Calculating your commissions based on the product detail allows you to set different commission formulas based on the product that is sold and or the customer who purchased the item. example: Commissions can be calculated in a very targeted manner with commissions based on a very specific relationship of salesman, customer, and product detail. Commission formulas can also be set with effective and expiration dates to coincide with product sales promotions and/or sales incentive persons.
Commission formulas can also be set for salesmen using groupings of as many combinations of customers, products, buy lines, vendors, price groups, product lines, and major groups to make up their Salesman Commission Matrix. This collection of commission formulas will calculate the commission earned on their salesman commission statement. For example, if you want a specific salesman to receive a 25% commission on and sales on product from your "Clearance Price Group" you can set the formula so that the commission will be automatically calculated when the invoice is run.
|
Grouping Type |
Description |
Commission Example |
|---|---|---|
|
CUSTOMER |
Commission Formula for a specific customer. Can be combined with other levels as well. |
Salesman receives 30% commission on products sold to ABC Contracting. Formulas set for an individual customer will override other formulas set for the salesman. For example, if there is a formula set up for the customer and product line 123, it will be used in place of the formula for the salesman and the product line 123. A general formula for commissions on sales to this customer can be set on level 6: Salesman\Customer. |
|
PRODUCT |
Formula for commission on an individual product. Formulas set on this level will override those on any other level, except those set for specific customers. |
Salesman receives 30% commission on product ABC123. |
|
BUY LINE |
Formula for commission on products that are assigned to a select Buy Line. Buy Lines are typically used to group products for purchasing. |
Salesman receives 30% commission on products assigned to the Buy Line DEF. |
|
VENDOR |
Formula for commission on products that have a vendor specified as their Primary Vendor. Products with the vendor listed as a secondary vendor will not have their commission calculated using this formula. |
Salesman receives 30% commission on products whose Primary Vendor is XYZ Manufacturing. |
|
PRICE GROUP |
Formula for commission on products that are assigned to a select Price Group. Price Groups are typically used to group products for pricing. |
Salesman receives 30% commission on products assigned to the "35% Gross Profit" Price Group. |
|
PRODUCT LINE |
Formula for commission on products that are assigned to a select Product Line. Product Lines are typically used to group products based on the type of item. |
Salesman receives 30% commission on products assigned to the "Can Liners" Product Line. |
|
MAJOR GROUP |
Formula for commission on products that are assigned to a select Major Group. Major Groups are used to group similar Product Lines together. |
Salesman receives 30% commission on products assigned to the Product Line "Can Liners" because it is part of the Major Group "Liners".
Major Groups can be a great way to set the same commission formula for multiple product lines at once. |
See Also