About Additional Volume Discount Plans
This feature lets you offer discounts and item gift rewards to customers that place orders within a certain dollar amount. It gives you two options:
You can reduce the customer's order by a discount percentage whenever the order falls within a set dollar amount, $100 to $200, for example. This discount applies to the entire order total and is based on the subtotal amount, before tax is added. The discount is given in addition to the customer's regular pricing.
You can give the customer a gift item when placing an order within a specific dollar amount, $50 to $100, for example. In this case, a gift item is added to the order at no charge.
Note: The additional volume discount feature is not included in all software packages and may require authorization. For more information, contact ECi sales.
Use the Additional Volume Discount Plans dialog box in the Order Entry parameters to set up plan codes, dollar amount ranges, and discount and gift items. For each code, set up to four different dollar amount tiers. Suppose you assign a plan code of D1 for the first discount. Within that code, set up a range of dollar amounts for $50 to $100; $101 to $200; $201 to 300; and $301 to $5000. Set up as many codes and corresponding dollar amounts as necessary, D2, D3, and so on.
Within the specific dollar range of $50 to $100, specify that the customer receive a gift item, a free box of pens, for example. The second dollar range of $101 to $200 could have a 2% discount given for the entire order and so forth.
When you set up discount percentages in the Additional Volume Discount Plans dialog box in the Order Entry parameters, the system links the discount percentage you specify to an existing inventory item. Linking the discount to an item is useful for tracking and reporting purposes. Unless you have items in your inventory that can be used as discount items, you must add new items for use with this feature in the Item window. Not only does this help the order-taker distinguish between discount plans and regular items while placing an order, it gives you the ability to track and report these discount plans when printing reports.
Therefore, you should carefully consider how to report these discounts. To report the various discount amounts given for specific code plans and dollar range tiers, create several different unique items for each level and for each table you set up. If you only need to view one total amount of volume discounts across all your sales, you only have to set up one unique item, volume discount, for example. For details on setting up these parameters, see Additional Volume Discount Parameters.
Note: If you use the additional volume discount feature and perform a Pre-Pay function, you must set the Default Prepay Due as Backorders field to 100% in the (LG5) Additional Order Entry Parameters screen. If you do not set this field to 100%, the additional volume discount amount posts twice to A/R when you perform the Pay on Pre-Pay function to move the ticket to an invoice (B status).
After you set up your items in the Item window and your plan discounts in the Additional Volume Discount Plans dialog box, assign the customer a plan code in the Additional Volume Discount Plan box in the Customer Order Entry tab. Using the same example, you might assign customer ABC with plan code D1, and customer XYZ with plan code D2.
In Order Entry, when the customer's order falls within a specified dollar range, the system adds the discount amount to the entire order as a credit, reducing the amount of the entire order. If the specified dollar range is set up as a gift item, it is added at no charge to the order. A message displays in Order Entry, notifying the order-taker that the item or discount was added.
In addition, if the customer's order falls within 30% of the next dollar range, the system prompts the order-taker, so the customer can consider adding more items to the order to reach the next dollar range.
Note: When a volume discount line is added to an order in Order Entry, the system updates the P-GLOBAL file. If the order has a negative shipped total, the system prevents invoicing the order with the additional discount line items. Instead, the system holds the order at a status 6. The system also prints a message on the ticket indicating that the order cannot be invoiced. The system also holds a negative shipped total order with additional discount items to a status 6 or 7 when using the (TR)[G] or (TR)[V] functions. An AAAA special line is added with the text Negative Total – Invoicing Not Allowed and an exception is created. When final-verifying a ticket, if the order has a negative total, the system holds the order at a status 6 or 7 and creates an exception. In addition, additional volume discount items cannot be placed on a picking manifest. These factors only apply to discounted items, not gift items placed on the order.
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