oboloo Glossary

Exclusive Retailer Agreement

oboloo Glossary

Exclusive Retailer Agreement

An Exclusive Retailer Agreement is an agreement between a manufacturer and a retailer that stipulates the conditions under which the retailer will be the sole seller of the manufacturer’s products. This type of agreement allows the manufacturer to control pricing and distribution of their products while giving exclusive access to a specific retailer. It can also help to ensure growth, as the retailer is likely to invest more in marketing and promotion of the product since they have no competition. An Exclusive Retailer Agreement sets out clear terms, such as the duration of the agreement, the type of product covered, guidelines on advertising and promotional activities, and the consequences of not fulfilling the agreement.