Price of Subscription in Invoices, Reports or Subscription Page Explained

Przemyslaw Mrugalski Przemyslaw Mrugalski
Subscription Price appears in three different sources on Appxite platform:
  • Subscription Page
  • Invoices
  • Subscription Report in Reports section
The price could be different in these three different sources as each of them serves different needs.
Moreover, different price levels would behave differently in each of the aforementioned sources.
Let's have a closer look:
  • Subscription Page:
    Price is a calculation of the price based on the Vendor price on purchase/renewal date with corresponding level markups/discounts. This is to further navigate the buyer decision to enable or disable auto-renewal, increase the quantity, etc.
  • Invoices:
    It is the actual price different consumables (distributor, reseller, customer) are charged by the relevant entities (vendor, distributor, reseller) on a particular month invoice.
  • Reports:
    The Subscription Report is there to provide a snapshot of subscription configuration on recalculation dates and should not be used to guide invoicing. There are too many scenarios where this price will continue to differ from what the end customer should be invoiced, mainly due to proration and price/configuration corrections.
To sum up, price recalculation occurs when:
  • Subscription is purchased
  • Subscription is renewed
  • Quantity is changed (for quantity-dependent "price-leveled" offers)
  • Billing cycle is changed
  • Upgrade / downgrade
  • Reseller2Customer markup is updated
  • Distributor2Reseller markup is updated via Subscription page
Price recalculation does not occur when:
  • Distributor2Reseller markup is updated via assigning reseller to a different segment (Price Tier)
  • Distributor2Reseller markup is updated via changing the Generic/Vendor/SKU markup in the current reseller's segment (Price Tier)
  • Offer price changed by Vendor

While it is explanatory if there was quantity change or vendor price update middle of the term (month or annual), the price would be showing differently between Subscription Page, Invoices, and Subscription report, but let's have a look at more niche use cases:

1st use case:
Let's consider the following scenario:
  1. In January, Customer purchased a P1Y/Monthly subscription, quantity = 1.
  2. In March, Distributor2Reseller markup was updated via changing the "Markup/discount from distributor, %" on subscription page on UI
  3. Exchange rate is different every month.
Actual results in June:
June Invoice shows the price with Distributor2Reseller markup from March, and exchange rate from May (on ChargeStartDate).
Subscription page on UI shows the price with Distributor2Reseller markup from March, and exchange rate from June (on Today's date).
Reports show the Price on start date with Distributor2Reseller markup from March and exchange rate from January (on Start date), the Price on current date with Distributor2Reseller markup from March and exchange rate from June (on Today's date), and the Price Configuration on renewal showing the Distributor2Reseller markup from March.
NOTE! Subscriptions whose Distributor2Reseller markup was changed via updating the "Markup/discount from distributor, %" field on subscription page in UI, will no longer have their Distributor2Reseller markup managed through Price Tiers.
2nd use case:
Let's consider the following scenario:
  1. In January, Customer purchased a P1Y/Monthly subscription, quantity = 1.
  2. In March (midterm), Distributor2Reseller markup was updated either via assigning a different Price Tier to reseller or via changing the Vendor/SKU price markup in the reseller's current Price Tier
  3. Exchange rate is different every month. 
NOTE! Distributor2Reseller markup update via assigning a different Seller Segment (Price Tier) or via changing the Vendor/SKU price markup in the reseller's current Price Tier does not trigger a price recalculation until subscription has been renewed!
Actual results in June:
June Invoice shows the price with Distributor2Reseller markup from January, and exchange rate from May (on ChargeStartDate).
Subscription page on UI shows the price with Distributor2Reseller markup from January, and exchange rate from June (on Today's date).
Reports show the Price on start date with Distributor2Reseller markup from January and exchange rate from January (on Start date), the Price on current date with Distributor2Reseller markup from January and exchange rate from June (on Today's date), and the Price Configuration on renewal showing the Distributor2Reseller markup from March.

3rd use case:
Let's consider the following scenario:
  1. In January, Customer purchased a P1Y/Monthly subscription, quantity = 1.
  2. In March, Reseller2Customer markup was updated via changing the "Markup/discount from seller, %" on subscription page on UI
  3. Exchange rate is different every month
Actual results in June:
June Invoice shows the Price with Reseller2Customer markup from March, and exchange rate from May (on ChargeStartDate).
Subscription page on UI shows the Price with Reseller2Customer markup from March, and exchange rate from June (on Today's date).
Reports show the Price on start date with Reseller2Customer markup from January and exchange rate from January (on Start date), the Price on current date with Reseller2Customer markup from March and exchange rate from June (on Today's date), and the Price Configuration on renewal showing the Reseller2Customer markup from March.
In case of additional questions, refer to our articles in 'Billing & Invoicing' section for guidance, and reach out to our Support team at support@appxite.com at any time.
Invoices Subscription price Price reports

Was this article helpful?

0 out of 1 found this helpful

Articles in this section

Add comment

Please sign in to leave a comment.