Customer contracts are ideal when you are offering special prices that are valid for items during a specific period. Tip: If several valid contracts exist for the customer, the system selects the one with the lowest price. Note: You can also set up a new customer contract via the Quotation routine, when you copy a quotation to a contract. (See Copy a sales quotation to a contract).
Every contract that you define must fulfil a minimum set of requirements. You must identify the:
- Start date of the contract
- End date of the contract
- Items that are subject for sale under the contract terms
- Warehouses where the items are stocked. If left blank the contract details will apply to all warehouses
- Unit in which the items are sold. If left blank the contract details will apply to all units
- Currency used in contract. If left blank the contract details will apply to all currencies
- Agreed-to-price
- Contract base (whether the contract is based: on the quantity sold; for a duration of time; or both).
- Quantity contracted: A value is entered in this field only if your customer has agreed to purchase a certain amount of goods over a specified period of time.
The pricing of the items in a contract is flexible. The alternatives are:
- Fixed price
- Variable price
- FOC
- Retrieve price from Sales price list
The discounting alternatives are as follows:
- Unique Limit dependent pricing for the specific contract – based on quantity ordered or amount value.
- Predefined Limit dependent pricing via a Limit code – based on quantity ordered or amount value.
- Discount amount or percentage with no limit restrictions – with price on contract (can be fixed price, variable price or sales price list price).
- Discount amount or percentage with no limit restrictions- no price on contract. Takes the base Price from the Customer’s sales price list or the Standard Price list set in the DIS control file.
Note: Any discounts you offer your customer can be claimed back from your supplier/manufacturer via the functionality in the Supplier Marketing Support application. See About Supplier Marketing Support (SMS).
The above pricing/discount alternatives provide flexibility when drawing up contracts. As an example:
- You can define a contract for a customer that offers a discount off the Sales price list price of a particular item. The price list price can be either the: system’s default Price list (as defined in the DIS Control file), or the customer’s default Price list (as defined in the Customer file). For more information see About setting up sales price lists.
- You can define a time-based contract in which you offer a fixed price for a particular item for a fixed period.
- You can agree to give your customer a certain amount of goods, free-of-charge.
- You can define a contract where you offer discounts based on the quantity ordered.
- You can define a contract that is both time based and quantity dependent.
Enquiries and printouts
- Customer contracts enquiry
- Limit codes table enquiry
- Sales price list enquiry
- Customer contracts printout
- Limit codes printout
- Sales price list printout
Related topics
- Create a customer contract
- Add and price the items in a customer contract
- Generate a suggested retail price from the sales price of a customer contract
- Add FOC items to a customer contract
- Setting up the sales pricing functionality
- Sales pricing retrieval flowchart
- Copy a sales quotation to a contract
- About Supplier Marketing Support (SMS)