Login for Pricing
Login for Pricing Definition
Login for pricing is a feature of B2B Ecommerce enabled websites where a user must login to see their preapproved prices.
Minimum Advertised Price
Manufacturing companies will often set a Minimum Advertised Price (MAP). This is the lowest price that a retailer or distributor is allowed to publicly advertise.
However, this is not a minimum price. Distributors and retailers may still sell a product for less but they cannot advertise the lower price.
One workaround with MAP pricing is to post the Minimum Advertised Price publicly but then to show different prices for approved wholesale customers that are logged in to an account.
Wholesale ecommerce is becoming more and more popular. Manufacturers and distributors are able to manage relationships with small retailers at scale through providing a wholesale shopping experience online.
Setting effective price tiers for wholesale customers is a critical part of streamlining the purchasing process.
Wholesale Price Tiers
Previously wholesale commerce was primarily done through sales reps that would make special deals with their customers. However, these deals may not have made their way back to any formal pricing strategy within a company.
Price tiers are a simple way to group wholesale customers and streamline pricing for your ecommerce purchasing experience. Here’s an example.
- Price Tier 1: 10% off MAP
- Price Tier 2: 15% off MAP
- Price Tier 3: 25% off MAP and NET 30 Payment Terms
- Price Tier 4: 30% off MAP and Net 60 Payment Terms
Assigning customers to these price tiers can ensure that they always see the price for their group when they are logged in to your ecommerce store.
The last consideration with login for pricing is hiding your prices from the general public altogether. This is a strategy employed by wholesale-only businesses that do not wish to advertise a public price for their products.
Watch the YouTube video below to see an example of hidden pricing in action.
This post originally appeared at http://www.benjaminarp.com/2017/05/17/login-for-pricing/