PD Pricing Setup overview

Complete these tasks before you set up price and discounting records:

• Create system records.
• Select administrative options to set the parameters for your pricing system.
• Define other table values to establish the framework of your pricing system.

After you determine how you are going to use pricing levels, you can set up the actual pricing in PD Pricing Setup and specify the customer's level in Customer Setup, along with the line discount level and the whole order discount level defaults when an order is entered. You can define eight different price types for customers and products in PD Pricing Setup. Similar to stocked products, this function also supports nonstock products for all pricing levels selected in SA Administrator Options-Products-Pricing. You can enter pricing records for nonstock items after you accept a warning message. The nonstock pricing records are available in order entry and price lookups. You cannot create a pricing record for a build-on-demand kit based on rebated cost or rebated margin.

Rebates due from foreign currency vendors are processed and displayed in the vendor's foreign currency. Use care to ensure that any calculated amounts are in the vendor’s currency so that rebates are calculated correctly.

Customer price levels

The customer price levels are created in Customer Setup or Customer Ship To Setup. This allows level repricing in Sales Order Entry to provide a new price from a different level on the same Price/Discounting record. For example, you might assign all new customers a pricing level of 9. Long-term customers are assigned a level 1. Then, based on the amount of time your customer has purchased from you, other customers are somewhere in the middle. You might also use level pricing to rank customers. Level pricing rank is based on the type of industry, size of operation, or the amount of business they bring to your company.

Matrix pricing

Matrix pricing uses price types 1 through 4. If you are using pricing based on customer or product groupings, you must set them up in SA Table Value Setup. These are price types 2, 3, 4, 6, or 8.

For example, a select customer or group of customers always get a certain discount off anything they purchase. You could use a type 5 or type 6 record that applies to anything the customer, or group of customers, purchases. Another example is letting employees purchase any stock item at cost plus 10%. You can either set up a type 5 record for each employee, or you could set up a type 6 record for all employees. This pricing method requires the least number of records to set up and maintain. If you can purchase products for a special price for any customer, use type 7 and 8 records.

Quantity breaks

When you offer a quantity break, you are giving your customer a better price for purchasing a higher quantity of a product. Records based on quantity breaks always take precedence over the customer price levels.

Pricing modifier

You can associate a pricing modifier with a customer pricing type record. This allows pricing adjustments to products for the customer and product based on sales rankings. In addition, if a vendor on sale rebate is found that applies to an item, you can choose to allow or prohibit the pricing modifier.

Key fields

When you add a customer or product pricing record in PD Pricing Setup, the key fields that are displayed vary based on the price type you select.

To display the Warehouse, Region, Division Group, and Ship To fields in PD Pricing Setup, you must select the Pricing by Warehouse, Pricing by Region, Pricing by Division Group, and Pricing by ShipTo/Job options in SA Administrator Options-Products-Pricing.

During order entry, warehouse pricing records are used only if the warehouse on the pricing record matches the warehouse used for the order.

In addition, regional pricing records are used only if the warehouse specified during order entry is associated with a region in Product Warehouse Description Setup.

The Ship to/Job field is only displayed for price types 1, 2, and 5.