Applying customized pricing for your products requires careful consideration and precise implementation. Before you start selling globally, consider these three relevant aspects: pricing methods, pricing implementation, and currency options.
First, determine a product’s pricing method and then how you wish to implement it. Then, select in which currencies the customer
An individual or business purchasing your product or service by placing an order through Cleverbridge. The customer is the end user of this product, as they are not allowed to resell the purchased products or services.
A customer is unique per client. If a customer purchases products or services from two different clients, there are 2 separate records of said customer. views the price and pays. By adding specific parameters to the checkout pages, you can control how it is viewed and paid.
Pricing Methods
You can price your products with two methods, as floating or fixed prices.
Floating Method
With the floating method, you set a base currency (such as Euro) and a price for that base currency (such as 20€). If the product is purchased in currencies other than the base currency, the price is converted based on the current exchange rate. The price in other currencies may change daily based on the exchange rate. You, however, will always receive the same amount of money for the product regardless of what the currency and exchange rate is.
Example
The base currency is the Euro and the price is 20€. A customer in the US purchases the product for $28.37 based on the current exchange rate. The next day, the price in US dollars for the product is $27.56 based on that day's exchange rate, but you always receive the payment Exchange of money for goods and services in an acceptable amount to the customer where the payment amount has been agreed upon in advance. The customer can only pay with an accepted payment method. Each payment has an individual payment cost. as 20€.
Considerations
- Regardless of the currency, all prices are equal relative to the base currency.
- Revenue remains stable.
- Prices may not be marketing friendly.
- If customers pay in a currency other than the base currency, the price is converted.
Fixed Method
With the fixed method, you set a base currency (such as Euro), a price for that base currency (such as 20€), and also unique prices for one or more additional currencies. No matter what the exchange rate is relative to the base currency, the price in the other currencies does not change. Currencies without a fixed price will be priced according to the floating method.
Example
The base currency is the Euro and there are set prices for 20€, $25 USD, 4,000 Japanese YEN, and 200 Chinese Yuan. Regardless of the exchange rate, the prices for these currencies will remain fixed with the price you entered for them.
Considerations
- Prices are more marketing friendly.
- Revenue fluctuates based on exchange rate.
- By using price configurations to specify who can use a particular product price based on language and location, you can market to price points in specific regions.
Pricing Implementation
You can implement pricing at the individual product level, or through various price configurations.
Basic Pricing
The most basic way to price is for an individual product at the product level. You use the Base Price section of the Product portal. You define either floating or fixed prices, but you do not control which customers can use the prices according to their location.
Example
You can set prices in other currencies, and customers can view the prices in another currency and select which currency to pay with. You can’t create more than one price combination for this product like you can with a price configuration.
Pricing through Configurations
You can create more advanced pricing scenarios with price configurations in the Applicable Price Configurator. You define either floating or fixed prices, and you can control which customers can use the prices according to their location. You create various regional price configurations. There is no limit to the number and variety of price configurations that you can set up per product. You can create multiple variations of a product price but for different locations. For more information on how to create special pricing, see Tools > Price Configurations for the Subscription Commerce Manager and Applicable Price Configurator ✱ for the Commerce Assistant.
Pricing & Currencies
Customers like to see marketing friendly pricing and currencies with which they are familiar.
You define how your products are priced and localized by:
- Deciding on a pricing method.
- Choosing in which currencies customers pay . For more information, see About Currencies.
- Deciding how to implement the pricing, through the product itself or through price configurations with the Applicable Price Configurator.
Currency Selection in the Cart
Your customers can view pricing and pay in various currencies within the cart. Customers can select a different currency in the cart with the Currency drop-down list. Keep in mind that:
- The currency in the cart is based on the customer's GeoIP location.
- The price displayed is based on the product’s base currency or fixed price.
Note
You can limit the list of currencies on a one-off basis by specifying parameters in Link Generator. If you want to limit the list permanently contact Client Experience.