Promotional Pricing Agreements

There are two types of agreements for carrying out marketing programs with wide-ranging discount structures: promotions and sales deals.

Promotions
A promotion typically represents a high-level marketing plan for particular products or product lines - for example, a promotion for a range of products during a specific sales cycle. A promotion can include a number of different sales deals. For example, if your promotion covers a range of different product lines, you can create separate sales deals for each product line.

Sales Deals
Sales deals provide a finer focus for your promotional activities. In the example above, a promotion includes separate sales deals for each product line. Within the sales deal for a product line you might want to be able to promote the products in different ways. You might, for example, want to offer customer-specific discounts in some cases and material-based discounts in others. You can then create specific condition records that are linked to the sales deal, or assign existing condition records. If the sales deal is linked to a promotion, the condition record also contains the number of the promotion. This makes it possible later on, for example, to list and analyze all the condition records that refer to a particular promotion.

Defining Agreement Types

Before you can enter promotions and sales deals as master data in the system, you must first define the types of agreements that you want to use. You define types of promotions and sales deals in Customizing for Pricing in the section on pricing agreements in exactly the same way as you define types of rebate agreements. For example, you can specify the number range which is to be used to assign identifying numbers to sales deals of a particular type. You might do this to distinguish between different product groups. For each type of agreement that you set up, you can specify the following data: Number ranges (internal and external) from which the identifying numbers for the agreements are taken Condition types and condition tables that can be used in the agreement type Which overview screen the user sees when creating master data Which validity period is proposed as a default value Additional control data for the condition types that can be used for the agreement

Creating Master Data for Agreements

After you define the types of promotions and sales deals you want to use, you can enter the master data in the system. For each agreement you create you can specify general data. In the case of sales deals, you can also create the individual condition records. General data The general data you define applies to all subsequent condition records that you create for the agreement. Each agreement that you create is identified by a unique 10-digit number. Depending on how you define the agreement type, the system either assigns the number automatically or you enter a number manually. In addition, you can enter the following data for each agreement: Short text description of the agreement Validity period Special payment-related data: Terms of payment Fixed value date Additional value days

Creating Promotions and Sales Deals

Steps:
You create promotions and sales deals in the same way. To create a new sales deal:

1.

Choose Logistics Sales/distribution Master data in the main menu screen. You reach the Sales Master Data screen.

2.

Choose Agreements Sales deal Create. You reach the Create Sales Deal screen.

3. Enter a sales deal type (for example, 0101) and choose Continue. The Overview Agreement screen will appear. The system will propose a validity period. 4. Enter the optional data, such as: Short description of the sales deal An external reference (from the customer) The number of the promotion, if any, to which the sales deal is assigned Special payment terms

If you assign the sales deal to a promotion, the system proposes any special payment terms that you have defined for the promotion. 5. If you do not want to create condition records for the sales deal at this time, save your data. If you want to create condition records immediately, go to the next procedure.