Hi,
Our store dispatches orders from two warehouses: our main HQ, and a 3PL that serves all customers within a specific region.
This specific region served by the 3PL is configured as a Market within Shopify. We are going to set an automatic Price Increase Adjustment of 10% on the Market to cover the cost of moving goods from our main HQ to the 3PL (transport, import duties etc.), and also the 3PL’s fees.
If a B2B customer is located within the region that is served by the 3PL, their orders are dispatched from the 3PL to avoid import duties and tax complications.
However, if the B2B customer is buying products that are in a catalogue with an automated discount (for example, 10%) as opposed to fixed prices, Shopify is calculating the discount based on the product’s base price, not the region-specific price for the Market that the B2B customer is located within.
For example:
Product A has a base RRP of £100. For customers in the specific region defined in Shopify Markets, the RRP is £110 (automated 10% price increase as specified within Shopify Markets).
When a B2B customer from within the Market orders with their 10% discount, they should be paying £99 (i.e. £110 Market price minus their 10% discount). However, Shopify is ignoring the Market price and calculates the B2B price based on the default product price. Therefore, this B2B customer will end up paying £90, which means that we are left out of pocket for the costs we are trying to cover with the Market-specific automated price increase.
So far, we have tried to combat this by manually setting fixed prices within a region-specific B2B catalogue (i.e. 10% Discount for Region X), with the prices based on manually calculated Market prices minus discount %. However, we have over 7000 SKUs, so this is incredibly time consuming. It also doesn’t factor in exchange rate fluctuations etc., which Shopify’s automated Markets pricing takes into account.
We only appear to have two options:
Continue manually setting discounted prices within the B2B catalogue for this particular Market
or
Set reduced discount percentages for B2B customers within this Market, with the hope that this roughly balances out the lack of increased RRP. However, I’m not sure how this would be displayed to B2B customers when they are placing their orders (i.e. will the ‘strike through’ price be the default RRP, leading them to believe they are receiving a small discount percentage, or will the ‘strike through’ price be the RRP for their Market?).
TLDR: Shopify’s current flow for calculating B2B pricing is:
Product’s default RRP → Customer’s B2B discount
Whereas, I believe it should be:
Product’s RRP for customer’s Market → Customer’s B2B discount
I’m very keen to hear your thoughts and suggestions!