AVON TYRES U.S. RETAIL MINIMUM ADVERTISED PRICE (MAP) POLICY

Purpose

GOODYEAR OPERATIONS S.A. (“Goodyear“), has developed its Avon Tyres products to deliver maximum performance and superior value to surpass consumers’ demands. In an effort to preserve the integrity of the brand and the reputation for providing consumers with high value products, Goodyear is unilaterally establishing a Minimum Advertised Price (“MAP”) Policy effective (DATE TBD) January 1, 2025 for all Avon Tyres, (“Avon Tyres Products”).

Introduction

This MAP Policy establishes advertised pricing standards for Avon Tyres Products. Retailers of Avon Tyres Products to consumers must comply with the MAP Policy in order to be eligible for participation in national consumer rebates, use of Avon Tyres Intellectual Property, and distribution of the Avon Tyres Products.

The MAP Policy applies only to the minimum prices advertised to the consumer and does not apply to the price at which the products are actually sold. This MAP Policy does not establish maximum advertised prices. All Retailers may advertise Avon Tyres Products at any price in excess of the minimum advertised price established for such product. Each Retailer is free to set its actual resale price for any product independently. Goodyear and its employees have no authority to define what resale prices must be or to otherwise interfere with the establishment of resale prices.

Policy Coverage

This MAP Policy covers Avon Tyres Products that are offered for sale in the United States. Although Retailers remain free to establish their own resale prices, Goodyear will, without assuming any liability, unilaterally impose sanctions as described in this policy against Retailers who advertise the Avon Tyres Products at prices below the MAP. Goodyear will not discuss any conditions of acceptance related to the MAP Policy, as it is non-negotiable and will not be altered for any Retailer.

“Distributor,” as used herein, is defined as a person or entity that purchases Avon Tyres Products directly from Goodyear, who sells to Resellers and Retailers, but not consumers.

“Reseller,” as used herein, is defined as a person or entity that is not a Distributor who sells Avon Tyres Products to consumers.

“Retailer,” as used herein, collectively refers to a Reseller.

Scope

The MAP Policy applies to all advertisements of Avon Tyres Products including, without limitation:

• Print advertising such as posters, flyers, newspaper and magazine advertisements, print inserts, Internet websites, and other directories, with the exception of in-store advertising.
• Broadcast advertising such as radio and TV.
• Direct advertising such as e-mails, catalogs, flyers, coupons, newsletters, direct mail pieces, and faxes, whether mailed, hand delivered, or shipped in-box with the Product.
• Internet sites, social media sites, internet banners and pop-up ads.
• Club membership sites that do not require a password entrance, third-party marketplace websites (Amazon, eBay, Facebook marketplace etc.) and third-party shopping tools. Avon Tyres Products can be auctioned on internet auction sites as long as the Reserve Price is equal to or greater than the minimum advertised price and is displayed as part of the advertisement.

 

The MAP Policy does not apply to business-to-business advertisements.

The current listing of Avon Tyres Products included in the MAP Policy and the applicable minimum advertised prices are published through our distributor partners. Avon Tyres Product listings, MAP prices and the MAP Policy may be changed at any time at Goodyear’s sole discretion. Changes to the MAP price will be effective 30 days following the official announcement through our distributors.  Retailers will have 30 days to update pricing on digital platforms and 90 days to update printed materials after the announcement date. Retailers are responsible for remaining current with the MAP Policy. All Distributors shall provide notice of the MAP Policy to all of their Resellers by providing a copy of this MAP Policy.

Guidelines

• A Retailer shall not advertise Avon Tyres Products in any advertising at prices less than the MAP.
• Prices displayed on any website are considered advertising and must comply with the MAP Policy until the Avon Tyres Products are placed in the shopping cart by the consumer. The shopping cart is considered part of the check-out process and any price displayed in the shopping cart or on pages associated with the check-out process fall outside of the MAP Policy. Website features such as “click for price,” “strike through,” “add to cart for price,” “call for price,” “chat for price,” or “email for price,” pre-formatted e-mail responses, such as automated bounce back e-mails, and other similar features are considered to be communications initiated by the Retailer (rather than by the consumer) and constitute advertising under the MAP Policy.

 

Avon Tyres considers using any language, symbols or images to suggest there may be a lower price in cart as a violation of the MAP Policy.

• It shall not be a violation of the MAP Policy to advertise that a consumer may “call for information,” “email for information,” “chat for information,” or similar language. Actual prices charged or offered to consumers may be provided in direct response to such requests by telephone, email, or chat message. Such communications, which are responses to communications initiated by the consumer (rather than the Retailer), shall not be considered advertising under the MAP Policy.
• It shall not be a violation of the MAP Policy to advertise in general that the Retailer has “the lowest prices” or “will match or beat its competitors’ prices,” or to use similar phrases, so long as the Retailer does not include any advertised price below the MAP and otherwise complies with the MAP Policy.
• Bundling and Value-Added Offers: All bundles must be advertised at or above the cumulative MAP of the Avon Tyres Product. If an Avon Tyres Product is bundled with a non-Avon Tyres product, the advertised bundle price must be at or above the MAP of the Avon Tyres Product plus the price of the non-Avon Tyres Product, if sold separately.
• Gift Cards and Rewards Programs: Gift cards and rewards program points can be offered to consumers who buy Avon Tyres Products, as long as the gift cards or rewards points are offered on all products (Avon Tyres Products, non-Avon Tyres Products) sold by that Retailer. The gift card or rewards points cannot be applied on the initial purchase transaction; it must be applied to a future consumer purchase.
• Free Shipping: Free shipping can be offered to consumers who buy Avon Tyres Products, as long as free shipping is offered on all products (Avon Tyres Products and non-Avon Tyres Products) sold by that Retailer at that time period.
• Discounts and Savings “Call-Outs”: Advertisements for Avon Tyres Products may include category, percentage or specific dollar amount discounts. If such discounts result in a net price lower than the MAP of an Avon Tyres Product, then such advertisement will be a violation of the MAP Policy.
• The MAP Policy also applies to any activity which Avon Tyres determines, in its sole discretion, is designed or intended to circumvent the intent of the MAP Policy. All Resellers are liable for all advertised prices across the web, including the price on Google Shopping. It is the Resellers responsibility to correct any errors or issues directly with Google.

 

Enforcement

Goodyear will manage the enforcement of the MAP policy through its own staff, outside consultants and/or agents. Goodyear will unilaterally make all determinations relating to a violation of the MAP Policy in its sole satisfaction. All violations are subject to Goodyear review and approval. There will be no negotiations or appeals. Retailers have no right to enforce the MAP Policy. A Retailer is responsible for its advertising, and Goodyear does not have the resources to determine whether a violation is intentional or accidental. Advertising or otherwise marketing for sale Avon Tyres Products in any manner that is factually incorrect or otherwise misleading or illegal is prohibited. Advertising efforts for all Products and manufacturer information must be accurate and current. Resellers may not directly or indirectly identify themselves as the product manufacturer.

Violations

1^st Violation – If a reseller violates this policy, the Avon Tyres customer will receive a documented notice that a 1^st violation has occurred. Corrective action must be implemented within 48 hours for electronic advertisements (email/internet sites) and the relevant production cycle for print and other advertisements, but no later than thirty days. If the reseller fails to come into compliance within that time period, then that failure will be deemed a 2^nd violation.

2^nd Violation – The Avon Tyres customer will receive a documented notice that a 2^nd violation has occurred. The Avon Tyres customer will be placed on a non-ship basis for a period of thirty (30) days from the date of the notice with regard to all Avon Tyres products.

3^rd Violation – The Avon Tyres customer will receive a documented notice that a 3^rd violation has occurred. The Avon Tyres customer will be placed on a non-ship basis for an indefinite period of time from the date of the notice with regard to all Avon Tyres products.

Do Not Sell List

If a Distributor is caught selling to a Reseller on the “Do Not Sell List”, the Distributor may be subject to suspension of Avon Tyres Product shipment for up to two (2) years from the date of the violation.

Promotions

Goodyear reserves the right to run national promotions of their products. Goodyear encourages Retailers to utilize the national promotions to their advantage while providing a high level of customer service to the consumer. If the retail promotions reduce the consumer price below the minimum advertised price, the Retailer must continue to advertise at the minimum advertised price while showing the national promotion discount as a separate discount line item in the cart. The Retailer is allowed to use verbiage to advertise the rebate on the main page. Avon Tyres may authorize independent promotions at their sole discretion.

Examples of MAP Policy Violations

Value Added Programs

Value added programs (other than those sponsored by Avon Tyres) can violate the MAP Policy in certain situations. The MAP Policy is violated when the advertised aggregate price of a product and the value added goods is less than the minimum advertised price of the Avon Tyres Product plus the total price of the value added goods.

MAP Policy Violation Example: MAP for the Avon Tyres Product is $245.00 and the normal retail price for a second product is $105.00. The advertisement states that the consumer can purchase the Avon Tyres product for $245.00 and gets a second product for free or at less than its normal retail price.

Shipping and Handling

Advertising free or discounted shipping and handling is permitted so long as the advertised price of the Avon Tyres product is not shown net of the value of the free or discounted shipping and handling. The advertised net price of the Avon Tyres Product must not be less than the MAP.

MAP Policy Violation Example: MAP for the Avon Tyres Product equals $269.00.

Advertising states a retail price for the product of $249.00 plus $20.00 shipping and handling. Example of No MAP Policy Violation: The advertising states a retail price for the Avon Tyres Product of $269.00 plus free shipping and handling.

 

Damaging or Brand Devaluing Terms

Any terms that may be perceived as diminishing the value of the Avon Tyres Brand and/or Products may not be used such as “Overstocked” and “Inventory Blowout” in any advertisement.

No Agreement

The MAP Policy does not constitute an agreement between Goodyear and any Retailer.

Compliance with the MAP Policy is not evidence of any kind of agreement between the Retailer and Goodyear. The MAP Policy is in addition to, and does not supersede or limit in any respect, any other terms or conditions of any existing agreement between Goodyear and the Retailer.

Policy Modifications

Goodyear reserves the right at its sole discretion to modify, suspend, or discontinue the MAP

Policy at any time in whole or in part or designate promotional periods during which the terms of the MAP Policy change or designate periods of time during which the MAP Policy is not applicable. These announcements will be published via our distributor partners.

Authority

Goodyear alone is responsible for enforcing this Policy and will do so unilaterally. Avon Tyres’ designated MAP Policy Manager is the only person authorized by Avon Tyres to communicate MAP Policy updates, changes, or decisions. No other Goodyear representative or agent is authorized to confirm compliance with or amend this MAP Policy. Goodyear will not communicate with any Retailer regarding another Retailer’s advertising practices. GOODYEAR SALES PERSONNEL HAVE NO AUTHORITY TO MODIFY OR GRANT EXCEPTIONS TO THIS POLICY.

Policy Communications
All questions and inquiries regarding the MAP Policy should be in writing and submitted to the MAP Policy Manager at NAME@COMPANYNAME.COM.