Dealers continue to report increased profit margins due to implementation of the Torklift International Resale Pricing Policy.
“Because certain Internet retailers sell at very low prices, it leads to price and brand erosion and also greatly affected brick-and-mortar dealers that have larger margin requirements to meet, ” Torklift International General Manager Jay Taylor said. “RPP (Resale Pricing Policy) is able to protect our brand as a high quality product and provides our dealers with a level playing field.”
The company introduced the policy on Valentines Day in an effort to protect brand value and maintain margins by establishing a minimum resale price that applies to both advertised price and actual selling price.
Torklift implemented the policy for all of its products. Dealers have reported margins increased 1,741 percent for FastGuns turnbuckles, 306 percent for Torklift Tie Downs and 265 percent for StableLoad suspension stabilizer.
“Those selling our products who have not complied with the pricing policy remain on our Do-Not-Sell List in an effort to protect our dealers and continue success of the policy,” said Torklift International President Jack Kay.
Currently 99 percent of Torklift International dealers are in compliance with the policy.
According to a news release, Torklift implemented the policy in response to continued concern and feedback from the RV Aftermarket Association (RVAA) Executive Conference. The RVAA Dealer Council reported a loss of up to 40 percent of sales to discount online dealers.
For more information or to sign up to be a Torklift International dealer visit www.torklift.com/rpp.