SAP Cloud for Customer

Pricing

Version 2.3
Objectives

At the end of this unit, you will be able to:

 Obtain an overview of the pricing topic in SAP Cloud for Sales and
Service
 Understand the capabilities and options related to how pricing is used in
for sales quotes/sales orders while online
 Understand key features and functions of pricing in SAP Cloud for Sales
 Understand the options and flexibility in setting up pricing through
business configuration
 Understand the difference between internal and external pricing
 Understand basics of offline pricing in SAP Cloud for Sales

This presentation assumes you are familiar with the general concepts of SAP
Cloud for Customer.
Internal Pricing
Work Center Views for Internal Pricing

FEED CUSTOMERS PEOPLE MARKETING PRODUCTS SALES ACTIVITEIS LIBRARY ANALYSIS PARTNERS

SALES
EMPLOYEES CAMPAIGNS PRODUCTS APPOINTMENTS
LIBRARY
FEDD ACCOUNTS LEAD DASHBOARDS PARTNERS

SAPJAM TARGET PRODUCT PARTNER

OPPORTUNTIIES TASKS
CONTACTS GROUIPS GROUPS LISTS REPORTS
FEED CONTACTS
INDIVIDUAL MARKETING SALES PHONE
PRICE LISTS
CUSTOMERS LEADS QUOTES CALLS
DISCOUNT
Competitors FORECAST E-MAILS
LISTS

CAMPAIGN PRODUCT
TERRITORIES
FILE FORMATS CATEGRORIES

SALES TARGET
PLANNING

SALES
ORDERS
Pricing Concept Internal Pricing

 As a basic rule pricing depends on the relevant price master data, which derives mainly from a price
list which determines a mandatory list price and several optional discount lists, which determines the
discounts.
 Other price elements such as freight, or surcharge are essential for the total value calculation.
 Price master data can be maintained in the work center PRODUCTS.
 SAP Cloud for Sales contains a predefined set of price elements; some of them can be activated in the
scoping of the Business Configuration and Fine-tuning.

150 $

100 $
Main price elements
200 $
 List Price
 Discount
Additional price elements Price for a
 Surcharge product/service

 Freight
Distribution Customer
 Cost Estimate Base price chain
Discount given
specific price individually or
dependent price
applied automatically
Customer Group specific
Work Center Internal Pricing

Pricing View:
 View PRICE LIST in part of the Work Center (WoC)
PRODUCTS
 This view allows you to create, maintain and mass
update price master data such as price lists, discount
lists
Main Views:
 Price Lists: price lists of different types (base price, distribution chain specific and customer specific) can
be maintained
 Discount Lists: discounts lists can be maintained in different granularities (overall customer group,
overall customer, customer product specific and customer product category specific)

Scoping determines which price lists

you are available to use.
 Internal Pricing in Sales Quotes/Sales Orders

 List Price: Mandatory price

element, which is automatically
Pricing Result:
determined depending on the  Pricing can be easily overwritten in the table view of the sales
relevant price list. The List Price
can manually be overwritten.
quote.
 Important price information is displayed at a glance.
 Discount (%): Optional price
element, that can be manually
entered or determined through
the relevant discount lists. If the
system determines several
discounts, these corresponding
fields cannot be edited here. In
this case, you can view and
maintain the discount details in
the Pricing tab. Discounts can
manually be overwritten.

 Additional Price Elements: A

further Overall Discount (%)
applicable to the calculated total
item net value can be maintained
manually. This is not derived from
any discount list.
Internal Pricing in Sales Quotes/Sales Orders

Optional: Add Overall Optional: Overwrite Optional: Add Product

Discount (%) List Price Discount (%)
 Internal Pricing Tab for Sales Quotes/Sales Orders

Detailed Pricing Result:

 Item Pricing: You can view and
update pricing details for selected  Detailed pricing can be viewed and changed in the Pricing tab
line items. Expand an item to see of the sales quote.
all its relevant price components.
In case input fields are grayed out  Additional price elements such as surcharges can be added to
like tax* the user cannot change the pricing result in the pricing tab.
the data here. In addition, other
price elements such as  Some price elements can be adjusted on item level for
surcharges can be added to a line selected line items or for the complete document.
item here.

 Total Pricing: You can view and

update pricing details for the
entire document. In addition,
some other price elements can be
added here, such as Overall
Discount (%).

*Note: SAP Cloud for Sales does

not offer tax determination with
internal pricing.
Internal Pricing Tab in Sales Quotes/Sales Orders

Update Pricing based

on pricing date
Internal Pricing Tab in Sales Quotes/Sales Orders

Add further price Change price

component for product component description

Add price component

for complete sales
quote
Key Features for Internal Pricing

The following Key Features are available:

 Price Elements

Key  List Price, Product Discount (%)

Features for  Additional Price Elements
Price Master  Price Master Maintenance
Data  Price Mass Change
 Price Scales
 Quantity and Currency Conversion
Main Price Element: List Price

 Price Lists: The following price lists

List Price:
are available in the system:  List prices are centrally defined and managed in Price Lists.
Customer Specific, Distribution
Chain* Specific and Base Price  The system takes multiple parameters into account in order to
Lists**. enable flexible pricing.
 Price List Overview: The price lists
are maintained as price master data
in the Pricing View. They have a
validity period, need to be released
before they are active and optionally
can require approval.
 PriceList Determination: To
determine the net list price of a
product or service, the system
checks all price lists that fit the
parameters passed from the sales or
service document such as customer,
sales organization, product, product
category, and posting date.

* A Distribution Chain represent the

combination of a Sales Organization
and a Distribution Channel.
** Only one Base Price List can be
released.
 Main Price Elements: List Price

Access Sequence Price List:

 The system checks first for a customer specific price list.
 If there is no customer specific price list, a customer group specific price list will be considered. If this is not available,
the system checks for distribution chain specific price list.
 Finally, if there is no distribution chain specific price list it checks for the base price list.

Customer Specific Customer Group Distribution Chain

Base Price List
Price List 1 Specific
2
Specific
3b 4b
Price List Price List

Distribution Chain
Alternative by Product Category Specific Base Price List
Price List by By Product
Product Category 3a
Category
4a
 If price lists are maintained by Product
Category (option in business configuration)
we use the same access: Customer
Specific Price List-> Distribution Chain
Specific by Product Category -> Base Price
List by Product Category, whereby the
product category specific price list has
priority.
 Main Price Element: Product Discount (%)

 Discount Lists: The following

discount lists are available in the Product Discount (%):
system: Customer Specific Discount  Product Discounts are centrally defined and managed in Discount
Products, Overall Customer
Discount, Overall Customer Group Lists.
Discount, Customer Specific
Discount List by Product Category.
 The system takes multiple parameters into account in order to
enable flexible pricing.
 Discount List Overview: The
discount lists are maintained as
price master data in the DISCOUNT
LIST View. They have a validity
period, need to be released before
they are active and can require
approval.

 Discount Determination: To
determine the product discounts
for a product or service, the system
checks ALL discount lists that fit the
parameters passed from the sales
document such as customer,
customer group, product, product
category and pricing date.
Main Price Element: Product Discount (%)

Determination of Discount Lists

 The system checks for all Discount Lists.
 Different from the calculation of the List Price, all relevant Product Discounts will be
considered in the price calculation.
 SAP Cloud for Sales supports discounts in percentage, no fixed discount lists. (Discounted
are always the discounted values, e.g. List Price = 100 USD, 1st discount 10% = 10 USD, 2nd discount 10% = 9 USD,
3rd discount 10% = 8,10 USD)
1 2 3 4

Customer Specific Customer specific Overall Customer Overall Customer

Discount List Discount List by Discount List Group Discount
Product Category List
 Mass Price Maintenance

Mass Price Change:

 Perform Price Changes: For  Changing of Price Lists can be performed for multiple items or all items
Price lists, a mass update of product at once either with a fixed value or by percentage through a guided
prices can be performed in the price
list editor of the price list item tab with
activity.
action “Change Prices” or use the  Rounding Rules support the mass update to support the calculation of
migration template to update a price charming prices such as 7,99 USD or 7,95 USD.
list (see slide 38).
 Another option for changing prices is
the usage of the migration template
in order to update a price list.

 A guided activity will display the old

and new calculated price in one view.
Decide if you want to update your
price with a fixed value or through a
percentage.
 A price list can be copied before
changing its prices (to make a
backup of the original price list). The
name of the new price list will need to
be changed (each price list name
represents a unique identifier).
Price Scale Maintenance
Price Scales:
 You can define from-scales for prices which depend on different quantities.
 The scale you maintained as master data determines how values are calculated. For
example, you can use a scale to define that a single boiler costs $788 but if you buy at least 10 boilers the price
decreases to $750 per unit.
 NOTE: Use a “from” price to define the price range and start with a value 1 each.
Additional Price Elements

Additional Price Elements:

In addition to List Price and Product Discount (%) there are several other price elements
available.
 Surcharge

Two different price components are available for surcharges. You can define surcharges as
percentages or fixed amounts according to your needs. All surcharges can be used side by side.
Price master data view is not available for Cloud for Customer.
 Restocking Fee

This price element can be used and renamed to define a fixed discount amount for the
complete sales quote.

 Cost Estimate and Profit Margin

Cost displays only if Profit Margin is included in your business configuration. In SAP Cloud for
Sales Cost can be entered manually by the user for each product. Total profit margin is part of
sales quote’s approval condition.
Additional Price Elements

 Quality Loss Fee

This price element can be used and renamed to define a fixed discount amount for each product
in the sales quote.

 Total Item Net Value

This is calculated by adding all the item net values. This value cannot be edited.

 Overall Discount (%)

The overall discount (%) is an additional general discount applied to the total item net value. This
can only be applied manually.

 Freight

This price element covers the freight amount determined automatically or entered manually.
This price condition is only available if activated via business configuration. Price master data
view is not available for Cloud for Customer.
Additional Price Elements

 Rounding Difference

This is a value that has been lost or gained through rounding. This value is used only for
currencies that do not have low denomination coins such as 1c or 2c – for example, Swiss francs
or Australian dollars. For these currencies, the price must be rounded to the nearest available
value, such as 0c or 5c. The system automatically determines the rounding value for a currency.

 Total

This is calculated by adding the total net value.

 Total Given Discounts (%)

This is calculated by adding all the relevant product discounts given. This value cannot be edited
directly by the user. It can be influenced by editing the product discounts at the item level. Price
element is part of sales quote’s approval condition.
Price Calculation

Price Calculation:
 In SAP Cloud for Sales the system automatically calculates currency and quantity
conversions that lead to the determination of the total value for the sales quote.
 Currency and Quantity conversions depend on further master data maintenance.

Currency Conversion Quantity Conversion

 During the price calculation, currency  During the price calculation,
conversion occurs if the currency of the quantity conversion occurs if the unit of
price master data differs from the measure requested in the document
document currency, depending on the differs from the price unit maintained in
exchange rates maintained as master the price list
data (common task in Products view)  A prerequisite is that the quantity
 The document currency is defaulted conversions are maintained in the
from the account master sales data product master data

Note: Exchange Rates update can be triggered through SAP ERP Integration.
Reporting and Forms

 No particular reports for price master data.

Reporting
 No report for detailed price analysis in the sales quotes/sales orders.

Forms  For each Price- /Discount List type

Form – Price- / Discount List
Business Configuration: Scoping

Configuration capabilities
for Pricing: Scoping General Business Data
Business Area ->
General Business Data

Business Package ->

Product and Service Pricing
 Business Configuration: Fine-Tuning

 In Fine-Tuning (Activity
List) -> Configure Price
Strategy

Fine-Tuning Activity: Configure Price Strategy

 There is a predefined set of
price elements with a
predefined order available in
the system representing the
price procedure.

 For some price element you

have a display and print
option on the item and total
level. You can also disable
the editing a price element in
general.

 Renaming of Price Elements:

Some price elements can be
renamed to match customer
needs like Product Discount
(%), Surcharge (%),
Surcharge, Quality Loss Fee
and Restocking Fee.
Data Migration and Access Control

 Sales Price Lists

 Sales Discount Lists

 You can fill the migration template with the data and upload and update
Data Migration
multiple times. The behavior of the update would be like this:
 the validity period will be adjusted
 prices/scales will be updated for existing products
 prices/scales for new products will be added to the price list

Access Control capabilities are available for distribution chain

Authorization dependent Price lists. Access can be controlled by sales organization.
Access NOTE: Base Price List are valid for the complete enterprise and are
Control maintained company independent.
FAQ – Internal Pricing

• Does pricing support gross pricing?

No, we only support net pricing. Tax determination is out of scope for Internal Pricing.
• How to adapt pricing in quotes/orders?
First you should assure that price master data is maintained since a product price is mandatory. You
can e.g. define certain price or discount lists under work center Products. You can also define additional
discounts or surcharges manually for a quote in the sales quote facet Pricing.
Note: You can add existing price components and also rename the price component on the pricing facet
on product level for each particular quote.
• Can I give fixed discount instead for percentage -based discounts?
There is a workaround to do this. Navigate to fine-tuning activity “Configure Pricing Strategy”. Here you
can rename the price component descriptions for “Quality Loss Fee” on product level and “Restocking
Fee” on header level. Both can be used as price components to represent a fixed discount. The
renaming of the price components will also be considered in the output for the sales quote.
Note: You can add existing price components and also rename the price component on the pricing facet
in TI on product level (not header conditions) for each particular quote.
• Can I migrate price or discount lists?
Yes, through the migration workbench. Note: There is no price master data integration to onPrem.
FAQ – Internal Pricing

• How to calculate the profit margin for a sales quote?

You can manual add cost for a product on TI of sales quote on Pricing facet. You need to select the
product and choose “Add Row” and select price component “Cost Estimate”.
Note: You can only calculate the profit margin if you scope this in the business configuration through
business package: General Business Data and business area Product and Service Pricing. Here you
need to select Price Specifications in order to select profit margin calculation in the question section.
Additionally check fine-tuning activity “Configure Pricing Strategy” to enable the display of the profit
margin in the document.
• Why are prices from Opportunity not copied to the Sales Quote?
Opportunity does not allow to maintain prices or discounts or other price specifications. You can only
overwrite a calculated price value. Depending on Pricing Date and a valid price list, we do always a
price determination if a quote is created as follow-up document from an opportunity to receive an
accurate price result.
• Can I request pricing from ERP like for opportunity items?
With release 1502 we introduced External Pricing to get the complete price result (not just the end price)
from an external system, such as SAP ERP and SAP CRM. Note that price determination is then
assigned to the sales quote document type. You cannot determination in one quote a price internally
and another item externally.
C4C Internal Pricing vs OnPrem

• Fixed Amount of Price List Types

• Fixed Amount of Discount List Types
• Single Pricing Procedure with Predefined Price Elements
• Limited Customizing Capabilities
• One Pricing Procedure valid for ALL Document Types
Limitations

 INTERNAL
 No Pricing facet on iPad; only list price, product discount (%) and overall Discount (%)
 No internal tax determination in socpe for SAP Cloud for Sales
 No internal gross pricing
Limitations
 No customer extension scenario for internal price master data and internal price
determination.
 Internal Price/Discount List exceeding 200.000 items cause severe performance issues.
External Pricing
Request Pricing from SAP OnPrem System for Quotes/Orders

 Retrieve complete price information including tax from an external system for a
specific sales quote document type.
 New Fine-Tuning Activity for External Pricing.
 New user action “Request Pricing” to retrieve external pricing for a sales quote or
“Simulate” to retrieve external pricing for a sales order.
 New overview fields:
 Pricing Status (only quote calculated successfully can be submitted)
 Pricing Date (hidden field, also available for internal pricing)
 Pricing Procedure (hidden field)
 Total (Gross)

 “Adjusted Item Price” and “Adjusted Item Value” show up in Products table. “List
Price” and “Product Discount (%)” are not part of Product table for External Pricing.
 Output form adaptation via AdobeLifeCycleDesigner required in order to print external
price elements via view Form Template Maintenance.
Request Pricing from SAP OnPrem System for Quotes/Orders
Scenario Overview

1 Sales Request Pricing (Synch) Order 2

Quote/Sales
Simulation
Order

Pricing Result Query Price Calculation (Synch)

(included to
3
quote/order)
Sales
Document in
Create SAP CRM/ERP Sales Document (Request Document Creation)
OnPrem 4

Confirmation (Notify)

SAP Cloud for Sales SAP OnPrem (CRM or ERP)

Remote Pricing in Execution System

 Pricing is called remotely in execution

system.
 The detailed price information is stored
in the C4C container for external
pricing.
 Selected prices can be adjusted in the
C4C quote/order.
 The quote is finally transferred to the
execution system.
Request Pricing from SAP OnPrem System for Sales Quotes

Set In Scope for external Pricing

Request Pricing from SAP OnPrem System for Sales Quotes Fine
Tuning in C4C

Fine Tuning Activity: Sales Quotes ->

Document Types
Flag “External Pricing” for Sales Quote
Document Type

Fine Tuning Activity: External Pricing

Adapt terminology for price elements
Request Pricing from SAP OnPrem System for Sales Quotes

Only Adjusted Item

Price/Value will show
up for External Pricing
in Products table.
Pricing overview
for the selected
Product.

New hidden fields

for External
Pricing.

Pricing overview
for the complete
sales quote.
Enhanced External Pricing

 View and edit External Price

Elements directly on header
or in products table of sales
quote/sales order.
 Allows you to completely hide
Product Pricing/Total Pricing
view and focus on the main
price elements.

External Pricing Element

 New fine-tuning required in

activity External Pricing.
Enhanced External Pricing (15.08)

 Five entries for covering price

elements on Product level.
 Three entries covering price
elements on Total level.
 If you keep pricing procedure
empty, the user will be able to
add the price element before
“Request Pricing” was
triggered.
 Each price element will show
in the UI as
 <Price Element Description>:
 <Price Element Description>:For
 <Price Element Description>:Value
FAQ – External Pricing

• How to setup External Pricing?

http://scn.sap.com/community/cloud-for-customer/blog/2014/07/02/giving-the-brand-new-external-
pricing-feature-a-test-drive

• Does external pricing support contract or promotion determination in OnPrem?

If there is a unique determination it is supported. Pricing is done via order simulation in onPrem. If only
one contract / promotion is automatically determined in the simulated document without the need of a
user to select the relevant contract or promotion, the price calculation will consider these determinations
and show the correct price result.

• Do we show inactive price elements?

Yes, we show as well inactive price elements, such as e.g. recommend Retail Price. UI indicates this
with a yellow status.
Pricing in SAP Cloud for
Service
Integration into Sales, Service and Marketing processes #1
Integration into Sales, Service and Marketing processes #2
BC Configuration Tickets - Dokument Types #1
BC Configuration Tickets - Dokument Types #2
Fine Tuning Coverage Indicator
Code List Mapping “Coverage/Accounting Indicator” #1
Code List Mapping “Coverage/Accounting Indicator” #2

ECC Accounting Indicator

Service Contract: Request External Pricing
Service Contract: Pricing Maintenance on Item Level
Service Contract: Price Overview
Service Contract: Pricing Maintenance on Header Level
Offline Pricing
Work Center View for Offline Pricing

FEED CUSTOMERS PEOPLE MARKETING PRODUCTS SALES ACTIVITEIS LIBRARY ANALYSIS PARTNERS

SALES
EMPLOYEES CAMPAIGNS PRODUCTS APPOINTMENTS
LIBRARY
FEDD ACCOUNTS LEAD DASHBOARDS PARTNERS

SAPJAM TARGET PRODUCT PARTNER

OPPORTUNTIIES TASKS
CONTACTS GROUIPS GROUPS LISTS REPORTS
FEED CONTACTS
INDIVIDUAL MARKETING SALES PHONE
PRICE LISTS
CUSTOMERS LEADS QUOTES CALLS

DISCOUNTS FORECAST
Competitors E-MAILS
LISTS
CAMPAIGN PRICES TERRITORIES
FILE FORMATS
PRODUCT SALES TARGET
CATEGRORIES PLANNING

SALES
ORDERS
Transfer ERP Prices to C4C

 New work center view “Prices” under Products work center to view prices stored in price specification business
object in C4C. Note, these price specifications are currently not used for internal pricing.
 Sales Area specific Base Price and Customer Specific Price supported with date validity and quantity based
scales. Note, scales information is currently not used in offline price calculation and is planned in roadmap.
 Standard integration service provided for transfer of prices from SAP ECC (replicate sales area and sales area
specific customer price conditions) into SAP C4C.
Usage of Offline Pricing in Offline Order Entry

 New field “Estimated Price” available offline only on Order Item Proposal (Fast Order Entry) with Manual
Discounts fields - % and absolute (mapped to PPE1 and PPE2). Supported in extended C4C App
Cloud4CustEx mobile app only.
 Fixed value calculation: Estimated Price = [{(Customer Specific Price or Base Price) x Quantity} - Discount (%) –
Absolute Discount]
 During sync, manual discounts are transferred to C4C to PPE1 and PPE2 and to ECC on order simulate or/and
transfer. Note, that offline pricing will be supported in context of external pricing setup.
 Configuration of Offline Pricing

 Business Configuration -> Scoping Element: General Business Data -> Product and Service Pricing-> Sales Price
Specifications: Tick answer “Do you want to maintain prices without price lists?”
Configuration of Offline Manual Discounts

 Fine-tuning activity
“External Pricing”
 For use of manual
discounts at item level
offline, enable external
price elements PPE1
and PPE2.
 PPE1 to be mapped to
percentage-based
discount and PPE2 to
be mapped to absolute
discount.
 Configuration to map
offline discounts to any
PPE planned in
roadmap.
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