Dethmers Mfg. (Demco), a manufacturer of RV towing equipment, has announced the adoption of a retail price policy this week in order to protect dealer margins and ensure long-term strength of the Demco towing products.
Demco began the creation of this policy after the acquisition of the SMI Braking systems last year. The policy includes select part numbers from Demco’s Kar Kaddy, Victory Series tow bar, Supplemental Braking (SMI) and fifth wheel line of products.
“For more than 35 years, dealers have supported Demco, and we wanted to put this policy in place to support them,” said Doug Northcutt, Demco sales manager. “The goal is to preserve margins and brand integrity by requiring that select Demco products are not sold below a certain price.”
Demco has already received a positive response from dealers who are aware of the coming policy.
“I’m sure there will be a learning curve for everyone including us,” Northcutt said, “but we believe it will be very minimal as we have taken our time to consult with manufacturers and dealers alike in developing a policy while working with a leading firm in resale policies.”
The policy will become effective Sept. 1.
