Step 10. Creating and Setting up Sales Prices

Overview

You can apply different prices to your items based on a price type, a customer segment, and other.

General Price Settings

Creating Price Types

One product can have various prices. For example, along with a base price, a product can have a wholesale price and a price for regular customers. You can store price types in the Price types catalog.

To create different types of the prices in the system:

1. Navigate to Master data and settings > CRM and Marketing > Marketing.
2. Select the Several price types checkbox.

To create a price type:

1. Go to CRM and Marketing > Settings and catalogs > Price types.
2. Click Create.
3. Enter the Description of your price type.
4. Select what it is designed for:
   • All. You can use this price type for all objects.
   • Warehouse. You can use this price type for a particular warehouse only.
   • Retail format. You can use this price type for a particular retail format only.
   • Partner. You can use this price type for a particular partner only.
   • Agreement. You can use this price type for a particular terms of sales only.
5. Specify the Price currency. You can set different currencies for different price groups if they are used in the system.
6. To specify that your price type includes taxes, select the Price includes VAT checkbox.
7. You can also select where your price is used:
   • Wholesale.
   • Retail sales.
   • Intercompany sales.
   • Auxiliary price for calculating other prices. It is not used in documents but can be used to generate other prices (if you need to use a complicated formula).
   • Production as standard cost for materials, intermediate and finished products.
8. To assign your price type not the particular products, click all items under Assign prices to and set the necessary filters.
9. Specify how you are going to set prices of this price type:
   • Manual assignment. Specify prices manually.
   • Another price type markup. Calculated as a base price type + markup/discount.
   • Markup for the receipt price. Calculated as a maximum, minimum or average receipt price for a particular period + markup/discount if needed.
   • Markup on the balances entry price. Calculated as a maximum, minimum or average balances entry price for a particular period + markup/discount if needed.
   • By cost. Calculated as a cost + additional expenses + markup/discount if needed.
   • By vendors. Calculated as a maximum, minimum, average or latest vendor prices for a particular period + markup/discount if needed.
   • By competitors. Calculated as a maximum, minimum, average or latest competitor prices for a particular period + markup/discount if needed.
   • Arbitrary formula of other price types.
   • Arbitrary query to infobase data. Allows you to create the most complicated formulas for price calculations.
10. To round your price by arithmetic rules, for the benefit of a customer, or for the benefit of enterprise, select the Round checkbox and specify the required settings. A rounding constructor will help you to better understand how your rounding rules work.
11. Click Save and close.

Setting up Prices

Once price types are created, you can set prices for your items.

1. Go to CRM and marketing > Prices (Price lists).
2. Click Set filter.
3. On the Item filter tab, click By items and add the items you want to assign prices for.
4. On the Price list columns tab, select the price types.
5. Click OK.
6. Specify prices for the listed products.
7. To save a price list, click Apply changed prices and select the action to perform: save or save and post. When you post prices, the system generates a document called Price setup. To view it, click Price setups at the bottom of the form.

To analyze the created prices, go to CRM and Marketing > CRM and Marketing reports and open Price list.

Approving Prices

Price approval might be required if there are several users who work with the same document and who have different responsibilities. For example, a marketing expert has prepared the document and calculated prices but they don’t have sufficient rights to apply such prices without a manager approval.

To use the price approval functionality:

1. Go to Master data and settings > CRM and marketing.
2. Select the Prices approval checkbox and add person(s) responsible for item price approval.

To approve a Price setup document:

1. Go to CRM and marketing > Prices (Price lists).
2. Click Price setups at the bottom of the form.
3. Open the document you want to approve.
4. Click Approval at the top, create a task for approval and specify the required date when you need this prices to be approved. The responsible person will get the task and approve it. You will get notification about approval results, you’ll need to accept it. After that, the status will be changed to Approved automatically.

Specifying Prices in Documents

Specifying Prices According to Terms of Sales

Here is the example of how you can specify prices for a sales order:

1. Go to Sales > Sales orders.
2. Open the required Sales order and click the Main tab.
3. Select standard Terms of sales.

The system will get the price from the selected Terms of sales.

Specifying Prices According to Quotations

1. Go to Sales > Sales quotations.
2. Open the required Sales quotation.
3. Click Generate > Sales order. The system will automatically transfer prices from the Sales quotation to the Sales order.

Price Analysis

1. Go to Sales > Sales orders.
2. Open the required Sales order.
3. Click Reports > Sales profitability assessment.
4. Run the report.
5. Make preliminary assessment of the sales profitability.

The Sales profitability assessment report helps you understand:

• Sales profitability
• Sales margin ratio
• Sales profit margin
• Which products are the least or most profitable
• Sales person's performance for the period

Use the What-If Analysis metric group to simulate and evaluate the profitability for different scenarios of price and discount changes. Decide whether it is profitable to sell items under these prices and/or provide additional discounts.