Market-Based Pricing takes the maximum retail price provided per unit, then uses the calculated discount (found by using the customer level and overall quantity) to determine the final customer price.
Setting the Part Retail Price:
- Navigate to Management Module > Parts > Manage. Select a part.
- Click Part Settings.
- Enter the Part Retail Price. This value is the maximum retail price you would charge for this part in the same units as the type of pricing you have selected on the "General" tab (also shown to the right of the box).
Example: If the Type of Pricing selected is "Square Feet" then the Retail Price to enter would be your highest retail price per square foot. Use the Discount chart on the "Pricing Tiers" tab for discounts off this price. - Click Update.
Setting up the Discount Chart Table:
- Navigate to the Pricing Tiers Tab.
- Check Market-Based Pricing.
- Select how your Quantity Breaks will be determined.
Enter your desired Quantity Breaks into the cells below. Click Save & Recalculate.
There are three ways to fill in the Discount Chart Table.
(A) Maximum Discount: Enter in the Maximum Discount. This should be the greatest discount for this Part or Part Group. Click Save & Recalculate. This discount will spread across the largest quantity break as well as all eight pricing tiers. These numbers will populate the Discount Chart Table below.
(B) Custom Discounts: Click on a specific cell in the Discount Chart Table and enter the specific discount percentage you want. Click Save Custom Discounts to apply any new discounts.
(C) Percentage Conversion Tool: Customize individual dollar amounts by highlighting the price in the cell and entering the retail amount you want to charge based on quantity and pricing tiers.
Click Convert and Save. This will override any discount percentages entered on previous steps.
- Click Use Interpolation to allow a range of discount percentage between Quantity Breaks.
