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  • 1.  Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 28 days ago

    Hi,

    I've a situation where I want community's suggestion.

    I've a PO A that has a standalone price of £5 per month.

    I've a bundle B1 of which A is part of. When it is bundled in B1, I want the price of A to be £2 per month for first 3 months and later £5 per month.

    I've a bundle B2 of which A is part of. When it is bundled in B2, I want the price of A to be £0 per month for first 3 months and later £3 per month.

    How can I achieve this? Would greatly appreciate your responses.



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    MMH HH
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  • 2.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 27 days ago

    this was discussed already in the community, possibly several times. Search the community via search box or aiva.

    you should also read the product guide from the information framework, where many pricing examples are explained.

    In the pricing world, we often refer this type of pricing as "Component-based pricing" or "BOM pricing", it's heavily used in manufacturing but also in telecom, to some degree.



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    Kind regards,

    Matthieu Hattab
    Lyse Tele AS
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  • 3.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 27 days ago

    Thanks for the response, Matthieu.

    I had searched the forum earlier and I didn't find any relevant thread. Now also, I searched using the terms you mentioned (though in manufacturing), and that didn't fetch any relevant results.

    I've gone through the product guide (GB922 Product 24.5) and couldn't find anything relevant. It's possible I might have missed.

    If it's not a hassle, could you please point me to any of these conversations/chapters, I would be grateful.



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    MMH HH
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  • 4.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 26 days ago

    Unfortunately, I don't have the time to research the community on your behalf. I'm afraid that task is on you.

    I can just give one solution (they are more and I hope I'm the only one who will help here). 

    In a nutshell:

    • Product Specification represents how the product works
    • Product Offering represents how the product is marketed (what price, market segment, sales channels, bunding...)

    Therefore, it is legitimate to create 1 prodSpec (A) but 3 ProdOffers (A1 A2, A3)

    A1

    • isSellable=true
    • is not bundled
    • has a POP of £5

    A2

    • isSellable=false
    • is bundled with B1
    • has POP1 of £5 
    • has POP2 (pricealteration) of £2
      • Duration = 3 months
      • POPrelationship towards POP1 with type = override

    And you do the same with A3 and B2 if you get my drift.

    Other ways exist (with discount, characteristic-based pricing...)  I trust other experts will also share their insights.

    I think PLA and Price policy are not possible here due the duration of the price alteration.



    ------------------------------
    Kind regards,

    Matthieu Hattab
    Lyse Tele AS
    ------------------------------



  • 5.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 25 days ago

    Power of community and people like you @Matthieu Hattab. I was struggling to fit into the same PO. Creating multiple PO's definitely seems to simplify things albeit at the cost of creating more PO's, but that should be OK.

    By characteristic based pricing, do you mean, we'll have a characteristic 'bundled'. Based on if it is set to `true`/`false` the PO prices will be configured? 



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    Manu
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  • 6.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 24 days ago

    Increasing the number of Product Offers (POs) can be beneficial, as it allows for more flexibility in campaigns, promotions, product catalog structuring, and user experience, especially in eShops.

    I now see that characteristic-based pricing can be challenging in this case because the price depends on two product offers and includes a temporary price reduction. Given the complexity, I think I'll hold off for now!

    Instead of handling price variations at the PO level, you could apply discounts at the bundle level:

    • Product A always costs £5.
    • Bundle A has one discount: "£3 off for 3 months."
    • Bundle B has two discounts:
      • First discount: "-£5 for 3 months."
      • Second discount: "-£2 (no duration limit)."

    Your choice also depends on:
    - What your billing system supports.
    - How you want to communicate pricing to customers.

    From a customer experience perspective, many users prefer seeing clear discounts applied on their order, invoice, or while browsing the eshop screen, rather than a lower base price that they assume is the normal price.

    Would love to hear thoughts from others, has anyone handled similar pricing scenarios differently?



    ------------------------------
    Kind regards,

    Matthieu Hattab
    Lyse Tele AS
    ------------------------------



  • 7.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 23 days ago

    There is also option 2 in this "old" Golden Nugget here. In the software I use, I have just configured in Product Catalog Management an adjustment $3 on POA in B1 and it worked well. 
    https://projects.tmforum.org/wiki/pages/viewpage.action?pageId=37389548



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    John Gustavsson
    Salesforce
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  • 8.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 23 days ago

    Thanks @John Gustavsson for sharing your solution and golden nuggets. Unfortunately, the diagram appears blurred for me and can hardly be read.

    I think you're also suggesting what @Matthieu Hattab proposed. I am leaning towards creating separate POs (for individual selling and bundled selling) as that gives us flexibility to present the discount on the specific product in the bill rather than as a discount on the bundle.

    Great to get community views. It has been fascinating and enlightening conversation.



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    Manu
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  • 9.  RE: Different standalone price and bundled price for the same product

    TM Forum Member
    Posted 21 days ago

    @John Gustavsson 

    Thank you for bringing up this reference. The page you mentioned is very old (from 2015) and contains inaccuracies. I've added a comment there to highlight this, and I'd recommend that we avoid using it as a reference going forward.

    Regarding your example in [the software you use], while it's great that you were able to implement it there, the focus of this forum is to discuss how SID, TMF APIs, and related frameworks can address business challenges.

    The goal is to explore industry-wide best practices and avoid at all costs, platform-specific implementations like salesforce. 



    ------------------------------
    Kind regards,

    Matthieu Hattab
    Lyse Tele AS
    ------------------------------