Mastering NetSuite Pricing: Tips for Creating Profitable Price Levels

OpenTeQ Admin | Updated: Jul 8,2024
Mastering NetSuite Pricing: Tips for Creating Profitable Price Levels

To assist you in setting item pricing and making sure you are billing your customers the correct price, NetSuite offers some very useful features. Price Levels, Pricing Groups, Quantity Pricing (and Pricing Schedules), and complimentary SuiteApps like their Effective Date Pricing solution are among the tools provided by NetSuite to assist you in managing item prices. Even though these tools are quite useful, setting them up doesn't have to be difficult at first. Whether you're leveraging NetSuite Professional Services or working with a NetSuite reseller, mastering NetSuite pricing can significantly impact your profitability. We will go over the many native pricing choices available to you in this blog series.  

First, let's go over the fundamental idea of price levels and how to set them up. We'll go into further detail about additional use cases as we go along, like quantity pricing and pricing groups, which allow you greater freedom when determining item prices. Now that we have that out of the way, let's quickly review the NetSuite pricing tiers.

Why Do Prices Vary?  

Price levels essentially let you set different prices for certain clients. In addition to offering clients individual pricing, you can minimize the amount of data entry required to provide a varied price by establishing and populating prices across price levels. Should you discover that your company is in this situation, pricing points can assist you in reaching this goal. Let's examine the steps involved in setting this up. 

The Process 

Setting and maintaining price levels is a very easy process.  

  • If the functionality isn't activated already, we activate it.  

  • Our price points are our own creations.  

  • We add prices for these price points and update our inventory.  

  • We inform our clients and choose the appropriate pricing tier.  

Facilitating Elements  

Let's activate the feature first. Making use of an Administrator or another job that has the necessary authority:  

Go to Setup > Company > Configure Tasks > Activate Features.  

Make sure the Multiple Prices box is checked in the Transactions subtab.  

Press Save.

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Establishing Pricing Levels  

We can now construct our first price level because the necessary feature has been enabled.  

  • To access Accounting Lists > New, navigate to Setup > Accounting > Setup Tasks.  
  • Choose the Price Level.  

  • In the Price Level field, type a name. Here, a name that is descriptive is advised.  

  • Fill in the Markup/Discount % field if applicable. Just type the number to enter a markup. Enter the number as a negative number to enter a discount.  

Note: NetSuite uses the item's Base Price to determine the markup or discount.  

  • Check the Update Existing Prices box to update the current prices for this pricing level.  

  • Press Save.  

Changing Items  

We can now open an inventory item and check the price level because we have built our pricing level. The item can also be edited, and a price can be specified for the price level.  

  • Go to Items > Accounting > Lists.  
  • Click Edit to open an existing item.  

  • To see the item's pricing table, scroll down to the Sales / Pricing tab.  

  • We might enter a price for a certain pricing level here. We can specify pricing per quantity break if we're utilizing quantity pricing.  

  • Note: In a later blog, we'll talk about quantity pricing.  

  • Press Save.  

Refreshing Clients  

Assigning the pricing level and updating our consumers constitute the last setup phase. Here's how you can accomplish this:  

  • Go to Relationships > Lists > Customers.  

  • Click Edit to open an existing customer.  

  • Locate the Price Level field under the Financial tab, then choose the appropriate price level from the dropdown list.  

  • The price level chosen here will determine the customer's pricing when a sales order is created for them. The selection here is subordinated to group pricing and customer-specific item pricing, though. Those two price alternatives will be covered in a later blog article.  

  • Press Save.

We can finally start creating sales orders to ensure customers are receiving the correct pricing now that we have established our price levels, updated our items to set pricing, and updated our customers to set the price level. In this case, I advise generating multiple sales orders to confirm that the consumer is receiving the correct pricing. After you have uploaded your item, find the price level line column and make sure the amount matches the customer's setting. Furthermore, confirm that it corresponds with the price listed for the particular pricing level you have chosen for the item.

About Us  

OpenTeQ is a top supplier of cutting-edge NetSuite and other cloud-based enterprise resource planning (ERP) systems. NetSuite price analysis, NetSuite training, and NetSuite integration services are just a few of the services that our team of NetSuite specialists provides.  

By offering knowledgeable NetSuite cost optimization and deployment solutions, we hope to assist companies of all sizes in getting the most out of their investment in the platform. Our NetSuite administrators and consultants have years of expertise as NetSuite partners, making them well-suited to assist companies of all sizes with their NetSuite consulting requirements. While implementing NetSuite can be a significant investment, exploring NetSuite at Zero Cost initiatives can provide substantial savings. Some NetSuite resellers offer financing options or promotions that can reduce or eliminate upfront costs. By taking advantage of these opportunities, you can implement NetSuite's advanced pricing features without straining your budget. 

Mastering NetSuite pricing is essential for creating profitable price levels that drive business growth. By understanding the fundamentals, leveraging advanced pricing models, and collaborating with NetSuite Professional Services or a NetSuite reseller, you can develop effective pricing strategies tailored to your business needs. 

OpenTeQ can assist you whether you're searching for a NetSuite consultant to aid with your NetSuite deployment or you require continuous NetSuite support.

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