Adding Price Book Entries for your Product
Admins specify the price(s) of a product by creating Price Book Entries for the product. Mobileforce CPQ does not allow users to select a product as a line item in a quote unless a Price Book Entry exists for the selected Price Book.
Price Book Entries for a Product are created and managed from the Pricing tab of the Product list view
Additionally, the Price Book Entries for a Price Book can be managed from the Prices page. For more information, see Managing Price Book Entries.
To create a Price Book Entry, from the Product list view, navigate to the Pricing Tab of a Product. Any existing entries are listed in the Price Book Entries table.
The Pricing tab not only lists any existing Price Book Entires, but also it provides options for Admins to specify how frequently the price is invoiced to a customer and the allowable discounts for the product. For more information, see Adding Products to Mobileforce CPQ.
Click the Add Entry button to open the Add Price page.
From this page, you can specify the price book options, description, method, unit-price and/or fixed price, and the effective/expiration dates. When finished, click Save to add the Price Book Entry to the Product.
The following sections describe the options that you can specify:
- If the entry was created from a Product, click the Pricebook dropdown list and select the desired pricebook.
- If the entry was created from a Price Book, click the Product dropdown list, and select the desired product.
Optionally, specify Tag and Description details as needed.
When you save the price book, Mobileforce CPQ automatically populates the metadata values (such as Created Time) for the product.
The Prices options are determined by the Method selected, the price entries specified, as well as the Pricing Tier options (if the method is Volume, Tiered or Block)
First click the Method dropdown list and select method used to specify how the product's subtotal is priced when added as a line item in a quote, based on the specified quantity.
Select from the following options:
The specified price is added to the quote, regardless of the product's quantity.
The specified list price is multiplied by the quantity of items selected in the quote.
In the next two examples, a organization has created a Price Tier matrix for apples, where the first tier is $10 for 1-50 apples, the second tier is $8 for above 51 apples.
Mobileforce determines the List Price from the Price Tiers, based on the quantity in the line item. The quantity is then multiplied by the selected List Price.
If 70 apples were added as a line item in a quote, the Subtotal would be $560, where 70 apples were multiplied by the second tier price of $8.00.
Tiered: Mobileforce looks up the List Price(s) from the Price Tiers, based on the quantity in the line item. The quantity that matches each tier is multiplied by the selected List Price, and then added together to detemine the Subtotal.
If 70 apples were added as a line item in a quote, the Subtotal would be $660, where 50 apples were multiplied by the first tier price of $10, 20 apples were multiplied by the second tier price of $8, and these values were added together.
Block: Mobileforce determines the flat fee for the items based on the Price Tiers and the quantity in the line item.
If a organization has created a Price Tier matrix for apple bushels, where the first tier is $100 for 1-3 crates, the second tier is $200 for 4-6 crates. If 5 crates were added as a line item, the Subtotal would be $200.
List Price: The price that is populated when the item is added to a quote. This is the Unit price for the product. Used by the flatFee and perUnit methods.
Minimum Price: The lowest price that the item can be discounted in a quote.
For the volume, tiered, and block methods, the price book item has an associated matrix of prices, which provides a list price for a given range of quantities.
Each row in this matrix has the following fields.
id: Internal unique numerical ID for this table row.
priceBookItemId: Id of the price book item owning this tier
from: Start quantity of this tier.
to: End quantity of this tier.
listPrice: Unit price for this tier.
Multiple Price Book Entries
Whilte some organizations have a single Price Book, many others have multiple Price Books, typically when quoting products for multiple geographic locations, currencies, or customer segments.
If your organization has multiple Price Books, you must create a Price Book Entry for each Price Book where the product can be added as a line item.
However, Mobileforce cautions the use of multiple Price Book Entries for the same Price Book, as there is not a clear way to distinguish between entries without additional Mobileforce Admin configuration.
Some organizations require the ability to price a product differently in different contexts.
A hardware company provides a service management contract that has a single product listing in their Price Book; however, there are two pricing plans, one price for their standard customers, and a higher price for their enterprise customers.
This is configured by using tags. Mobileforce CPQ provides the Tag field on the Add Price page. Admins specify a unique tag for the Price Book Entry to distinguish it from other entries. Admins then can create rules that ensure that the correct Price Book entry is selected when a Seller chooses the applicable option when adding the product as a line item.
The following screenshot shows two Price Book Entries for a product, one entry is disambiguated by the enterprise tag.
For more information, see Leveraging Pricing Flexibility using Tags.