Pricing Rules Overview

Pricing rules are a core capability of Order Management. Pricing rules are applied to each product depending on the commercial conditions of the order, and the products and quantities ordered. Pricing rules determine the list price, discounts, free goods, payment terms, and delivery periods applied to the order and order lines.

Working with Pricing Rules

Pricing rules are typically created in Vault CRM by data loading using Vault Loader or an integration. Order admins can also create and manage pricing rules in Vault CRM by creating and using a Pricing Rule tab, or by accessing the object records using the Business Admin tab.

All pricing rules follow the concept of effective date pricing. This allows order admins to create pricing rules in Vault CRM before they are applied.

Select a pricing rule below for specific instructions on creating pricing rules of each object type.

Pricing Rule Object Types

There are ten pricing rule object types:

• List Price Rule– Determines the list price for the product
• Limit Rule – Determines the default quantity, minimum or maximum allowed quantity
• Discount Rule– Determines the line level discount for an individual product or order level discount for all products in an order
• Brand Level Rule– Determines the brand level discount for all products of a brand on an order
• Product Group Level Rule– Determines the product group level discount for all products in a product group on an order
• Free Goods Rule– Determines the quantity of free goods added for an individual product as expressed in a set quantity of free goods
• Free Goods Percentage Rule– Determines the quantity of free goods added for an individual product as expressed in a percentage of quantity of the product being ordered
• Payment Terms Rule– Determines payment terms on the line level, order level, brand level, or product group level
• Delivery Period– Determines allowed delivery periods and minimum delivery periods for orders

Pricing Rule Comparison Types

Three different comparison types are supported for pricing rules. Not all comparison types are applicable to each pricing rule object type.

• Product Quantity – Compares pricing rule quantity max and pricing rule quantity min with product quantity to determine if the pricing rule applies
• List Value – Compares pricing rule quantity max and pricing rule quantity min with product quantity multiplied by product list amount to determine if the pricing rule applies
• Net Value – Compares pricing rule quantity max and pricing rule quantity min with product quantity multiplied by product net amount to determine if the pricing rule applies

Pricing Rules and Commercial Conditions

To be applied to an order, pricing rules must meet the following conditions:

• The start_date__v field on the pricing_rule__v object must be on or before the order_date__v field on the order__v object
• The end_date__v field on the pricing_rule__v object must be on or after order_date__v field on the order__v object
• The local_currency__sys field on the pricing_rule__v object must be equal to the local_currency__sys field on the order__v object
• The active check box on the status__v field on the pricing_rule__v object must be selected

Additionally, pricing rules can be assigned per contract and campaign, per campaign, per contract, per account, per price book, per account group, or globally.

• Campaign and Contract – The order_campaign__v field on the pricing_rule__v object is equal to the order_campaign__v field on the order__v object, and the contract__v field on the pricing_rule__v object is equal to the contract__v field on the order__v object
• Campaign – The order_campaign__v field on the pricing_rule__v object is equal to the order_campaign__v field on the order__v object
• Contract – The contract__v field on the pricing_rule__v object is equal to the contract__v field on the order__v object
• Account – The account__v field on the pricing_rule__v object is equal to the account__v field on the order__v object
• Price Book – The price_book__v field on the pricing_rule__v object is equal to the name__v field on the account_partner__v object on an existing price book account partner record with the account__v field on the account_partner__v object equal to the account__v field on the order__v object
• For more information on how pricing rules are assigned if a Price Book is selected for the order, see Price Books.
• For more information on how pricing rules are assigned if a Wholesaler is selected for the order, see Wholesalers.
• Account Group – The account_group__v field on the pricing_rule__v object is equal to the account_group__v field on the order__v object
• Global – No additional conditions are met

Pricing Rule Hierarchy

The way pricing rules are prioritized within the assignment methods is referred to as the Pricing Rule Hierarchy. Only one standard pricing rule within each pricing rule object type, pricing rule product, and pricing rule comparison type can apply to an order.

• Campaign and Contract – Pricing rules that match the order on the campaign and contract level are prioritized over all other pricing rules
• Campaign – If no pricing rules match the order on the contract and campaign level, pricing rules that match the order on the campaign level are prioritized next
• Contract – If no pricing rules match the order on the contract and campaign level, pricing rules that match the order on the campaign level are prioritized next
• Account – If no pricing rules match the order on the contract level, pricing rules that match the order on the account level are prioritized next
• Price Book – If no pricing rules match the order on the account level, pricing rules that match the order on the price book level are prioritized next
• Account Group – If no pricing rules match the order on the price book level, pricing rules that match the order on the account group level are prioritized next
• Global – If no pricing rules match the order on the account group level, the global pricing rule is used

For Cross-Product pricing rules, multiple rules can be applied to an order within a pricing rule object type, pricing rule product, and pricing rule comparison type as long as the comparison product is different.

For Chain pricing rules, up to one pricing rule from each level of the Pricing Rule Hierarchy can be applied to an order within each pricing rule object type, pricing rule product, and pricing rule comparison type.

If the order_campaign_bound__v check box is selected on the campaign selected for the order, only the Contract and Campaign and Campaign levels of the Pricing Rule Hierarchy are considered, even if there are no matching pricing rules in the two levels.

Applying Pricing Rules to an Order Line

When multiple discounts from pricing rules of the same type are applied to an order line, the way they are combined is determined by the In-Level Addition Mode.

When multiple discounts from pricing rules of different types are applied to an order line, the way they are combined is determined by the Total Discount and Final Net Price Addition Mode.

When a pricing rule is applied to an order line, the value from the rule_description__v field is shown to the user to inform them of the discounts applied to the order line. For Cross-Product pricing rules, rule_description__v is shown on both the order lines receiving the discount and the order lines of the comparison product.