Understanding Price Lists
Price lists are groups of date-controlled product prices that are defined by currency code and transaction. They are associated with business objects (by price-by key field and value pairs) and can be linked to existing price rules. These product prices are intended to replace the product list price defined in the Product Price component when they are associated with a transaction via the related business objects or price rules.
Price list-related business objects are a subset of the existing transaction price-by fields. They are used to define objects (which can be associated with a price list) to look up a list price. A price list can have more than one related business object, such as customer, customer group, product ID, and business unit.
The system uses the appropriate pricing transaction to determine the available price list related business objects. The system attempts to match a particular transaction to one or more price lists based on the transaction values and the price list related business objects. For example, if you are taking an order for customer ABC and customer ABC is defined as a related business object for a specific price list, that price list applies to this order. Furthermore, if any product on the order appears on this price list, the price from the price list is used as the base price for all further pricing calculations, instead of the product's list price. If more than one applicable list is found, the price list lookup defined for that transaction determines which price is used:
Look up in priority order.
The system performs a search to match the related business objects in the defined priority order and then selects the first list price that it finds.
Consider all prices.
The system performs a search to match the related business objects and their price lists and then selects the lowest price.
Note: Enterprise Pricer supports the definition of zero-valued (0.00) list prices in the Price List component.
After locating the base price for the product, the system performs a separate search of the price rules to find the appropriate adjustments to that price. If you haven't set up price lists or if the system fails to find the product on an active relevant list, the system uses the list price defined for the product in the Product Price component as the default base price for any further price adjustments.
PeopleSoft CRM provides an advanced search capability for looking up existing price lists by price rule conditions in the related business objects.
See Price List Advanced Search Page.
Quantity Breaks within Price List
Price lists support multiple list price entries for different quantity breaks. When the Use Quantity in Price List option is enabled for the Order Capture transaction, Enterprise Pricer looks for the list price that is associated with the matching quantity break as it processes order pricing. To find out which quantity break to use to obtain the list price, the sum of the product by UOM for the whole order is used.
Here is an example of a price list with multiple quantity breaks:
|
Product ID |
List Price |
Quantity Break |
|---|---|---|
|
10050 |
USD 4.00 |
1–50 |
|
USD 3.00 |
51–100 |
|
|
USD 2.00 |
101 or more |
Quantity breaks are defined by specifying low and high quantities on the Price List page.
If a customer purchases 120 units of product ID 10050 on an order, the customer will receive the units at the 2.00 per unit price.
In addition to supporting multiple list price entries for different quantity breaks using the Price List component, you can also specify different list prices for a product based on time periods, as illustrated by this table:
|
Product ID |
List Price |
Time Break |
|---|---|---|
|
10050 |
USD 4.00 |
01/01/2008 - 03/31/2008 |
|
USD 3.00 |
04/01/2008 - 06/31/2008 |
|
|
USD 2.00 |
07/01/2008 - 09/31/2008 |
Last but not least, you can set up one-time and recurring list prices for a product, for example:
|
Product ID |
List Price |
Pricing Nature |
|---|---|---|
|
10050 |
USD 50.00 |
N/A (one-time charge) |
|
USD 10.00 |
Monthly (recurring charge) |
You can also set up product recurring prices with different frequencies (daily, weekly, monthly and so on) using the Product Price component.
By default, a price list entry for a product is for one-time charge and the list price is intended to apply to all quantities (with one quantity break) at all times (with one time break). You can update existing or create new entries to include additional list prices for various time frames, quantity breaks, and charge types as needed.