Conditions · 4 min read
What Does MSRP Mean?
Manufacturer's Suggested Retail Price, and why it is a reference point rather than a value.
The definition
MSRP is the price a manufacturer suggests a retailer charge. It is a suggestion, not a market price, and it is set before any discounting, clearance, or competitive pressure occurs.
Why manifests use it
MSRP is a stable, consistent reference across a whole manifest, which makes it useful for describing a lot's scale. It is not a measure of what the goods will sell for in any specific channel.
Using it responsibly
Compare your lot price to MSRP to understand the discount, then ignore MSRP entirely when forecasting revenue. Use your own channel's actual selling prices for that.