Improve SPA administration and accuracy
Manufacturers offer Special Pricing Agreements (SPAs) to distributor partners to support a wide range of end-customer and situational market needs. Because of the large volume of agreements and sizable discounts offered, SPAs can sometimes be the costliest part of your business if the process is not properly managed.
RebateGPS™ is a simple, cloud-based workflow tool that helps you streamline the SPA and rebate process with your distribution partners. This solution helps you reduce annual liabilities without losing any sales revenue.
Reduce processing costs associated with creating and maintaining SPA records
Eliminate financial losses due to miscalculation and reduce discrepancies
Enable sales growth, increased profitability and more accurate forecasting
When you are managing a large number of SPAs, administrative challenges often restrict your ability to evaluate the business opportunity, the volume, or even the negotiated price points for special price agreements.
The shared workflow functionality available in RebateGPS™ platform helps you to ease SPA creation and management. With both parties accessing the same records in the same interface, you can stay aligned on details including volume expectations and price commitments.
The result? A shared system of record that documents pricing and terms. And, when it’s time for pricing and performance reviews, the data is readily available.
To keep things simple, many manufacturers calculate distributor rebates based on replacement cost, paying the difference between the contract price and the current into-stock price.
Unfortunately, this can result in manufacturers paying higher rebates when there is a price increase, stock is moved, or products are sold at promotional levels. For many manufacturers, this can add up to a 3% to 5% overpayment.
RebateGPS™ maps all rebate claims to stock orders, allowing you to calculate rebates based on actual acquisition cost rather than replacement cost. Doing so not only ensures that your rebate is calculated against the true price the distributor paid for the item, but also avoids double claims for items.
Monitor & Improve Performance
Special Pricing Agreements are set up with the expectation that they are necessary to drive sales. However, without the right tools, SPAs can be mismanaged or not managed at all. As a result, many manufacturers find themselves committed to thousands of SPAs without knowing when the special pricing is necessary.
To help you make informed decisions about your SPAs, SPARXiQ collects and analyzes data from special price agreements, rebates and cost supports using proprietary algorithms and delivers specific recommendations through RebateGPS™.
RebateGPS™ provides the reporting necessary for manufacturers to assess SPA performance versus expectations, correct wasteful discounting, and optimize price and volume relationships.
Want to learn more?
Download the RebateGPS™ technical brochure for more information.