Purchase Order Discounts

Overview

You can add a variety of vendor discounts to POs in Sellercloud, including single discounts, multiple discounts, and vendor quantity discounts. Applying a vendor discount can help you track the actual product cost and build Profit and Loss reports more accurately.

Single Discounts

In Sellercloud, a single vendor discount can be adjusted to apply to a product or a certain PO. The sections below explain how each discount type works.

Item-Level Single Discount

This discount is applied to an individual item on a Purchase Order. Each item can have a specific discount value, which is applied to its unit price. Follow the steps below to add such a discount.

The Enable Multi Discount For Purchase Orders Client Setting must be disabled for the line item discount column to display.

1. Access Purchasing > Manage POs > Open a Purchase Order > Toolbox > Items.
2. Click Edit.
3. Input the Discount for the requested PO item, and indicate whether it will be a dollar value discount or a percentage of the unit price.
4. Once saved, the Adjusted Price column will update with the adjusted price per unit.

PO-Level Single Discount

Fixed Discount Total is a static discount amount added to a Purchase Order scope (for instance, $100 off an entire PO). Follow the below steps to add this discount.

To make the Discount Total field appear, the following Client Settings must be disabled: Enable Qty Discount On Purchase Orders and Enable Multi Discount For Purchase Orders.

1. Access Purchasing > Manage POs > Purchase Order > Actions > Enable Fixed Discount Total.
2. Once confirmed, the Discount field on the PO item line will disappear, and the previously added discounts will be discarded.
   To switch back to the Item-Level Discount mode, from the Actions menu, select Disable Fixed Discount Total.
3. In the Total panel, click Edit and add the Discount Total.
4. Once saved, the discount will be equally distributed among all the PO items. This will be reflected under the Adjusted Price column.

Multi Discounts

The Enable Multi Discount For Purchase Orders Client Setting must be enabled in order to manage and apply multiple vendor discounts.

Multi discounts for both types are managed through the PO details page. To access, go to Purchasing > Manage POs > Open a Purchase Order.

Item-Level Multi Discount

This discount is applied to an individual unit in a Purchase Order.

1. Click on the percentage icon on the Items Summary panel for the item line for which you want to apply the discount.
2. Select the pre-configured discount. To learn how to adjust a discount, refer to the section below.
3. Click on Add & Close. The discount will be applied to only one PO item.

PO-Level Multi Discount

This discount is applied to all items in a Purchase Order.

1. Press Edit and click on the percentage icon on the PO Level Multi Discounts panel header.
   
2. Select the pre-configured discount. To learn how to adjust a discount, refer to the section below.
3. Click Add & Close. The discount will automatically apply to each PO scope item.
4. Once the multi-discount type is applied, the updated price on each product will be reflected in the Items tab, under the Discounted Price field.

In addition, you can manage the display of the multi-discounts applied as the Multi Discount Total under the Purchase Order’s Total panel by enabling the respective setting on the Vendor details page, under the Preferences panel.

Configure Multi Discounts

To adjust a new discount for a particular vendor, you need to add the relevant discount type from Settings > Client Settings > Show more > Purchase Order Discounts Type. 

Then, go to Purchasing > Vendors > Manage Vendors > Vendor > Toolbox > Multi Discounts. To add a new discount, press Edit and click the plus icon.

There are two methods to calculate multi discounts: Simple and Compound. These two methods are explained below.

Vendor Quantity Discounts

Vendor Quantity Discounts are based on the number of items ordered. This is a product-related discount type and is configured from the catalog product page.

To manage or apply Vendor Quantity Discounts, select the Enable Qty Discount on Purchase Orders Client Setting.

1. Go to Inventory > Manage Inventory > Open a product > Toolbox > Purchasing.
2. Press Edit and click on the plus icon in the Discounted PO Prices panel.
3. Fill in the appropriate fields, and click Save Discount.

Every product selected as a PO will now be added with the discounted cost based on the quantity ordered for the Purchase Order.