Price lists in Tensoft DemandOps serve as the backbone of your sales transactions. They ensure that the correct prices are applied consistently across quotes and sales orders. Optimizing price lists in DemandOps is about creating a system that supports your sales strategy and simplifies operations.
These price lists can be based on Internal Parts (used for tracking and operational purposes) or Marketing Parts (customer-facing identifiers that simplify external communications).
Tailoring Price Lists to Your Business Needs
DemandOps allows flexible price lists structures based on:
- Individual customers or customer classes: Create a price list for each customer to honor customer specific agreements or for a class of customers (e.g. distributors or direct sales). You can add custom labels like Distributor Price List, Direct Sales, Sample Parts, etc. to streamline usage and reporting.
- Volume tiers: Create price lists based on part volumes.
- Multi-Currency Support: Maintain price lists in different currencies for global operations. For example, if a customer operates in euros, the system can automatically pull the relevant euro-based price list, ensuring accurate and localized pricing.
With DemandOps, you get the flexibility to manage pricing across diverse sales models, including both sell through and sell to scenarios. In the sell through model, where the end customer and pricing are known upfront, price lists ensure accurate and consistent pricing is applied directly to the sales order. In contrast, the sell to model which often involves deferred revenue recognition requires more nuanced handling. Here, price lists can be customized to reflect agreements that are finalized post-shipment, allowing businesses to track and filter orders based on criteria such as end customer, pricing terms, or sample part usage.
Assigning Price Lists to Customers
- You can assign a default price list to each customer, which will automatically populate during quote or order creation. It simplifies sales operations, reduces manual errors and ensures faster transaction processing. This is especially useful for standard pricing models or when working with high-volume customers.
- You can reuse price lists across multiple customers.
Price List Maintenance
DemandOps supports bulk import of price lists via Excel templates. You can easily update or create price lists. This is ideal for businesses that update pricing frequently to stay up to date with the market changes.
Best Practices for Optimization
To keep your pricing strategy scalable and maintainable:
- Keep it simple: Avoid overly complex pricing structures and scenarios
- Use defaults wisely: Assign default price lists to reduce manual selection
- Leverage the in-built functionality: Create tiers based on quantity or customer type. Use custom labels for streamlined reporting and analysis.
- Ensure synchronization: Align your master price list with DemandOps regularly
By leveraging the platform’s flexible setup, import capabilities, and customer-specific configurations including support for both sell to and sell through models, you can develop a pricing model that scales with your operations.
To learn more about Tensoft and its products, contact us today!