Published at: 2026-09-17

Pricing policy system overview

Understand the full pricing policy system from promotion configuration to order execution.

Overview

A pricing policy is a rule-engine-based system for running promotions. It converts enterprise promotion strategies into rules that the system can identify, evaluate, and execute.

Pricing policies are not limited to backend configuration. The full system covers backend enablement, policy maintenance, rule design, account and product scope, aggregation evaluation, order matching, promotion execution, quota control, and allocation review.

When administrators read this overview, they need to understand two lines of work. The configuration line defines promotion rules. The execution line explains how orders match policies and generate benefit results.

Business value

Pricing policies mainly support these business goals:

Goal	Business purpose
Increase sales	Use promotion benefits to motivate downstream distributors, increase short-term sales, and improve sales performance.
Increase average order value	Use promotion thresholds, tiered benefits, bundle recommendations, and packages to increase order value.
Expand market coverage	Promote new products to increase purchase intent and help products enter the market faster.
Clear inventory	Promote slow-moving products to clear inventory and improve cash turnover.
Respond to competition	Use promotions to improve market penetration and compete for market share.

Pricing policies break these goals into account scope, product scope, rule conditions, and execution results.

With pricing policies, administrators can move promotion decisions from manual judgment to system judgment. When sales users create orders, the system matches promotions and processes results by rule.

The pricing policy process has these steps:

The company enables pricing policies and maintains policies, rules, and applicable scopes.
Sales users create orders and enter accounts, products, quantities, and amounts.
The system matches pricing policies and pricing rules by order data.
After the order meets the conditions, the system processes prices, amounts, discounts, or gifts by rule.
The system records allocation results so users can review the promotion impact.

Full system at a glance

The pricing policy system consists of configuration, execution, control, and accounting capabilities.

Capability layer	Main content	Problem solved
Enablement and policy carrier	Backend switch, pricing policy, modification type, and priority.	Determines whether pricing policies are enabled and what promotion activity a policy carries.
Rules and conditions	Pricing rules, rule groups, order conditions, product conditions, and aggregation rules.	Determines which orders, products, and thresholds can receive promotions.
Execution and display	Order-level promotions, product promotions, pricing rules, gift rules, bundle promotions, and order-side policy switching.	Determines how prices, discounts, amounts, or gifts change after a policy matches.
Control and accounting	Detail quota limits, control scope, control object, and allocation details.	Controls promotion costs and shows how benefits are allocated to detail lines.

System components

The full pricing policy system consists of these modules:

Module	Management content	System purpose
Backend switch	Enables pricing policies in promotion and rebate configuration.	Enables pricing policy capabilities and makes them mutually exclusive with legacy promotions.
Pricing policy	Maintains basic policy information, modification type, priority, and applicable scope.	Defines the carrier of a promotion activity.
Pricing rule	Configures pricing, gifts, bundle pricing, and bundle buy-and-get rules.	Defines the specific promotion method and execution result.
Applicable accounts	Configures all accounts, accounts that meet conditions, or specified accounts.	Controls which accounts can use the policy.
Promotion products	Configures the product scope that shows the Promo tag during order entry.	Helps users identify products that may participate in promotions.
Aggregation rules	Calculate amounts or quantities in orders, quotes, and their details.	Provide values for rule conditions or threshold conditions.
Detail quota limits	Configure limits for gift quantity, gift amount, promoted product quantity, and promoted product benefit amount.	Control benefit distribution scope and cost.
Allocation details	View benefit amount or gift value allocation on promoted product detail lines.	Support true revenue and cost accounting.

![[AI docs（en-US）/sales-management/03-sales-management-configuration/06-sales-policies-and-expenses-configuration/01-pricing-policy/images/admin-pricing-system-overview/02.png

Pricing policy components]]

Object relationships and responsibilities

Key objects in the pricing policy system have clear responsibilities. During configuration, first define the business goal, and then break it down into policies, rules, scopes, and control items.

Object or configuration item	Responsibility	Relationship with other modules
Pricing policy	Carries one promotion activity or one group of promotion rules.	Contains basic settings, applicable accounts, promotion products, and pricing rules.
Pricing rule	Defines the specific promotion method.	Belongs to a pricing policy and determines the execution result after an order matches.
Applicable accounts	Limits which accounts can use the policy.	The system checks account eligibility before rule matching.
Promotion products	Controls the Promo tag display during order entry.	It is not the same as the actual product scope in pricing rules.
Aggregation rules	Generate quantity, amount, or bundle evaluation values.	Can be referenced by rule conditions and can support bundle promotions.
Detail quota limits	Limit benefit distribution.	Control gift quantity, gift amount, promoted product quantity, or promoted product benefit amount during rule execution.
Allocation details	Record benefit impact.	Show amount-based benefit allocation or gift value allocation after order execution.

Execution flow

A pricing policy usually follows this flow from configuration to order execution:

The administrator enables pricing policies in Setup.
The administrator creates a pricing policy and sets the modification type, priority, applicable accounts, and promotion products.
The administrator configures pricing rules in the pricing policy.
If complex thresholds are required, the administrator configures aggregation rules and references them in rule conditions.
If cost control is required, the administrator configures detail quota limits.
Sales users create orders. The system matches pricing policies by account, product, order conditions, and aggregation results.
After a policy matches, the system processes prices, amounts, discounts, or gifts by pricing rule.
The system creates allocation details so users can review promotion benefits on the order.

This flow shows the full pricing policy loop. The configuration stage defines rules, the order stage triggers rules, and the allocation stage explains benefit results.

Key concepts

Concept	Description	Configuration focus
Modification type	Indicates where the promotion modification occurs in the document.	Distinguish order-level promotions from product promotions.
Order-level promotion	Applies a promotion to the whole order.	Modifies information on the order master object.
Product promotion	Applies a promotion to order detail lines.	Modifies information on order product lines.
Priority	Default execution order when multiple policies match.	A smaller number means a higher priority.
Rule group	A policy can contain multiple rules.	In the same group, the rule with the highest priority applies. In different groups, one rule applies per group.
Rule condition	Determines whether an order meets promotion requirements.	Can reference order fields or aggregation values.
Execution result	The promotion adjustment that applies after the order meets conditions.	Can affect number, amount, and percent fields, and can process gifts.
Threshold condition	Multiplies the modification amount by how many times the condition value is met.	For example, reduce 5 for every 100, and reduce 10 for 200.

Pricing rule model

Pricing rules correspond to specific promotion methods. Administrators select rule types based on promotion goals.

Rule type	Processing method	Typical scenario
Pricing rule	Handles amount-based promotions such as discounts, reductions, and fixed prices.	Product A receives a discount after reaching a threshold, or one product uses a fixed price.
Gift rule	Handles buy-and-get promotions.	Buy A and get B, or get the promoted product itself.
Bundle pricing	Handles amount-based promotions after any combination of multiple products.	Product A plus product B reaches a threshold and receives an amount reduction.
Bundle buy-and-get	Handles buy-and-get promotions after any combination of multiple products.	A multi-product bundle meets the conditions and receives gifts.

Amount-based rules can affect number, amount, and percent fields. Unit price, discount, and amount fields have special processing. The system first calculates the benefit amount, and then derives the impact on these fields.

Gift rules add gifts. Fixed gifts can include multiple gifts and corresponding quantities. Optional gifts can set a total gift quantity and gift type limit. A promoted-product gift means the product that executed the pricing rule when the order was created.

Bundle promotions support overall promotions for any combination of multiple products. Bundle pricing processes amount-based results. Bundle buy-and-get processes gift results.

Where aggregation rules fit

Aggregation rules calculate document object fields into results. Pricing policies can reference aggregation results as conditions.

Typical aggregation values include:

Total quantity of products in a category in the current order.
Total amount of a product bundle in the current order.
Historical total order amount for an account within a specified period.

Aggregation types include Current Order and Historical. Aggregation result types include Standard aggregation value and Product combination.

Product combination is used for pricing policy bundle promotions. It identifies the promoted product scope and also serves as an order condition.

When configuring an aggregation rule, first define what to calculate, and then define the data scope. What to calculate is determined by the aggregation object and aggregation field. Data scope limits which object records participate in the calculation.

Quota limits and cost control

Detail quota limit records limit promotion benefit distribution. Companies can use them to control promotion cost and distribute benefits more reasonably across accounts.

Control item	Configurable content
Control scope	Limit each rule in a pricing policy, or limit multiple rules of the same type under one policy.
Control object	Account, area, distributor, or all.
Limit type	Gift quantity limit, gift amount limit, promoted product quantity limit, or promoted product benefit amount limit.

The quota control scope can limit each rule separately or limit multiple rules of the same type under the same policy. Select the scope based on the company’s promotion budget accounting method.

Allocation details and accounting

After a company spends promotion costs, it needs to understand the benefit impact on each order. Pricing policies can show this impact through allocation details.

Amount-based promotions allocate benefit amounts. Gift promotions allocate the corresponding gift value. The allocation result usually lands on promoted product detail lines for later true revenue and cost calculation.

Allocation details connect order execution and business accounting. They help administrators confirm which campaigns, orders, and product details receive promotion costs.

Applicable accounts and promotion products

Pricing policies can define applicable accounts and promotion products.

Applicable accounts determine which accounts can use the policy. They can be set to all accounts, accounts that meet specified conditions, or specified accounts.

Promotion products are used to display the Promo tag during order entry. They are not the actual product scope for promotion participation.

[!NOTE] The actual product scope for promotion participation must be configured in pricing rules. Promotion products are mainly used for display and identification during order entry.

System boundaries

Pricing policies are value-added services and must be enabled separately in Setup.
After pricing policies are enabled, they cannot be disabled.
Pricing policies are mutually exclusive with the legacy promotion feature.
When multiple pricing policies match, the system selects the policy with the highest priority by default.
A pricing policy can contain multiple pricing rules.
When multiple rules in the same group match, the system applies the rule with the highest priority.
For different rule groups, one rule applies per group.
Promotion products only control tag display during order entry. They do not define the actual product scope for promotion participation.
The actual product scope for promotion participation must be configured in pricing rules.