Price Break Discount Based On the List Price

How Does One Create a Price Break Discount Based On the List Price?

Goal

How does one setup a modifier to provide a discount on the list price, without considering the
item ordered quantity?

Example:

If the item price( whole sale price ) is less than $4, discount is 5%;
it does not matter what the quantity is.

If the item price is greater than $4, the discount is 8%;
it does not matter what the quantity might be.


Solution

Here are some potential solutions available.
Solutions B and C would require setup of custom attribute.
Please reference the Oracle? Advanced Pricing
Implementation Manual, Release 11i, Chapter 14 "Using Custom Sourced Attributes"
for more details on how to setup this up, as needed.


A. First Solution is to adjust the price on the price list to account for the discount.

1) Back up the instance or copy the price list to a new price list,
     so that you have a copy of the original price list and their assigned values.

2) Use concurrent program "Adjust Price List" to actually update the list price
to the adjusted value (less 5% or less 8%).

a) First one would need to identify all items on the price list and their current list price.
    Responsibility: Oracle Pricing Manager
    Navigate to: Price List > Price List Setup
    Query the price list.
    Place the cursor on the first line under the "List Lines" tab.
    From the top menu bar select File > Export
    This will create a spreadsheet for all items on the price list.
    Next one could sort the spreadsheet, for instance one would select
    from the top menu bar Data > Sort.
    Suggest first to sort by end date
          (because you might not want to adjust item prices for those end dated)
    then sort by value (the value is the actual list price).
   One would then have a list of all items and can easily see which items have a
   list price < $.4.00 and which ones are >= $4.00

b. Run concurrent program "Adjust Price List"
    Same responsibility, Navigate to Price Lists > Adjust Price List
    Enter the Price List Name
    Enter the first item to be adjusted name
    Enter the adjust by: Percent
    Enter the value:     for this item> Note: by adding the value as negative, this would reduce the list
    price by that percentage.

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B. One could use a formula with a factor list to return the correct discount to apply.


1. Create a custom pricing attribute to pull in the unit list price.
The user value string to assign for application name = Advanced Pricing with Request type
= ONT (order management)
OE_ORDER_PUB.G_LINE.UNIT_SELLING_PRICE

2. Run Build Attribute Mapping Rules

3. Create a formula that uses a factor list based off of this custom pricing attribute to
bring in the unit selling price.
Formula = 1
step 1
formula type: factor list
for factors:
line 1: enter the custom pricing attribute to return unit selling price
operator: between
value from: .01
value to: 3.99
adjustment: 5
line 2: enter the custom pricing attribute to return unit selling price
operator: between
value from: 4.00
value to: 999999999999
adjustment: 8
Save.


4. Run Build Formula package.

5. Add this formula to the modifier at line level defined as a discount
pricing phase: list line adjustment, and application method = Percent.
Note: If you want this modifier applied before other modifiers use bucket functionality.

6. Run QP: Maintains Denormalized Data in QP Qualifiers for the modifier.

7. Retest issue.

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C. Add custom attribute for Volume and use it to determine the price break.

1. Create a context type under Pricing Transaction Entity = Order Fulfillment,
     and context type = Pricing Context for Context Code = Volume

2. Link this new context at LINE level using attribute mapping.
    The user value string to assign for application name = Advanced Pricing with Request type
    = ONT (order management) would be:OE_ORDER_PUB.G_LINE.UNIT_SELLING_PRICE

3. Run Build Attribute Mapping Rules

4. Add a line to the modifier:
    Level = line
    Modifier type = Price Break Header
    Pricing Phase = List Line Adjustment
    Product Attribute = Item Number
    Product Attribute Value
    Volume Type =
    Break Type = Point
    Note: If you want this modifier applied before other modifiers use bucket functionality.
    Under price break tab, set adjustment type = Discount
   Click on Define Details button
      .01 to 3.99 Percent 5
      4.00 to 999999999 Percent 8
   Save.

5. Run Build Attribute Mapping Rules again
    --This step is requested as depending on your profile settings this step would be required
       if "QP: Build Attributes Mapping Options" = "Map attributes used in active pricing setup".

6. Run QP:Maintains Denormalized Data in QP Qualifiers for the Modifier.

7. Retest on a new sales order.

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