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Retail Pricing

Retail Pricing. SAP Best Practices for Retail (RU). Purpose, Benefits, and Key Process Steps. Purpose Retail pricing provides retailers as well as wholesalers with a key opportunity to maintain prices in a competitive, aggressively-priced environment Benefits

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Retail Pricing

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  1. Retail Pricing SAP Best Practices for Retail (RU)

  2. Purpose, Benefits, and Key Process Steps • Purpose • Retail pricing provides retailers as well as wholesalers with a key opportunity to maintain prices in a competitive, aggressively-priced environment • Benefits • Boost margins, sales and the success of a company • Test new products on the market • Maintain prices in accordance to the market situation (competitor, price family, prices at site level, site price list level, price point) • Key Process Steps • Create retail pricing for different articles (single, generic, sales set…) • Create price at different level (site, site price list, distribution chain) • Create prices with price points • Create price family, competitor pricing, market basket calculation, worklist

  3. Required SAP Applications and Company Roles • Required SAP Applications • SAP enhancement package 5 for SAP ERP 6.0 • Company Roles • Retail Pricing Manager • Retail Store Manager • Retail Non-Seasonal Purchaser

  4. Process Flow Diagram Retail Pricing Manager Retail Pricing Manager Execute Retail Pricing Perform Wholesale Calculation Basis for the sales price calculation Basis for the sales price calculation Pricing worklist release Display or change planned markups Display or change planned markups Generate pricing worklist Sales price calculation – single article Planned markup (AUFS) for a merchandise category Change sales price PB00 for articles Sales price calculation – generic article Price list – specific markup (AUFS) for a merchandise category Create pricing document Sales price calculation – sales set Processing the pricing worklist Retail markup for a merchandise category Site price lists Price calculation for price family Create sales order Calculate sales prices using competitor's prices Calculate with price points Maintain a vendor condition at purchasing level Individual or list display for customer – specific discount (K007) Enter competitor's prices in a price entry list Market – basket calculation Sales price calculation – calculation with price ist Perform a sales price calculation with manual transfer of the suggested price Perform a sales price calculation with automatic transfer of the suggested price Customer – specific markups and markdowns Create a customer – specific discount (K007)

  5. Trade - Calculation

  6. Pricing Basics of pricing Purchase-/sales-pricing conditions, calculation schemes Calculation of a single article Calculation of a generic article Calculation of a sales set

  7. Pricing Pricing in wholesale Pricing with price lists Customer-specified discount Calculation inventory processing

  8. MM Conditions Sales price SD Conditions Sales price Sales Price Calculation: Basics Margin resp. actual mark-up

  9. Consumer Customer Sales Price Calculation : Basics One-step calculation with a recommended retail price Vendor Sale (net) RUB 19,99 Sale (gross) RUB 19,99 Purchase (net/gross) RUB 10,- Mark-up: 30% Cust. disc.: 5% Mark-up: 10% VAT: 16% Price point group: 001

  10. Sales Price Calculation : Basics Data retention level Level, on which gen. conditions (price, mark-ups, discount, taxes etc.) can be saved. Distribution chain (Refsite!) Distribution chain /Price list Site group Site Article

  11. DC Customer Store 2 Store 1 Two-Step Calculation Vendor CoCd: 1000 Planaufschlag: WG/VL S.Org.: 1000 1000/30 0,90 10 30 1000/10 30 0,90 1,00 1,10 1,89 1,99 1,99 10 Consumer Consumer Consumer

  12. Price List Calculation Screw assortment Material group: MC14401 Price list P1 Mark-up: 10% Price list P2 Mark-up : 20% Price list P3 Mark-up : 30% Sales price1 Sales price 2 Sales price 3 Cust. disc. X Freight Costs X2 ... Cust. disc. Y Freight Costs Y2 ... Cust. disc. Z Freight Costs Z2 ... End-SP 1 End-SP 2 End-SP 3

  13. Update of direct entry Is the change in purchase price- relevant to costing? Layout of the work list -> Direct entry -> creation of the worklist What sales prices resp. calculations effected? Processing of the pricing work list (1) Screw assortment Material group: MC14401 Sales price (old): RUB 9,- Sales price (new): RUB 10,-

  14. Generate pricing work list Release of the pricing worklist (Review of the calculation proposal) Accept/change/abolish calculations 1000/10/10 SP RUB 29,- 1000/30/10 SP RUB 16,- 1000/20/10 SP RUB 24,- Processing of the pricing work list(2)

  15. Customer-specified discount • Arrangement of customer-specified discount • Pricing in the sales order • Pricing worklist • Activation of the direct entry for creating the worklist • Generation of calculation proposals for the processing and the release Pricing - Checklist • Sales price calculation • Single article • Sales set/generic article • Price lists

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