Pricing Management

Oracle Revenue Management and Billing allows you to define prices for price item and services offered to the customers. These prices are either standard prices defined in the price lists or override prices that are specific to a customer or an account. The system allows you to define prices at various levels in a customer hierarchy (for example, at the account level, main customer level, or at the parent customer level). You can also define prices in the account's price list, main customer's price list, parent customer's price list, price list's parent price list. As prices can be defined at multiple places, the order in which the system searches for effective price item pricing will affect the price charged to the customer. The search order is configurable, and can vary with each division. You need to define the search order in the price assignment search algorithm (which is also known as crawling algorithm) and then attach the algorithm to the division. You can change the search order at any time.

You need to define the price assignment search algorithm using the C1_​PRASN algorithm type. The price assignment search algorithm is used while:

• Listing effective price item pricing for an account or a customer

• Fetching effective price item pricing while creating recurring and non-recurring bill segments

• Fetching effective post processing pricing while creating post processing bill segments

• Fetching effective price item pricing in the Price Item Pricing Verification (C1-TXNVP) batch

For more information about the price assignment search algorithm, see Price Assignment Search Mechanism.

Since a global customer is not associated to any division, the system cannot determine the price assignment search order for a global customer. Hence, the default search order is defined for global customers through the C1_​PRASNORDR feature configuration. You can change this default search order, if required.

The prices that are specific to a customer or an account are referred to as customer agreed or account agreed prices, respectively. You can override these agreed prices. Customer agreed or account agreed prices are effective for a particular duration and do not expire until you manually specify the end date. However, if you set the Expire Override Switch option type of the C1_​EXP_​OVRD feature configuration to Y, the system will automatically expire an agreed pricing when the agreed pricing of a customer or an account without end date is overridden. If you do not want an agreed pricing to automatically expire when it is overridden, you must set the Expire Override Switch option type of the C1_​EXP_​OVRD feature configuration to N.

The system allows you to define the following types of pricing:

• Flat Pricing

• Tiered Pricing

For more information about the types of pricing, see Types of Pricing.

The price for a price item or service may differ depending upon various transaction, customer or account attributes. Oracle Revenue Management and Billing provides a facility to define pricing for a price item based on multiple parameters. This multi parameter based pricing feature enables the price analyst to define price item and its parameters which influence pricing. You can then define pricing for the price item based on these parameters. Bundles are offered to customers to provide discounted rates. You can also define pricing for bundles based on multiple parameters. To enable the multi parameter based pricing feature, you must set the Multi Price Parameter option type of the Multi Parameter Based Pricing (C1_​PPARM_​FLG) feature configuration to True. For more information about the multi parameter based pricing feature, see Multi Parameter Based Pricing.

Related Topics

Parent Topic: Oracle Revenue Management and Billing Generic Business Processes