A margin is the percentage of a selling price that is profit for the business or organization.
- Assign to individual items using the Item Maintenance Window
- Assign to multiple items using the Assign Mix-and-Match Codes utility
While Margin is technically calculated after a sale occurs, you can use Margin Driven Pricing to set prices based on minimum and target margins. Counterpoint can even do the math for you based on a minimum or target margin, and margin driven pricing can round your prices to a standard like price ending in .99 or always ending in a 5.
Margin Indicators
Next to price fields, Counterpoint uses icons to indicate if the price is below, meeting, or exceeding margins. Below is a table of the possible icons and their meanings
In addition to icons, when you define a price in Margin driven pricing, the price fields are highlighted in one of three colors. Below is a table of the meaning of these colors.
Setting Margins
Margins can be defined on the item’s category or sub-category and can be set up for multiple price levels. To add, view, or edit your margins:
Setting Margins for Categories
- Select SETUP → INVENTORY → CATEGORIES
- Enter or look up a Category
- Define margins for the category
NOTE: If you are not using complex price rules, filling in the Minimum selling margin, Price-1 margin, and Target margin fields is enough for most price calculations.
- Click Save
Setting Margins for Sub-Categories
- Select SETUP → INVENTORY → SUB-CATEGORIES
- Enter or look up a Category
- Define margins for the category
NOTE: If you are not using complex price rules, filling in the Minimum selling margin, Price-1 margin, and Target margin fields is enough for most price calculations.
- Click Save
Using Margin Driven Pricing
From Items
- Select INVENTORY → ITEMS
- Enter, scan, or look up the item
- Click the Margin indicator icon next to Price-1
- The Set Price window opens
- To define a new price based on a margin, either:
- Click a Use this price button next to one of the margin lines
- Define a New Margin percentage, then the New price field updates to show the new price based on the margin percentage
- Type a New Price, then the New margin field updates to show the new margin percentage
- (Optional) Enter a Rounding rule to keep pricing consistent
Example: Enter *.99 in the rounding rule field to set prices to end in .99 - Click OK
- Click Save
From Items Prices
- Select INVENTORY → PRICE → ITEM PRICES
- Enter, scan, or look up the item
- (Optional) Choose the Location or click All Locations
NOTE: Location specific pricing requires the Advanced Pricing Option - (Optional) Choose a Grid Cell or click All cells
NOTE: Cell specific pricing requires the Advanced Pricing Option - Click Enter to open the price fields
- Click the Margin indicator icon next to a price
- The Set Price window opens
- To define a new price based on a margin, either:
- Click a Use this price button next to one of the margin lines
- Define a New Margin percentage, then the New price field updates to show the new price based on the margin percentage
- Type a New Price, then the New margin field updates to show the new margin percentage
- (Optional) Enter a Rounding rule to keep pricing consistent
Example: Enter *.99 in the rounding rule field to set prices to end in .99 - Click OK
- Click Save
From Receiving
You can update prices from receivings by using the New Price-1 field.
- After entering an item and quantity, click the … icon next to New Price-1
- To define a new price based on a margin, either:
- Click a Use this price button next to one of the margin lines
- Define a New Margin percentage, then the New price field updates to show the new price based on the margin percentage
- Type a New Price, then the New margin field updates to show the new margin percentage
- (Optional) Enter a Rounding rule to keep pricing consistent
Example: Enter *.99 in the rounding rule field to set prices to end in .99 - Click OK
- Click Save
