and protocols for efficient and impactful MAP Policy compliance.
Note: We will not provide any support, including warranty services, for products sold in violation of our MAP Policy. This Policy will be added to our Warranty – Consumer and Commercial.