Rebates Calculation Logic Examples
In this section we will show four examples of logics that calculate different types of rebates:
Tiered rebate – based on quantities or amounts purchased.
Stepped rebate – tiered rebate where the rebate is calculated separately for each tier.
Growth rebate – based on a specified increase in purchases.
Fixed rebate – not dependent on the purchased amounts.
See also the Rebate Variants section below for detailed explanation of the rebate types.
Tiered Rebate
The complete calculation logic will have the following elements:
Type | Element Name | Display Mode | Format Type |
---|---|---|---|
Function | Library | Never | Â |
Function | RetainGlobal | Never | Â |
Function | CustomerGroup | Never | Â |
Function | ProductGroup | Never | Â |
Function | SalesTarget | Never | Â |
Function | ActualsQuery | Never | Â |
Function | ActualSales | Never | Â |
Function | TotalSalesRebate | Quoting | Money (EUR) |
Info | ASFFactor | Never | Â |
Info | SalesForecast | Quoting | Money (EUR) |
Function | RebateForecast | Quoting | Money (EUR) |
Function | RebateRecords | Never | Â |
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Library – Stores the actual calculation of the rebate.
Library
// Tiered discount calculation function: when revenue falls in specific tier, %discount of that tier is applied.
// If the base for the discount calculation is different from the actual, provide a discountBase argument.
// Target values are % values (i.e. 5% is represented by 5 rather than 0.05)
def calcDiscount(actual, tieredTarget){
return calcDiscount(actual, tieredTarget, null)
}
def calcDiscount(actual, tieredTarget, discountBase){
api.log("calcDiscount: actual", actual.inspect())
api.log("calcDiscount: target", tieredTarget.inspect())
if (actual != null && tieredTarget != null){
if (tieredTarget.size()>0){
for (i = tieredTarget.size()-1; i>=0; i--){
def tier = tieredTarget.get(i)
def target = tier.target as BigDecimal
def value = tier.value as BigDecimal
api.log("Tier" +i + " target", target.inspect())
api.log("Tier" +i + " value", value.inspect())
if (target != null){
if (actual > target){
if (value == null) value=0
def discount = (discountBase == null? actual : discountBase) * value
api.log(" Discount", discount)
return discount
}
}
}
}
}
return 0.0
}
RetainGlobal – The usage of global variables must be explicitly enabled.
 api.retainGlobal
can be set to true
by default in General Settings.
RetainGlobal
api.retainGlobal=true
CustomerGroup user input – Displays a field where users select the customer group for which the rebate is calculated.
CustomerGroup
def cg = api.customerGroupEntry()
api.log("customer group", cg.inspect())
return cg
ProductGroup user entry – Displays a field where users select the product group for which the rebate is calculated.
ProductGroup
SalesTarget user entry – Displays a field where users can define the number of tiers and their thresholds.Â
SalesTarget
Actuals – Datamart Query
ActualsQuery
ActualSales – Datamart Lookup
ActualSales
TotalSalesRebate – Calculation of the rebate.
TotalSalesRebate
ASF Factor – The expected growth of sales (example).
ASFFactor
SalesForecast – Actual sales multiplied by the expected growth rate.
SalesForecast
RebateForecast – Expected rebate based on the forecasted sales.
RebateForecast
RebateRecords – Creates a new rebate record for the calculated rebate.
RebateRecords
Stepped Rebate
The complete calculation logic will have the following elements:
Type | Element Name | Display Mode | Format Type |
---|---|---|---|
Function | Library | Never | Â |
Function | RetainGlobal | Never | Â |
Function | CustomerGroup | Never | Â |
Function | ProductGroup | Never | Â |
Function | SalesTarget | Never | Â |
Function | ActualsQuery | Never | Â |
Function | ActualSales | Never | Â |
Function | TotalSalesRebate | Quoting | Money (EUR) |
Info | ASFFactor | Never | Â |
Info | SalesForecast | Quoting | Money (EUR) |
Function | RebateForecast | Quoting | Money (EUR) |
Function | RebateRecords | Never | Â |
Library – Stores the actual calculation of the rebate.
Library
RetainGlobal – The usage of global variables must be explicitly enabled.
 api.retainGlobal
can be set to true
by default in General Settings.
RetainGlobal
CustomerGroup user input – Displays a field where users select the customer group for which the rebate is calculated.
CustomerGroup
ProductGroup user entry – Displays a field where users select the product group for which the rebate is calculated.
ProductGroup
SalesTarget user entry – Displays a field where users can define the number of tiers and their thresholds.
SalesTarget
Actuals – Datamart Query
ActualsQuery
ActualSales – Datamart Lookup
ActualSales
TotalSalesRebate – Calculation of the rebate.
TotalSalesRebate
ASF Factor – The expected growth of sales.
ASFFactor
SalesForecast – Actual sales multiplied by the expected growth rate.
SalesForecast
RebateForecast – Expected rebate based on the forecasted sales.
RebateForecast
RebateRecords – Creates a new rebate record for the calculated rebate.
RebateRecords
Growth Rebate
The complete calculation logic will have the following elements:
Type | Element Name | Display Mode | Format Type |
---|---|---|---|
Function | Library | Never | Â |
Function | RetainGlobal | Never | Â |
Function | CustomerGroup | Never | Â |
Function | ProductGroup | Never | Â |
Function | GrowthTarget | Never | Â |
Function | ActualsQuery | Never | Â |
Function | ActualSales | Never | Â |
Function | PreviousYearSales | Never | Â |
Function | GrowthRebate | Quoting | Money (EUR) |
Info | ASFFactor | Never | Â |
Info | SalesForecast | Quoting | Money (EUR) |
Function | RebateForecast | Quoting | Money (EUR) |
Function | RebateRecords | Never | Â |
Library – Stores the actual calculation of the rebate.
Library
RetainGlobal – The usage of global variables must be explicitly enabled.
 api.retainGlobal
can be set to true
by default in General Settings.
RetainGlobal
CustomerGroup user input – Displays a field where users select the customer group for which the rebate is calculated.
CustomerGroup
ProductGroup user entry – Displays a field where users select the product group for which the rebate is calculated.
ProductGroup
GrowthTarget user entry – Displays a field where users can define the number of tiers and their thresholds.
GrowthTarget
ActualsQuery – Datamart query to find out actual and last year's sales.
ActualsQuery
ActualSales – Datamart Lookup
ActualSales
PrevYearSales – Datamart Lookup
PrevYearSales
GrowthRebate – Calculation of the rebate based on the sales growth.
GrowthRebate
ASF Factor – The expected growth of sales.
ASFFactor
SalesForecast – Actual sales multiplied by the expected growth rate.
SalesForecast
RebateForecast – Expected rebate based on the forecasted sales.
RebateForecast
RebateRecords – Creates a new rebate record for the calculated rebate.
RebateRecords
Fixed Rebate
The complete calculation logic will have the following elements:
Type | Element Name | Display Mode | Format Type |
---|---|---|---|
Function | CustomerGroup | Never | Â |
Function | ProductGroup | Never | Â |
Info | FixedRebate | Quoting | Money (EUR) |
Function | RebateRecords | Never | Â |
CustomerGroup user input – Displays a field where users select the customer group for which the rebate is calculated.
CustomerGroup
ProductGroup user entry – Displays a field where users select the product group for which the rebate is calculated.
ProductGroup
FixedRebate user entry – Displays a field where the user can enter a fixed rebate value.
FixedRebate
RebateRecords – Creates a new rebate record for the calculated rebate.
RebateRecords
Rebate Variants
The following types are only examples, in Pricefx you can set up any Condition Type you need.
Tiered Rebate
This is the simplest rebate type that is based on quantities or amounts purchased by the customer. The tiered rebate type defines several tiers with corresponding rebate percentages. The paid out rebate depends on the highest threshold level that has been reached.
Example: The final sales is $17,200 and the bonus is calculated based on three agreed tiers.
Threshold | Rebate Percentage | Threshold Reached | Calculation | Bonus |
---|---|---|---|---|
$10,000 | 1.0% | Yes | Â | Â |
$15,000 | 1.5% | Yes | 17,200 * 0.015 | $258 |
$20,000 | 2.0% | No | Â | Â |
Growth Rebate
The growth rebate type is based on a specified increase in purchases. Again, several tiers are defined and the paid out rebate depends on the threshold that has been reached.
Example: The previous year's sales was $14,000 and this year's sales has reached $17,200, so the increase is 22.86%. The bonus is calculated in the following way:
Threshold | Rebate Percentage | Threshold Reached | Calculation | Bonus |
---|---|---|---|---|
10% | 1.0% | Yes | Â | Â |
20% | 1.5% | Yes | 17,200 * 0.015 | $258 |
30% | 2.0% | No | Â | Â |
Stepped Rebate
The bonus is paid for each tier whose lower threshold has been exceeded but only from the value that is within the tier limits and the percentage specified for that tier is applied.
Example: The final sales is $17,200. The first tier has been reached and exceeded, so the bonus is paid from the full interval, which is $5,000. The second tier has been reached but not exceeded, so the bonus is paid only from the value above the $15,000 threshold, i.e. $2,200.
Threshold | Rebate Percentage | Threshold Reached | Unused Actual | Discount Base | Calculation | Bonus |
---|---|---|---|---|---|---|
$10,000 | 1.0% | Yes | Â | 5,000 | 5,000 * 0.01 | $50 |
$15,000 | 1.5% | Yes | Â | 2,200 | 2,200 * 0.015 | $33 |
$20,000 | 2.0% | No | Â | Â | Â | Â |
The total paid out rebate is $83.
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