Sales Discount Settings

Use this routine to create discount codes for use in order entry. You can create codes to apply discounts to line items and/or to order subtotal amounts. A discount amount or percentage, as well as optional starting and ending dates is specified for each discount code you create. Other options include the ability to specify selling locations where the discount code can be used to discount line items and the option to control whether the discount can be applied to As-Is or Saleable line items.

To use discount codes in Sales Order entry, Quick Sale entry, and Return entry, the following must be true:

     - the "Apply to" types of discounts allowed must be enabled in Point of Sale Control Settings,

     - the user must have access to discount fields via User/User Group Sales Security settings, and

    - the Discountable field in the Advanced Product Settings record is enabled for the selected line item.

Discount codes can only be calculated on regular retail price. If the regular retail price is manually changed within an order, a discount code cannot be applied to that line item.

Enter a code to represent this discount, using up to six alphanumeric characters. To edit an existing code, enter the code or click the Search button to select a code from the list.

If you use Sales Coupons, the system prevents you from creating a sales discount code using the same ID as the sales coupon ID.

Specify the discount type. You have the following options:

Percent - a percentage of the default selling price.
Amount - subtract the specified amount from the default selling price of a single piece on the sales order line item and use the resulting price for the calculation of the line extension. You can enter a maximum of 9999.99. If the discount is greater than or equal to the selling price of a single piece, a warning message appears. If you choose to continue, the program sets the price to zero. Note that in the case of a product with a unit conversion other than one, the program applies the discount to each piece in the case.

This field does not affect fixed-amount discounts submitted via eSTORIS.

If your system is set to use imbedded national tax, this field defaults to Percent and you cannot edit it.

Important If you use sales coupons and this discount code has been associated with a sales coupon, the coupon is restricted to either a flat dollar amount or a percentage. If you set this field to Percent and assign this discount code to a sales coupon, the Percentage field in sales coupon settings is active and you can only enter a percentage. If you set this field to Amount and assign this discount code to a sales coupon, the Amount field in sales coupon settings is active and you can only enter an amount.

To allow this discount code to be applied to line items and subtotals at all selling locations, leave this field blank. If you select specific locations at this field, this discount code can be applied to line items and subtotals on sales only at the specified selling locations. To restrict the use of this discount code to one or multiple locations, click the Action button at this field. The Multiple Location Selection Window displays, where you can select one or more locations.

Sales coupons associated with this discount can only be used at the selling locations specified here. If you leave this field blank, the associated sales coupon can be used at any selling location.

Use this setting to assign one or more reason codes to this discount. If any reason codes are assigned here, the discount is only eligible if the As-Is reason code associated with the product on the sales order line matches a code entered here. Sales Discounts with reason codes specified in this field can only be applied to line items.

Reason Codes entered here can be designated as Not Required, As-Is, As-Is Restricted or Obsolete in Reason Code Settings, "This Reason is User for".

Minimum Eligibility Required

The Quantity and Amount fields are mutually exclusive; once one is entered, the other becomes inactive. If you enter a Quantity or Amount, this sales discount is only eligible when the amount or quantity threshold is met. This can be set as a requirement of the subtotal of the order or as a requirement of the individual order line, depending on the Line Discounts - Apply Minimum Eligibility Requirement to Individual Line setting below.

This field applies to subtotal and line discounts. Use this optional field to indicate the minimum quantity required to use this discount code. You can enter a positive number greater than zero and up to 99999.

To exclude specific products from discount eligibility based on quantity, use the Exclude Minimum Quantity setting in Advanced Product Settings.

This field applies to subtotal and line discounts. Use this optional field to indicate the minimum purchase amount required to use this discount code. You can enter a positive number greater than zero and up to 99999.99. The minimum purchase amount is calculated as the sum of the net line extensions of **all line items on the orders.

** Non-inventory order lines are not included in the amount used to qualify a discount's minimum eligibility.

If you use sales coupons, the Minimum Subtotal Required amount (if any) in the coupon associated with this discount takes precedence over the amount established in this field for the discount code. If you leave the Minimum Subtotal Required field blank for the coupon to which this discount is associated, the minimum in this field for the discount is used.

This requirement is validated when you save the sales order. If the subtotal amount does not meet the required minimum purchase amount, a manager override is required to proceed.

This is field is optional. You can use this field to define when a discount code can be added to a sales quote prior to the actual start date of an advertised sale.

Enter the date the discount code can be applied to a sales quote. If you specify a date in this field it must be earlier than the date you specified in the Starting Date field.

In order for a user to convert a sales quote to a sales order prior to the advertised sale start date, they must have permission via Override Sales Quote Conversion Discount Restriction in sales security or obtain security override by an authorized user.

Use this field to control the length of time (if any) that a discount can remain on an open sales quote. You have the following options:

No Entry (default) = No expiration date.
0 = Sales quote must be converted to a sales order on the same date that this discount is applied to the quote. Otherwise, discount is removed from the quote.
1 to 999 = The number of days that this discount is valid past the date it was applied to the sales quote.

If you use Sales Coupons, you assigned this discount to a sales coupon, and you have not entered starting and/or ending dates in the sales coupon settings, the sales coupon uses the dates you entered here. If you entered dates for the sales coupon, those dates are used in coupon processing rather than the dates entered here. If you do not enter dates for the coupon or associated discount, the coupon is not restricted by date.

Subtotal Discount Settings

This field is not mandatory. Specify the General Ledger account to which subtotal discount amounts are posted for this discount code during sales transaction completion. Only discounts applied to the order subtotal using this discount code are posted to this account. Enter the GL account number directly in the field or click the Action button to select the GL account from the GL Account Entry Screen.

This setting is also used when posting to the general ledger for any sales coupon containing this sales discount code.

Use the Line Discount GL Account field below to post individual line items to a specified General Ledger account. The accounts specified in this Discount GL Account field and the Line Discount GL Account field may be the same account.

Instant Rebate Settings

Use these settings to configure a sales discount as an instant customer rebate within Enter a Sales Order, Enter a Quick Sale, or Enter an Exchange. Both Vendor and Chargeback must be specified in order to configure the discount as an instant rebate. If these fields are left blank, the sales discount is not configured as an instant customer rebate.

While instant customer rebates can be applied to order lines, they cannot be configured to apply to subtotal amounts. Thus, if the Vendor and Chargebacks fields are specified, the Activation - Apply to Subtotal Amounts check box (located on this screen) should not be checked. If this scenario happens, you are presented with an error message after clicking Save.

Rebates added to sales quotes are not charged back to the vendor until the quote is converted to a sales order and has been completed.

Choose the vendor that is responsible for the rebate. Click the Search button to select a vendor from the Vendor Name Search window.

Enter the percentage of the rebate to be charged back to the vendor. This field accepts a percentage with two decimal places ranging from 0.01 - 100.00%. If the rebate requires your company to pay a co-pay, the Chargeback value should be set to the percentage of the rebate for which the vendor is responsible. For example, if the vendor is responsible for the entire rebate, the Chargeback value should be set to 100.00%.

This setting determines how the rebate affects the general ledger when the sales order has been completed. You have the following two options:

Increase in Revenue - The rebate is taken as revenue, which does not affect cost.
Reduction in Cost (default) - The associated merchandise is cost adjusted. If this option is chosen, products designated as special order, bulk, or non-inventory are not available for selection. The cost applied to the sales order for the merchandise is reduced by the vendor's portion of the rebate; this cost change impacts salesperson commission, margin reporting, and any other feature using the exact cost of merchandise from order completion.

Commission is based off of the line item discount price, not retail price, regardless of which Rebate Application Method is selected.

To base commission off of retail price while using instant rebates, apply a discount through the Payment page of the order; the discount applies to all line items and the vendor charge back will have to be created/applied via the AP Bill process as a rebate charge. The charge back can be confirmed through View a Vendor's Payable Activity. The general ledger posting created from the order posts the discounted amount.

Line Discount Settings

If you indicate an inventory formation in this field, this discount excludes any merchandise line where the Product is not part of the specified Inventory Formation. An inventory formation must include the ability to include/exclude products by the following categories: product group, category, vendor, and specific product.

You can use this optional field to indicate groups or lists of products to be associated with this discount code. Click the Search button to access the Multiple Selection Lookup Window, where you can select one or more related inventory formations.

If you click the Action button, the following options are offered.

Create a new Inventory Formation - create a new inventory formation
Maintain Assigned Inventory Formations - use when a single formation code is specified to update the inventory formation
Multiple Inventory Formation Selection - select multiple inventory formation codes

Inventory formations affect the sales discount codes that are available for selection at the Discount field on the Merchandise tab of the various order-entry routines such as Sales Order Entry. If you enter one or more inventory formations at this field, then the discount code is available only for products included in those inventory formations. If you leave this field blank, the selected discount code is valid for all products.

You can associate any number of formations with a discount code. You can associate any formation with any sales discount code. If you define no formations for a discount code, the code is valid for all products.

If you define multiple inventory formations for a discount code, the code is valid for all products included in at least one of the inventory formations - even if one of the formations excludes the products. For example, assume you have Inventory Formation 1 and Inventory Formation 2, and Sales Discount A is assigned to both. Also assume that Product X is included in Inventory Formation 1 and excluded in Inventory Formation 2. In this example, whenever Product X appears on a line item, Sales Discount A will be available.

If you change an existing formation such that when you re-access a line item the sales discount code specified for the line is no longer associated with the product on the line, STORIS still makes that code available for the line item. However, if you then remove the code (or select another code) and save the line, when you re-access the line the code may not be available for selection.

To generate a list of all discount codes associated with a formation, use the Inventory Formations With Discounts report in the Report Builder.

The following three fields are active if the Discount is a field is set to Percent and either one or both of the following settings (see Selection below) are activated: Activation - Apply to As Is Line Item Amounts, Activation - Apply to Saleable Line Item Amounts. If discount rounding exists, the Line Discounts - Cannot be combined with other Discounts field must be checked.

This field is not mandatory. Specify the General Ledger account to which line discount amounts are posted for this discount code during sales transaction completion. Only discounts applied to the line item using this discount code are posted to this account. Enter the GL account number directly in the field or click the Action button to select the GL account from the GL Account Entry Screen.

Use this field with either the Round To field or the End In field to determine the rounding method to use when applying this line item discount. You have the following options:

None - do not round off the new sale price
Up - rounds the new sale price up to the higher dollar/cent amount
Down - rounds the new sale price down to the lower dollar/cent amount
Nearest - rounds the new price to the lower or higher dollar/cent amount, whichever is closest to the new number

This field and the End In field are mutually exclusive. If you use this field, the End In field is inactive. Use this field in conjunction with the Line Discount Rounding Method field. This option allows you to round to a specific monetary decimal. Click the Arrow button to select one of the following options:

None
Penny
Dime
Dollar
Ten
Hundred
Thousand

This field and the Round To field are mutually exclusive. If you use this field, the Round To field is inactive. Use this field in conjunction with the Line Discount Rounding Method field. Enter the dollar amount you want to use to determine the rounding method when applying this line item discount.

For example, if you enter 4.99 in this field and select Up in the Rounding Method field, the system rounds each sale price to the next highest number that ends in 4.99. The sale price calculated by the system as $24.31 would be changed to $24.99. If you enter .99 in this field and select either Down or Nearest in the Rounding Method field, the $24.31 price would be lowered to $23.99.

Selection

Many of the following Line Discount settings conflict with one another and with other settings on this screen. When you click Save, validation for the compatibility of these settings occurs. Setting conflicts can either be prohibited and result in you being unable to save the settings, or not recommended, in which case a warning is issued but you can still save the settings.

To allow this discount code to be applied as a global discount in the Discounts - Code(s) field on the Payment tab of order entry, check this box. Otherwise, leave this check box blank.

If you remove the check from this field and there are sales coupons with this discount code assigned, a warning is issued but you can leave it unchecked. The message warns you that when you disable this setting, any coupons associated with this discount cannot be used. In this way, you can invalidate all associated coupons regardless of other settings.

If you leave this box blank, you cannot apply both line discounts and subtotal discounts on the same order using this discount code. Once you apply a line discount with this setting unchecked, you must obtain a manager override to enter a coupon or its associated subtotal sales discount code. Once you apply a coupon or its associated subtotal sales discount code with this setting unchecked, you must obtain a manager override to apply a line item discount.

If you check the box at this field, you can apply both line discounts and subtotal discounts on the same order.

If you check this box, this discount is a fixed dollar amount that is allocated proportionally to all lines where the discount was applied based on the unit price. Additional rules for using this discount are:

If an order line containing a discount with this setting checked is deleted or the discount is removed from the line, all other lines containing this discount are recalculated to reach the amount. If no other lines contain the discount, the discount is removed and no other action is taken.
Should the summary of the unit price of all lines applied be less than the discount, all lines are discounted 100%, resulting in a line extension of zero. The remainder of the discount is discarded.

If you check this box, this discount is applied (if eligible) last in the calculation when multiple discounts are applied to the line, regardless of the defined order of operations. This discount is applied after all other discounts so as not to affect the amounts or qualification of existing discounts.

If a line contains more than one discount with this setting, those discounts are applied based on the DISCOUNTS - Apply Fixed Amount Line Discounts First setting and based on the type of discount (Percent or Amount). If more than one discount exists within those categories, they are applied in the order they were entered.

Use this field to determine if the Minimum Eligibility Required Quantity or Amount is based on the subtotal of the order or on the individual order line.

This "Buy One Get One" (BOGO) discount is only eligible for an order line when another line exists on the order that has both a quantity and unit price equal to or greater than the line to which the discount is applied. Additional rules for using this discount are:

Once a line has received a BOGO discount or is used as the source to qualify a BOGO discount for another line, it is disqualified from being used as the source of any other BOGO discounts. For example, you create an order containing line 1 with a quantity of 3 and unit price of $1,000.00. Lines 2, 3 and 4 have a quantity of 1 and a unit price of $900.00. Only one line qualifies for the BOGO discount. In order to qualify lines 2, 3 and 4 for the discount, you need to split line 1 into 3 different order lines.
The "Discount is a" field on this screen must be set to Percent.

This sales discount can be applied to any order line after the total of all other order lines meets or exceeds the Minimum Eligibility Required amount/quantity. Once the discount is applied to a line, the amount/quantity of the line is no longer included in the total used to qualify other lines.

To allow this discount code to be applied to the Suggested Retail Price (SRP) for a line item on the Merchandise tab of order entry, check the box at this field. Otherwise, leave the box blank. This option is only available if the Apply to Saleable Line Item Amounts setting is enabled.

For example, the selling price of a product is $220 and the SRP for the same product is $229. If you enable this setting for a 10% discount code, and then apply the discount to a line item, the selling price on the merchandise tab of the sales order is removed and the SRP is displayed. The discount is applied to the SRP and an extended price of $206.10 is displayed. If you remove the discount code, the SRP is removed and the selling price of $220 is displayed.

If you check this box, this discount is ineligible if the item is already on a promotion. However, if the discount includes a minimum eligible required quantity/amount, all lines (whether they are on promotion or not) are included in the total. Order lines with products on promotion are excluded from receiving the discount.

If you check this box, this discount cannot be applied to a line that already contains another sales discount and no other sales discount can be added to the line if it contains this discount.

This discount can only be applied by a user with manager security.

To skip exception reporting on line items to which you apply this discount code, check the box at this field. Otherwise, leave the field blank.

If you check this box, the product to which you apply this discount needs to be included in all of the inventory formations associated with this discount code. Otherwise, leave this box blank.

Check this box if you want to allow this discount code to be used as a subtotal discount when the order contains other subtotal discount codes. If you leave this box blank, this discount code or a sales coupon with this discount code assigned is restricted to not allow multiple subtotal discounts on an order. Only that coupon or sales discount code is allowed; no additional coupons or sales discount codes can be entered. For example, if you enter a sales discount code that is set to not allow combining with any other subtotal discounts, then you cannot also add a coupon.

This setting applies only to discount codes with the Apply to Subtotal Amounts field (see above) checked. To restrict this discount code to being used only in association with a coupon, check this box. If you leave this box blank, this discount code can be used alone, as a subtotal discount, or with a coupon.

This setting indicates whether third party financing can be added to an order when any of the line items have this discount code applied. Check the box at this setting if this discount cannot be combined with third party financing. Leave the box blank to allow this discount to be used with third party financing. This setting applies to all third party financing, both offline and online finance plans.

An override for this setting, by finance plan, exists in Financing Eligibility Restrictions. If the Ignore Sales Discount Finance Plan Restriction setting is checked, users can finance the order with the plan even when there are lines with this sales discount code applied.

User receivables security settings also determine whether a user can apply a finance plan that does not meet the eligibility restrictions.

Check this box to indicate that the discount should deduct the amount set in Minimum Eligibility Required from the qualifying order amount when the qualifying discounts that are lower in order of operations have the same setting. In order for this setting to be functional, the following are required (all found within this Sales Discounts Settings screen):

The Amount field in Minimum Eligibility Required must contain a value
Within this selection grid, Line Discounts - Apply Minimum Eligibility Requirement to Individual Lines cannot be checked
Within this selection grid, Line Discounts - Apply to Additional Purchase cannot be checked
If "Discount is a" is set to Amount, then within this grid, Line Discounting - Apply as an Allocated Discount must be checked

The following example shows how this setting works to calculate the minimum qualifying purchase price for a discount.

Assume your total before any discounts is $2,000.

When this setting is enabled:

Discount	Discount Amount	Minimum Purchase Price	Eligible for Discount?	Final Price After Discount	New Minimum Purchase Price to Qualify for Next Discount
A (1st)	$500	$2,995	No	$2,000	N/A
B (2nd)	$200	$1,195	Yes	$1,800	$2,000-$1,195=$805
C (3rd)	$100	$495	Yes	$1,700	$805-$495=$310
D (4th)	$50	$350	No	$1,700	N/A

Since your $2,000 order does not meet the minimum purchase price for Discount A, you do not receive this discount, but your order does meet the minimum purchase price required to receive Discount B. In order to also receive Discount C, your new qualifying amount is your prior qualifying amount ($2,000) minus the prior minimum purchase amount ($1,195), making your new qualifying amount for Discount C $805. Because $805 meets the minimum purchase for Discount C, you receive that discount. In order to receive Discount D, your new qualifying amount is your prior qualifying amount ($805) minus the prior minimum purchase amount ($495), making your new qualifying amount for Discount D $310, which does not meet Discount D's minimum purchase price of $350. Therefore, your final purchase price includes Discount B and Discount C, for a final purchase price of $1,700. If there was an additional discount after Discount D that had an eligible minimum purchase amount that did NOT have this setting checked, the qualifying amount would be $1,700.

When this setting is not enabled:

Discount	Discount Amount	Minimum Purchase Price	Eligible for Discount?	Final Price After Discount	New Minimum Purchase Price to Qualify for Next Discount
A (1st)	$500	$2,995	No	$2,000	N/A
B (2nd)	$200	$1,195	Yes	$1,800	$2,000-$200=$1,800
C (3rd)	$100	$495	Yes	$1,700	$1,800-$100=$1,700
D (4th)	$50	$350	Yes	$1,650	$1,700-$50=$1,650

Since your $2,000 order does not meet the minimum purchase price for Discount A, you do not receive this discount, but your order does meet the minimum purchase price required to receive Discount B. In order to also receive Discount C, your new qualifying amount is your prior price after Discount B, which is $1,800. Because $1,800 meets the minimum purchase to receive Discount C, you receive that discount. In order to receive Discount D, your new qualifying amount is your prior price after Discount C, which is $1,700. Because $1,700 meets the minimum purchase price to receive Discount D, you receive that discount. Therefore, your final purchase price includes Discount B, Discount C, and Discount D, for a final purchase price of $1,650.

Use this setting to indicate whether or not the amount of this discount code can be overridden during order entry. If you check this box,

The "Discount is a" setting must be set to Amount.
The amount entered in the Discount $ field is optional.
If the Discount $ field is left empty, there is no amount defaulted when the discount is applied to the order. The Override Discount Amount window displays and you are required to enter an amount greater than zero.
If the Discount $ field contains an amount, the amount is defaulted when the discount is applied to the order. The Override Discount Amount window displays, where you can accept the default amount or override the amount. The amount must be greater than zero.
The Line Discounts - Apply as an Allocated Dollar Discount setting (above) is not compatible with this type of discount.

If you leave this check box blank,

The Discount $ amount is mandatory when you establish this discount code.
The Discount $ amount requires an entry greater than zero.