The main purpose of this feature is to enable setting a minimum item price limiting the maximum discount that can be given with regard to a given item. This is to prevent the sales of items at a price lower than one including a minimum mark-up determined by a business strategy or by national legislation (e.g. in the case of food products). As a result of calculating the minimum margin on a resold item, a minimum price is calculated below which no more discount value can be applied. The data on minimum prices and maximum percentage discount values is sent from the ERP system.
Example I:
Minimum price per kilogram of apples: 0.90 EUR
Regular price per kilogram of apples: 1.00 EUR
Defined discount: 20%
Result: Due to the control of the minimum margin, the value of the discount will be reduced from
0.20 EUR to 0.10 EUR in order to maintain the minimum price at 0.90 EUR.
Example II:
The maximum permissible percentage discount on fruit has been set as: 5%
Minimum price per kilogram of apples: 0.90 EUR
Regular price per kilogram of apples: 1.00 EUR
Defined discount: 20%
Result: Due to the control of the minimum margin, the value of the discount will be reduced from
0.20 EUR to 0.05 EUR in order to maintain the maximum permissible discount on fruit amounting to 5%.