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

When setting up quantity and amount bands, you must ensure that there are no gaps between the ranges. For example, if your low value band is 0 to 100, the medium band should begin at 100. If you set up bands with a gap, such as a low value band of 0 to 100 and a medium value band of 101 to 1000, and the quantity of a line is 100.1, the pricing dimension combination won't be derived because the amount falls between the two ranges.

Let's say you create a quantity band of 0-100 and another quantity band that's 100-500. If the value is 100, it falls in the lower band. If the value is 100.1 or higher, it falls in the next 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	Explanation
0 - 100	USD 1000	Any value up to and including 100 falls in this range.
100-500	USD 900	Any value above 100 and including 500 falls in this range.
500-1000	USD 800	Any value above 500 and including 1000 falls in this range.
1000 or more	USD 700	Any value above 1000 falls in this range.

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 identify 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	Explanation
0-10,000	USD 100	Any value up to and including 10,000 falls in this range.
10,000-50,000	USD 90	Any value above 10,000 and including 50,000 falls in this range.
50,000-100,000	USD 80	Any value above 50,000 and including 100,000 falls in this range.
100,000 or more	USD 70	Any value above 100,000 falls in this range.

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 identify 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 identify 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's 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's buying your products. In this case, you configure Revenue Management to use the Bill-To Customer Country attribute value as the basis to identify 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.