In this white paper, ILSR examines the growth of internet retailing, Amazon’s increasing share of this market, and the rise of free-riding as online retailers gain sales from consumers who browse and ask questions in brick-and-mortar stores and then buy online. The paper looks particularly at the challenges these trends pose for specialty toy manufacturers and independent toy stores.
The paper presents several recommendations for manufacturers, retailers, and policy-makers. It offers a close examination of Minimum Advertised Pricing Policies (MAPP) as a solution for manufacturers looking to ensure that the value brick-and-mortar stores contribute to their brand awareness and product promotion is supported by adequate margins and not undermined by free-riding internet purveyors.
Download: The Growth of Internet Retailing: Implications and Strategies for the Specialty Toy Industry