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Update customer margin prices for a future date

  • Updated

Update your customer margin prices based on a future price date from the Customer Margin Price Update screen .

You select a Future Margin Price Date, and then Inform ERP

  1. identifies all items with cost changes scheduled for that date;
  2. calculates that the new price will be for the customer;
  3. and updates the price in the Adjusted Price field for the product;
  4. using the date of the cost change.

You can view this Adjusted Price in the Customer Order Pad.

To compare current and future cost and sell prices, run the Customer Margin Price Report before and after you run the update. Make any necessary changes to customers and products that should not have their prices increased.

You can configure Inform ERP to base the updated prices on the History Cost or the Product Cost (Company > Master > Pricing/Costing, Customer Margin Update Based on (H)istory or (P)roduct cost):

    • History: Looks at the current Adjusted Price entry and last cost from the customer's Sales History, calculates the change from the historical cost to the new cost, and increases the price to preserve the same margin. This will result in price increases for your customers only when the new cost of the product is greater than the cost the last time that they purchased it.
    • Product: Looks at the current Adjusted Price entry and the last cost of the product in the Product Master, calculated the change from the product cost to the new cost, and increases the price to preserve the same margin. This will allow you to increase your customer's price when the cost of the product fluctuates, rather than relying on their Sales History.

If recalculating based on the Product Cost, you have the option to clear the Adjusted Price entries that were updated by the system last time the Customer Margin Price Update was run, before performing your next update. Any manually entered Adjusted Prices will not be cleared.

  1. Go to Sales > Pricing > Customer Margin Price Update.

  2. From the Future Margin Price Date calendar, select the future date for which you would like to update pricing.
  3. Use Customer Selection Criteria and the Product Selection Criteria to select the appropriate group of products and/or customers that you would like to include in the update. To learn more about selection criteria, see Selecting data.

    If the update should include all products and customers, you can skip to step 4.

    • Margin Price: Calculates the new price to preserve the current Gross Profit margins for your customers. You can set a Percent Limit in the field below to prevent products with high profit margins from being increased. Any products with a current Gross Profit margin greater than the percent limit that you set will not have their prices increased, and will have their margin reduced going forward, based on the new updated cost.
    • Percent Increase Sell: Increases the current Sell Price for all products included in the update. Enter the percent that you want to increase the margin in the Percent field below.
    • Percent Increase Margin: Increases the current Gross Profit Margin for all products included in the update. Enter the percent that you want to increase the margin in the Percent field below.
    • Quote Percent Increase: Increases the current price on price quotes by a flat percent. For example, if the customer is quoted $10 for an item and the quote percent increase is run for 5%, the new price on the quote will be $10.50.
    • Gross Profit %: Overrides the Gross Profit percent for all products included in the update.
    • Clear Adjusted Price: (This option appears only if you are set to recalculate based on the Product Cost in your Company Master). This option allows you to clear Adjusted Prices that were updated by the system the last time that the Customer Margin Price Update was run. Any manually entered Adjusted Prices will not be cleared. Run this option before you run the price update.
  5. Click OK. Inform ERP updates the margin prices for your customers, which may take several minutes. You can then send Customer Margin Price Letters to notify your customers of the change.

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