Price Waterfall is the industry standard for Price and Margin calculation. Price waterfall defines a sequence to handle different prices with the target of reaching the net price.
This feature is available only in the TurboPricing flow. For more information, see About TurboPricing.
A well-defined Price Waterfall provides transparency and high visibility of pricing calculation and helps protect margins and avoid incorrect pricing.
Price Waterfall comes with features for transparency and high visibility in pricing calculation and protecting margins, avoiding incorrect pricing. In addition, Price Waterfall defines a sequence to treat different prices with the end goal of arriving at the net price charged to the customer.
Price Pipeline enables administrators to configure the price execution flow and set the groundwork for Conga's Price Waterfall feature to display detailed pricing steps for end-users to visualize. Price waterfall is a tool that provides users detailed information on how much revenue the company is generating from a transaction and the pocket margin of that transaction. The waterfall is typically represented in a column chart consisting of critical price or margin points and any adjustments that were applied on the list price to arrive at the final price or margin.
The advantages of the price waterfall functionalities are as follows:
- Provides Sales Representatives with the ability to drill down on any price point visible to them so that they can make better decisions and better communicate the deal to customers giving them more leverage during a negotiation.
- Provides Approvers and Deal Desk with a complete picture of the different price points, preapproved and non-standard adjustments, and costs to better analyze the health of the deal.
- Provides Cost Accountants and Controllers' ability to drill down on the cost (if cost is included as part of the Price Pipeline) to ensure that the true profitability is calculated for the deal to ensure the company's bottom line goals are met.
Configuring Price Waterfall
To configure price waterfall, perform the following steps:
Create new price points as picklist values in the "Price Points" field in the Price Rule object in salesforce so that these price points can be used when defining any price pipeline.
|2||Configure Price Pipeline||Define price points and configure price pipelines.|
|3||Configure a Price Waterfall to a Price Pipeline|
Configure a price waterfall to a price pipeline.
The following chapters describe the steps to configure price waterfall: