Price override
Reviewed by Dasha ShakovVP Marketing, Proton
Updated
What is price override?
A price override is a manual change to the price the ERP calculated for an order line, made to match a competitor, keep a promise or save a sale. Reps and CSRs make them, and each lowers margin a little, so distributors record who made it and why.
Price override example
“The other guys are $8 cheaper on that pump.” The CSR matches the price, and the ERP logs the override with a reason code for the sales manager’s month-end review.
Related terms
- Margin leakageMargin leakage is profit a distributor loses through many small, often unnoticed gaps between the price or cost it should have had and what it got.
- Price matrixA price matrix is an ERP table that sets prices by pairing customer groups with product groups and giving each pair a rule, such as a discount off list.
- Contract pricingContract pricing is a set of fixed prices agreed with a specific customer for specific items over a set period, after a negotiation, bid, RFP or GPO deal.
