7.3.2. Discount Schema (Business Partner)

Multiple percentage or volume type discounts can be applied to the prices used on documents entered for specific business partners. This can be obtained by creating a discount schema and associating it to a business partner. To create or modify a discount schema in SocrateCloud, open the Discount Schema window, located in the Product Setup -> Price List Setup menu. The following fields are available:

• Name, Description - are used to identify the discount schema within the system;

• Active - indicate whether the discount schema is active within the system;

• Valid from - date starting when the discount schema will be valid;

• Discount Type - for a discount schema select either "Breaks" or "Flat Percent".

Note: Starting v14.12, the discount schema organization can be a summary level organization. In this case, the schema will apply to all documents operated on subordinate organizations.

Discount Type - Flat Percent

If you select "Flat Percent" in the Discount Type field, the following discount rules will be available:

1. you can enter a value that will be applied to all the business partners corresponding to this discount schema, or

2. the applied discount will be based on the percentage entered in the corresponding field in the Customer tab, Business Partner window.

The following extra fields will be available in the window:

• B. Partner Flat Discount checkbox - if selected, the applied discount will be based on the percentage entered in the corresponding field in the Customer tab, Business Partner window;

• Flat Discount - enter a percent value that will be applied to all the business partners corresponding to this discount schema.

Discount Type - Breaks

If you select "Breaks"" in the Discount Type field, the discount schema will use the product quantity or amount on document lines in order to determine the applied discount. the discount based on the quantity or on the total amount for a product. The following extra fields and tabs will be available in the window:

• Quantity based:

  • checked - the discounts are calculated based on the quantity purchased.

  • cleared - the discounts are calculated based on the total amount for the corresponding product;

• Accumulation Level = "Line" (the discount is calculated based on the document line quantities or amounts) - currently the only option available;

The Renumber button is to renumber the sequences in the Discount Break tab. This is done to obtain empty spaces between the numbering sequences. If the process is run successfully, the number of updated entries will be displayed in the window.

The Discount Break tab you can define the corresponding discount percentage to each amount/quantity interval. The following fields are available:

• Sequence - indicates the order in which the prices will be calculated;

  • this is very important for the price structure. Default values will be multiples of 10 to facilitate subsequent adjustments. SocrateCloud will use the first sequence found that meets the requirements when considering a discount schema;

• Product or Product Category - if selected the discount break will apply to the product or the product category;

• Break Value - minimum value for the product quantity or value (depending on the Quantity based checkbox) for which the discount break will apply;

• Break Discount % - enter a percent value which represents the discount applied;

• B.Partner Flat Discount - if selected, the applied discount will be based on the percentage entered in the corresponding field in the Customer tab, Business Partner window;

Example

Consider the following discount "break" schema:

Obviously, the desired outcomes will not be achieved. If a customer orders 10 items, SocrateCloud will apply the first discount break found that corresponds to the quantitative criteria, in this case Sequence 10 with a Break Value of 10 and Break Discount % of 1. However, if the customer orders 100 pieces, then SocrateCloud will still apply the first applicable sequence, in this case Sequence 10 with a Break Value of 10 and Break Discount % of 1. But this is not the desired outcome, since we would have wanted to apply a 4 % discount corresponding to an order quantity of over 100 pieces.

To rectify the issue, we will have to define the following discount "break" schema:

Now, if a customer orders 10 pieces of a product, SocrateCloud will skip the first two sequences since they do not meet the quantitative criteria and will apply the third sequence, that is a 1% discount corresponding to a break value of 10. Moreover, if a customer orders 100 pieces, then the Sequence 10 will meet the quantity criteria and,as such, a discount of 4% will be applied. These are the desired outcomes.