DOC-36366

Generated by Jive on 2014-03-23+01:001

Pricing Configuration Guide with Used Cases

Overview of Pricing:

The Pricing function is a method of determining pricesusing the condition technique. For example, whena shopping cart or purchase order is created. Thesystem automatically determines the gross price andany surcharges and discounts that apply to a specificvendor according to defined conditions. The systemuses the gross price and these surcharges or discountsto determine the net price.

How Pricing Works in SAP CRM:

Condition Types:

SAP CRM differentiates different price components like the ones shown in the receipt by usingCondition TypesSeparate condition Types can be defined for

Price Discounts Surcharges like Shipping Tax etc.



SAP CRM comes with many predefined exhaustive list of condition types that can be used. Butnew ones can be defined also. Definition of a condition types involves, among many things,how the condition type is expected to behave. Is the calculation based on Quantity, weight orvolume? Is it a amount type or a percentage type, is it just flat amount or does this vary withscale and others.The final pricing is determined by using scheme in which different condition types are evaluatedby the system in defined sequence of steps. This scheme is called Pricing Procedure.

What if the Price or discount to be determined is not very straightforward ? For example, what if the priceto be determined depends on the specific customer or customer group. What if the discount only applies tocertain product types but not others and only applies to some specific regions where customer is located. Whatif the Tax is exempt for certain customers? or specific customer-product combinations. What if, for a shortperiod, company decides to offer free shipping? In these and many more complexities of pricing scenarios thatbusinesses engage in, how the system determines appropriate applicable prices?These complexities can be accommodated in Pricing Procedure using Access Sequence.

Access Sequence:

Access sequences are search strategies defined for the system.The strategy lays out searching sequence for best data that fits the situation through iteration. Suppose thespecial prices have been set up in system for a Customer Group and a product combination , then systemsearches for this first. If it does not find it, then searches just the generic product price applicable for anycustomer.

Pricing Procedure:

Pricing Procedure defines the sequence of how systems starts evaluating different Condition Types. PricingProcedures can be defined with several conditions. For example one could add three discount conditions orseveral Tax conditions, for example City taxes and county taxes.The system evaluates each step in the pricing procedure to determine values that are applicable for the dataduring sales order processing.Pricing procedures are assigned to transaction document types in a configuration step. This way when usersstart creating a transaction document in the system, the pricing procedure is invoked.



Condition Records:

Pricing Procedure evaluates condition at different steps. Condition types are connected to AccessSequences which are a collection of Condition Table Structures. These condition Table Structuresare created out of fields from a Field catalog. These structure help define the Condition Recordswhich indicate the price set by a company for a combination of Data parameters.

For a particular material, to determine the base price following Accesses are maintained are maintained:1) Sales Org / Division / Product Group / Material - 50 USD2) Sales Org / Distribution Channel / Sold-to-party / Product - 55 USD3) Sales Org / Distribution Channel / Division / Sold-to-party 60 USD

Product: Copymachine01

Customer: PCS System PVT Ltd

Roles defined for customer: Sold-to-party, ship-to-party, payer, Bill-to-party

Steps for Base Price Determination:

a) Create Access Sequence ZPR8 a copy of access sequence 0PR0. Maintain the access with condition tableSAP005, SAP007 and CUS506Access defined here are:1) Sales Org / Division / Product Group / Material - 2) Sales Org / Distribution Channel / Sold-to-party / Product - 3) Sales Org / Distribution Channel / Division / Sold-to-party

Path: SPRO> CRM> Basic functions> Pricing> Define settings for Pricing> Create Access sequence



a) b) Create Condition type ZPR8, its a copy of standard condition type PR00 for price Path: SPRO> CRM> Basic functions> Pricing> Define settings for Pricing> Create Condition Type

a) c) Assign Access sequence ZPR8 to Condition type ZPR8



a) d) In Condition maintenance group assign condition type ZPR8 to Condition maintenancegroup BUPAPRICE

Path: SPRO> Master Data> Conditions and Condition Techniques> Condition Techniques basics> CreateMaintenance Group



a) e) In condition type ZPR8 maintain the condition records

Path: Main Menu > Master Data > Prices and Condition > Maintain Conditions

1) Sales Org / Division / Product Group / Material - 50 USD2) Sales Org / Distribution Channel / Sold-to-party / Product - 55 USD3) Sales Org / Distribution Channel / Division / Sold-to-party 60 USD

a) f) Create a pricing procedure ZCRM11, a copy of standard CRM01 pricing procedure



Path: SPRO> CRM> Basic functions> Pricing> Define settings for Pricing> Create Pricing procedure

In control data replace the condition type 0PRO for price with our condition type ZPR8



a) g) Pricing Determination procedure: : Here you have to maintain the sales organization, customer anddocument pricing procedure Customer Pricing Procedure- 1 (Standard) / Document Pricing Procedure- A(standard) / Division -1



Path: SPRO> CRM> Basic functions> Pricing> Pricing in Business transaction> Determine Pricing procedurea) h) Create Standard Order, Below is the pricing condition at Item levelT-Code: commpr01



Here depending upon the condition record maintained base price of 60 USD has been determined.

Scenario 1: Discount / Scale Based

Provide Item level discount and maintain quantity scales and see how change in quantity picks will alter thepercentage discountConditions:Discount based on Price Group:Bulk Buyer 5 % min discount / Scale base discountFor, 0-5 Units 5% of DiscountFor, 5-10 units 6 % of DiscountFor Above 10 units 7 % of DiscountOccasional Buyer 2 % Flat discount irrespective of quantity orderedStepsa) Create a condition type: ZSKV, its a copy of standard condition type for Discount/SurchargeT-code: PRC_CONDTYPE_CRM

a) Assign access sequence 0K20 (Price Group Access Sequence) to Condition type ZSKVT-Code: ACCESS_SEQ_CRM_PR



a) In condition maintenance group assign condition type ZSKV to condition maintenance groupBUPADISCOUNT T-code: SPRO>Master Data>Conditions and Condition Techniques>Condition Techniques basics>CreateMaintenance Group



a) Create a pricing procedure ZCRM11, a copy of standard CRM01 pricing procedure. In controldata replace the condition type 0KF0 with our condition type for freight ZSKVT-Code: PRC_PRICPROC_CRM

a) In condition type ZSKV maintain the condition records.Discount will vary depending upon the price groupDiscount based on Price Group:Bulk Buyer 5 % min discount / Scale base discountScale based Discount:For, 0-5 Units 5% of DiscountFor, 5-10 units 6 % of DiscountFor Above 10 units 7 % of DiscountOccasional Buyer 2 % Flat discount irrespective of quantity ordered



a) Determine Pricing Procedure: Here you have to maintain the sales organization, customer and documentpricing procedureCustomer Pricing Procedure- 1 (Standard) / Document Pricing Procedure- A (standard) / Division -1



a) Create Standard Order, Below is the pricing condition at Item levelT-Code: commpr01



As the customer is an occasional buyer discount of 2% is been selected

Scenario 2: Freight Charges

For a particular material, there is a freight charge. Here we will take freight value depending upon the quantity.The freight value of 2 USD is charged per unit of productProduct:Copymachine01Customer:PCS System Pvt Ltd, Roles defined for customer: Sold-to-party, ship-to-party, payer, Bill-to-partySteps:a) Create a condition type: ZFR8, its a copy of standard condition type for freightT-code: PRC_CONDTYPE_CRM



a) Create Access Sequence ZFR8 a copy of access sequence for standard freight. Maintain the access withcondition table SAP034 and SAP033Access defined here are:1) Sales Org / Division / Distribution channel / lncoterms 1 / Incoterms 2 2) Sales Org / Division / Distribution channel / lncoterms 1 / Incoterms 2 T-Code: ACCESS_SEQ_CRM_PR



c) In condition maintenance group assign condition type ZFR8 to condition maintenance group FREIGHTCRM T-code: SPRO>Master Data>Conditions and Condition Techniques>Condition Techniques basics>CreateMaintenance Group



a) Create a pricing procedure ZCRM11, a copy of standard CRM01 pricing procedure. In controldata replace the condition type 0KF0 with our condition type for freight ZFR8T-Code: PRC_PRICPROC_CRM



a) In condition type ZFR8 maintain the condition records.Here freight value for 2 USD for each quantity of product is maintainedT-Code: Master Data>Prices and Conditions>Maintenance group Freightcrm



a) Create a Standard Sales Order. Below is the pricing condition at Item level.



Here as order is prepared for 10 units freight charges is picked up as 20 USD, 2 USD per unit

Scenario 3: Free Goods (Inclusive/Exclusive)

We will be using both,Inclusive Bonus Quantity: The customer only pays for part of the goods he or she has ordered. The rest ofthe products are provided at no extra cost. For example, a customer orders ten notebooks but only has to payfor nine.Exclusive Bonus quantity: The customer pays for the goods he has ordered, and also receives additionalproducts for free. The materials delivered as free goods do not have to be the same as the goods ordered. Forexample, a customer orders ten notebooks, and additionally receives a handheld free of charge.Products:Copymachine01Copymachine02Customer:PCS System Pvt LtdSteps:a) Create Access Sequence ZNA0 a copy of access sequence 0NA0 for free goods. Maintain the accesswith condition table SAP010Access defined here is: Sales Org / Distribution channel / Sold-to-party / ProductPath: Spro> CRM> Basic function> free goods> set up free goods> create access sequence



a) Create Condition type ZNA0, its a copy of standard condition type 0NA0 for free goods

Path: Spro> CRM> Basic function> free goods> set up free goods>create Condition types



a) Assign Access sequence ZNA0 to Condition type ZNA0

a) In Condition maintenance group assign condition type ZNAO to Condition maintenancegroup ZFREEGOODS

Path: SPRO> Master Data> Conditions and Condition Techniques> Condition Techniques basics> CreateMaintenance Group



a) In condition type ZNA0 maintain the condition records

Path: Main Menu > Master Data > Prices and Condition > Maintain Conditions

For Inclusive:

Type: 1 need to be maintained for inclusive free goods. Here there is no need to maintain free product

For Exclusive:



Type 2 should be maintained. Here you should maintain the free product details, it can be the same product orthe diffirent product

a) Create a free good procedure ZNA001, a copy of standard 0NA001 procedure

Path: SPRO> CRM> Basic functions> free goods> Set up free goods> Create free good determinationprocedure

In control data replace the condition type 0NA0 for price with our condition type ZNA0



a) Assign free good determination procedure: Here you have to maintain the sales organization, customerand document pricing procedure Customer Pricing Procedure- 1 (Standard) / Document Pricing Procedure- A(standard) / Division -1



Path: SPRO> CRM> Basic functions> free goods > set up free goods > Assign free goods Determineprocedure

a) Create Standard Order, Below is the pricing condition at Item levelT-Code: commpr01

For Inclusive free goods:

The customer only pays for part of the goods he or she has ordered, In this case he will be charged for only 9nos of product and 1 nos will be provided at no extra costFor Exclusive free goods:



The customer pays for the goods he has ordered in this case 10 nos and also receives additionalproducts for free, 1 nos of Copymachine02

Scenario 4: Campaign Based Pricing

Maintain a campaign specific pricing. Creating a campaign and assign product and discount records for it.Stepsa) Create a campaign determination procedure (ZPCS01)Path: Spro> Crm > basic function> campaign determination> define determination procedure



a) Add Elements of determination (Condition type)namely 1200, 1201 and ZCAM to thedetermination procedure

a) Determination of procedure for campaign determinationPath: Spro> Crm > basic function> campaign determination> assign determination procedure



a) Create a campaign: Campaign can be created using Marketing Pro RoleT-Code: crm_ui



a) Maintain the product for which campaign is applicable

a) Enter the condition records (Discounts) applicable for the campign

a) Create a condition maintenance group for campaign



a) Add condition types ZCAM, 1200,1201 to maintenance group 1200 for Campaign



Create condition exclusion group ZDIS & ZPCS. If several condition records are valid for pricing in thedocument item, you can define rules that determine which condition records are selected and which are nottaken into consideration. To do this, we use condition exclusion.Excluding condition records is controlled using exclusion groups. An exclusion group is a list of condition typesthat are compared to each other in pricing and can be used to exclude a whole group or individual conditiontypes in a group.You can set the pricing result so that it is influenced by specific criteria (for example, the cheapest price) andthat some condition types are excluded whereas others are taken into account.



a) Maintain condition types in exclusion group



a) Conditions exclusion: procedure assignment

Maintain the exclusion group and condition exclusion procedure as best of two exclusion types



a) Assign campaign to the sales order

a) Create standard order. The best possible discount gets determined for the sold to party.Condition type 1201 with 8% discount gets determined not the 2% general discount applicablefor occasional buyer (shown in the below screen shot.

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