Difference between revisions of "Pricing Wiki"

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== About the Pricing Wiki ==
 
 
The Pricing Wiki aims at helping all pricing professionals, students and enthusiasts find the most comprehensive knowledge database.
 
The Pricing Wiki aims at helping all pricing professionals, students and enthusiasts find the most comprehensive knowledge database.
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<h2 id="mp-tfa-h2" style="margin:3px; background:#cef2e0; font-size:120%; font-weight:bold; border:1px solid #a3bfb1; text-align:left; color:#000; padding:0.2em 0.4em;">This week's featured article</h2>
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<div style="float:left;margin:0.5em 0.9em 0.4em 0;">'''[[Price Indexes]]''' are useful to compare prices across products, customers and over time, to assess discount levels and to which degree discount policies are enforced.
  
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There are two important price indexes related to a sale transaction or a contract:
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*The '''list price index''': the ratio between the pocket revenue generated (after all discounts and rebates) and the “list revenue” that would have been generated if all products and services had been sold at their list price (undiscounted) as defined in the applicable price policy.
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*The '''target price index''': is the ratio between the pocket revenue generated (after all discounts and rebates) and the “target revenue” that would have been generated if all products and services had been sold at their target price as defined in the applicable discount policy. ([[Price Indexes | more...]])</div>
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<div style="float:left;margin:0.5em 0.9em 0.4em 0; text-align:center;">This index reflects that price is 10% below the discount policy:
  
== How to contribute? ==
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Request your user account by sending an email to [[image:contact.png]].
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  \operatorname{Target Price Index (P1)} =
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  \frac{Pocket Price (P1)}{Target Price (P1)} =  
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  \frac{9}{10} =
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  {0.90}
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[[Price Indexes | More about this formula...]]
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Latest revision as of 10:48, 20 February 2013

The Pricing Wiki aims at helping all pricing professionals, students and enthusiasts find the most comprehensive knowledge database.


This week's featured article

Price Indexes are useful to compare prices across products, customers and over time, to assess discount levels and to which degree discount policies are enforced.

There are two important price indexes related to a sale transaction or a contract:

  • The list price index: the ratio between the pocket revenue generated (after all discounts and rebates) and the “list revenue” that would have been generated if all products and services had been sold at their list price (undiscounted) as defined in the applicable price policy.
  • The target price index: is the ratio between the pocket revenue generated (after all discounts and rebates) and the “target revenue” that would have been generated if all products and services had been sold at their target price as defined in the applicable discount policy. ( more...)

This week's featured formula

This index reflects that price is 10% below the discount policy:


\( \operatorname{Target Price Index (P1)} = \frac{Pocket Price (P1)}{Target Price (P1)} = \frac{9}{10} = {0.90} \)