Pricing Dimension Bands

Price bands are assigned as pricing dimension segment values to the document lines and help in categorizing the sale for the purposes of establishing standalone selling prices.

Revenue Management provides the following three types of pricing bands:

• Quantity band

• Amount band

• Set band

Quantity Band

Use the quantity band when the price of the product depends on the number of products sold.

The following example shows a sample pricing policy that has four quantity bands and the corresponding list price per unit.

Quantity Band	List Price Per Unit
0 - 99	USD 1000
100-499	USD 900
500-999	USD 800
1000 or more	USD 700

You should also use the quantity band when the discount percentage is based on the quantity sold, rather than on the list price.

Revenue Management uses the quantity of the transaction line to determine the band the quantity falls in, and automatically assigns the band name as the pricing dimension value.

Amount Band

The amount band is similar to the quantity band, except that the amount band is used when the price of the product depends on the total value sold rather than the quantity sold.

The following example shows a sample pricing policy that has four amount bands and the corresponding list price per unit.

Amount Band	List Price Per Unit
0-9,999	USD 100
10,000-49,999	USD 90
50,000-99,999	USD 80
100,000 or more	USD 70

You should also use the amount band when the discount percentage is based on the total value sold, rather than on the list price.

Revenue Management uses the line amount of the transaction line to determine the band the amount falls in, and automatically assigns the band name as the pricing dimension value.

Set Band

Use the set band type of pricing dimension when you want to assign set names as the pricing dimension value instead of individual values within the set. For example, you can use the set band to assign pricing dimension values by geographic region.

You can define sets and their individual values. You can configure your setup to automatically determine the set name for a transaction using any attribute value of the transaction as the detail value.

The following example shows a set band that is being used for geographic regions:

Document Attribute	Document Attribute Value	Geography Dimension Value
Bill-to Customer	Germany	Europe
Bill-to Customer	France	Europe
Bill-to Customer	Canada	North America
Bill-to Customer	United States	North America

In the example, the Bill-to Customer document attribute stores the host country name of the customer who is buying your products. In this case, you configure Revenue Management to use the Bill-To Customer Country attribute value as the basis to determine the value of the Geography pricing dimension. For example, if the bill-to customer country for a transaction is Germany, then Revenue Management automatically assigns Europe as the value of the Geography pricing dimension.