Configurable pricing plans
Summarize
Summary of Configurable pricing plans
Pricing Management in ServiceNow introduces a default pricing plan that defines the sequence of steps for calculating and adjusting product prices. This default plan is active and published automatically with the November 2024 release. Customers can use this default plan as is or create a customized version by copying and modifying the steps to better fit their organizational needs. Only one active pricing plan is allowed per domain.
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Importantly, upgrading to the November 2024 release does not change existing pricing calculations or logic unless the pricing plan itself is modified.
Key Features
- Default Pricing Plan Steps: The plan includes steps such as initializing pricing context, fetching cost and price list data, and applying various adjustments (attribute, configuration component, contextual, and custom).
- Adjustment Calculation: Adjustments are applied based on defined price points (List Price or Net Price) and calculation types (Previous Price Point or Rolling), determining how each step’s adjustment affects the final price.
- Custom Adjustments: Supports integration of custom pricing adjustments via the PricingAdjustmentExtensionPoint for scenarios not covered by standard matrices.
- Customizable Pricing Plans: Customers can copy the default plan, modify its steps (add, change sequence, or delete), apply conditions to steps, and publish the customized plan to activate it. The system validates changes to ensure sequencing and pricing logic integrity.
- Revert Capability: Customers can revert to the default plan anytime by republishing it.
Key Outcomes
- Enables precise control over pricing calculations through configurable steps tailored to organizational requirements.
- Maintains pricing consistency after platform upgrades unless changes are intentionally made to the pricing plan.
- Supports complex pricing scenarios including bundled products, geographic adjustments, and custom external pricing inputs.
- Empowers pricing administrators and managers with tools to efficiently manage and update pricing logic without disrupting existing configurations.
Pricing Management provides a default pricing plan that defines the sequence of steps in which pricing calculations and adjustments are applied to determine final product prices.
How the pricing plan works
| Step | Action |
|---|---|
| Initialize Pricing Context | Starts the pricing engine context. The system gathers basic data required for subsequent calculation steps. For example, the system resolves context variable values, initializes the pricing cache, and performs basic validation of request payloads. |
| Fetch Cost | Get costs from a cost book, if your organization is using cost books in Quote Management. |
| Fetch Price List Price | Get the list price for all requested products based on the price list, unit of measurement, and data provided to the pricing API. |
| Apply Attribute Adjustments | Apply attribute adjustments based on product characteristics selected. |
| Apply configuration component adjustment | Apply adjustments as defined in the Configuration Component Price Adjustment Matrix for child product offerings that are bundled under a parent product offering. |
| Apply contextual adjustments | Apply adjustments as defined in the Standard Price Adjustment Matrix for product offerings based on non-product characteristics, such as billing state or shipping zip code. |
| Custom adjustments | Apply custom adjustments if implemented using the PricingAdjustmentExtensionPoint to fetch adjustments from another system or for adjustments that can't be supported via a pricing matrix. |
- Price point: The price for a product or service that is calculated after the step is run, either the List Price or Net Price.
- Calculation type: Method for evaluating the impact of the adjustment at each step. The adjustment is applied to either the Previous Price Point or the Rolling Price.
- When the Calculation Type is Previous Price Point and the price point is Net Price, the previous price point is List Price. The adjustment is applied to the List Price.
- When the Calculation Type is Rolling, the adjustment calculated is based on the output of the previous step.
Example pricing plan calculations
The following example shows how multiple pricing adjustments in a pricing plan are calculated and applied to a door sensor product. The door sensor is part of the Home Automation bundled product, which is being sold to Boxeo, a customer in California. The price of the door sensor is based on the price list for Boxeo.
Customizing a pricing plan
The default pricing plan is fixed, to preserve the default pricing logic. You can copy the default plan, and add or change steps as needed for your organization. When you finish your changes, you publish the copy so that it becomes the active plan. If needed, you can revert to the default plan at any time by publishing the default plan.
- Create a configurable pricing plan (copy the default plan).
- Add or change a pricing plan step. In your configurable pricing plan, you can add one or more pricing steps for pricing adjustments, including any conditions for running the step. You can also change the sequence of the adjustment steps, if needed.
- Delete a pricing plan step.