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SAP SD · LessonBy , SAP Solution Architect · Published · SAP S/4HANA 2023 · all levels

Pricing

Pricing in SD determines the price a customer pays, base price, discounts, surcharges, freight and taxes, using the condition technique. It is one of the most important and configurable areas of SD.

Quick answer

Pricing drives the revenue posted at billing, so it must be exactly right.

Key takeaways
  • SD uses the condition technique: a pricing procedure combines condition types (price, discounts, surcharges, freight, tax) in…
  • Condition types: price, discount, surcharge, freight, tax.
  • Pricing procedure: the sequence/logic of conditions.
  • Watch out: Missing/wrong condition records, wrong price.

How SD pricing works

SD uses the condition technique: a pricing procedure combines condition types (price, discounts, surcharges, freight, tax) in sequence to compute the net value of each item. Condition records (e.g. a price list, a customer-specific discount) supply the values automatically based on access sequences.

Key elements

  • Condition types: price, discount, surcharge, freight, tax.
  • Pricing procedure: the sequence/logic of conditions.
  • Access sequences & condition records: where values come from.
  • Condition tables: the keys (customer/material/price list).

Why it matters

Pricing drives the revenue posted at billing, so it must be exactly right. It is highly configurable to model complex commercial rules (customer discounts, promotions, freight). The same condition technique appears in MM, so mastering it here transfers. Pricing is a frequent, high-value SD specialisation.

Common pitfalls

  • Missing/wrong condition records, wrong price.
  • Misordered pricing procedure, wrong calculation.
  • Overcomplex pricing that is hard to maintain.

Practice challenge

+0 XPStreak ×0
Question 1 of 3
Which statement is true of Pricing?

Frequently asked questions

What does Pricing mean in SAP SD?
Pricing in SD determines the price a customer pays, base price, discounts, surcharges, freight and taxes, using the condition technique. It is one of the most important and configurable areas of SD.
What else should SAP SD teams know about Pricing?
Pricing drives the revenue posted at billing, so it must be exactly right.
What is the practical takeaway on Pricing?
SD uses the condition technique: a pricing procedure combines condition types (price, discounts, surcharges, freight, tax) in sequence to compute the net value of each item.
What tends to go wrong with Pricing in SAP SD?
Missing/wrong condition records, wrong price. Misordered pricing procedure, wrong calculation. Overcomplex pricing that is hard to maintain.
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