Three methods for bounds calculation
Multiply rests on all the available bounds parameters and calculates your minimum bound and your maximum bound separately. Multiply offers three methods to define your bounds parameters. Each method is independent and at least one method should be set to allow Multiply to calculate effective price bounds.
When more than one method is used to calculate a bound, priority rules apply. For more info, see Bounds priorities and rules for conflicts
Whatever your chosen method, you will need to import some parameters; to help you with that important step, please click here : Three methods to import your bound parameters
Method 1: You can define your bounds parameters with fixed monetary value
Price bound = fixed price value
- You enter a fixed value (min or max price) as parameter. Multiply calculates the bound from this parameter
- The fixed price value can be set for each offer separately but can’t be set globally for a whole catalog (Min and max prices are generally specific to each offer)
- As parameters, you can choose to fill in fixed price values either listing or landed and including VAT or excluding VAT. Multiply then calculates the effective bound
- These bounds are listed in the product details screen. You can modify them directly from this screen.
Method 2: You can apply a margin rate on the offer’s costs
Calculation of your bounds
X = cost of goods sold (excl. VAT)
Y = shipping cost (excl. VAT)
Z = commission cost (excl. VAT)
Multiply distinguish two margin rates, you can set up both of them for more safety :
Listing Price bound = (X+Z) * (1+ listing margin rate)
Landed Price bound = (X+Y+Z) * (1+ landed margin rate)
- You enter the margin rate you want to respect (Min or max margin rate) and fill in the costs of the offer. Multiply calculates the bound from these parameters.
- A margin rate can be set for each offer and/ or for a whole catalog
- As parameters, you can fill in margin rates either listing or landed. Multiply calculates the effective bound. The listing margin rate ignores the costs of shipping whereas the landed margin rate is based on all known costs.
- These bounds are listed in the Product details screen OR in the Catalogs screen, Price bounds and VAT tab. You can modify them When applying a margin rate on costs, the following costs are mandatory:
- Cost of goods sold
- FBS shipping and handling (Cost of shipping when fulfilled by the seller)
- FBA shipping and handling: (Cost of shipping when fulfilled by the marketplace)
- Commission rates
In addition, Multiply also offers the possibility to add all types of direct costs.directly from this screen
Method 3: You can apply a factor on the reference price
Price bound = Ratio (%) * Reference price incl.VAT (shiping fee excluded)
- You fill in a factor (Min or Max). Multiply refers to the reference listing price including VAT and applies the factor to calculate the bound
- A factor can only be set at the catalog level.
- These bounds are listed in the Catalogs screen, Price bounds and VAT tab. You can modify them directly from this screen
If you want to use this method, the reference listing price is a mandatory element. By default, the reference price is the first price observed by Multiply on the marketplace but it is editable. We deeply suggest you provide us with your reference price and update them regularly.
