About the delivery
ProsessPilotene delivered Marginer for Jets Vacuum AS (2024).
Margin per quote/order line for items not defined as service items. Header-level margin that compares the cost price of all products with the total amount in the quote/order header and measures it against a floor and target margin defined for each segment or subsegment. Displays a “traffic light” indicator based on the margin level.
Not live as of 03.05.24
Value creation
By displaying margins for individual lines and the total, it will be easier for salespeople to ensure that products are sold at profitable prices.
This also allows salespeople to be more flexible with discounts for different line items and offer large discounts on individual line items (and communicate these to their customers), as long as the overall sale has a sufficiently good margin.
The solutions
- Margins
Margins: The product catalog plays a central role in the sales module. It is referenced in standard tables such as order lines and similar tables, and is also used together with membership tables for subscription products and the like.
By default, order lines are added together, and the order is given a total based on quantities, unit prices, and any discounts.
Products do not necessarily have a fixed selling price; instead, the price may vary from one agreement to another, depending on the seller and the customer. In an organization with many salespeople and many such "flexibly" priced products, it can be difficult to determine the point at which a product is no longer profitable to sell.
One solution is to display the margin on products being sold. This requires the seller to know the cost of the product.
Margins can be displayed both per line, such as order lines, and as a total margin for the order containing the aforementioned lines. This can be presented either numerically or in a "traffic light" format, with color coding based on how good the margin is (price corridor).
Area and keywords
Sales
Products, Price, Margin, Price Corridor
Limitations
Margins require a cost to be associated with the products being sold. If this cost is not up to date, the calculated margins will necessarily be incorrect.
Calculations performed per line can typically be handled with a synchronous plugin. For the total, it may be better to use an API or similar. In that case, the user will need to refresh the page to see the updated values.