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Component-Based Versus Attribute-Based Pricing

Users to select the features of two types of customizable products:

• Products with components. Customers can choose the product's components. For example, when customers buy a computer, they can choose the monitor, keyboard, and mouse they want.
• Attribute-based products. Customers can choose the product's attributes. For example, when customers buy a shirt, they can choose its color.

In most cases, it is clear which one of these two a product is. However, in some cases, the product administrator must decide whether to let users select options as product components or as attributes. For example, if a PC monitor comes in three sizes, 14-inch, 17-inch, and 21-inch, then those monitors could be offered as:

• Three separate products with three different prices, which are used as three component products within a customizable PC product.
• One monitor product with a Screen Size attribute that includes three values (14, 17, and 21), which is used as one component product within a customizable PC Product.

You should decide how to set up products with components, in a way that will be effective as the product hierarchy and its circumstances change.