Contract pricing is a price or pricing method agreed for a customer, supplier, product, or service during a defined contract period. It may include fixed rates, index adjustments, quantity tiers, review dates, or exceptions and should be applied before ordinary spot or list pricing.
Quick reference for Contract pricing
| Check | What it means for the transaction |
|---|---|
| Category | Pricing and profitability |
| Record to keep | Record the cost basis, currency, quantity, customer scope, effective period and approval behind the amount when they apply. |
| Do not infer | A price label alone does not establish margin, landed cost or the final invoiced amount. |
Contract pricing and nearby terms
- Customer-specific pricing: Customer-specific pricing assigns agreed prices, discounts, or rules to a particular customer or account.
