Matrix pricing

Grouping customers or products based on the type of customer or product they represent is referred to as matrix pricing. Price types 1 through 4 represent matrix-pricing types. Types 1 through 3 are often referred to as contract pricing types and are most commonly used, but they require a greater amount of records.

For example, you might set up contract pricing for your customer, ABC Lighting, for a product they buy from you. This would be a Customer/Product (type 1) price type, which requires one record for each customer and product combination. If you have 20 customers set up with customer/product pricing for 50 of your products, you would have 1000 records.

For your convenience, keep your type 1, 2, and 3 records to a minimum. Type 4 records, Customer Price Type/Product Price Type require the least amount of setup and maintenance time by grouping both customers and products.

For example, a type 4 price record for all electrical contractors and the light fixture group would reduce the number of price records from 1000 to 1.