Free Goods

FREE GOODS
Configuration:
- Uses Condition techniques (for scenario – 1)
Define condition types
Define Pricing Procedure – standard NA0001
Activate free goods determination – Sales area + Doc. Pricing proc. + Cust. Pricing proc. = NA0001
- Determine Item category for free Goods. i.e. Ord. type + ITGr + Usg + HLevIt(TAN) = TANN
- Control Free goods Pricing (for Scenario 2)
o Control Pricing for Free goods Item category – here you define whether an item cat. Is relevant for pricing or not. Like TANN
Space – No pricing (for scenario 1)
X – Pricing standard
A– Pricing for empties
B – Pricing with 100% (for scenario 2)
You also decide whether the value of item should be considered to calculate for the total value of header (Space – system will copy item to header total, X – no cumulation).
o Maintain Condition type for 100% discount – in standard system R100 is for 100% discount. No need to define other condition type.
o Maintain Pricing procedure for pricing – add the R100 in you pricing procedure(RVAA001) with requirement 55 and condition base value 28 so no need to create condition record for the condition type R100.
- Set transfer of cost to main item – copy control from delivery to billing.(for scenario 3)
- Pricing for inclusive free goods without item generation. (For Scenario 4)
In free goods master if we have selected free goods category 3 (inclusive free goods without item generation), the system will not generate items for free goods. Here we use standard condition type NRAB, with condition basis formula 29 and pricing requirement 059. Category of this condition is F, it will ensure that condition is redetermined every time the qty is changed.

Master Record for Free Goods:
Based on access sequence you can define criteria for free goods. Here it can be inclusive free goods, Exclusive free goods and Inclusive free goods without item generation. Also we can control the delivery of free goods like 1. Delivery takes place regardless of main item A – Delivery only if main item is partial delivered B – delivery only if main item is fully delivered etc)

Inclusive free goods means suppose for 10 qty you want to give 2 qty as free than system will price 8 qty and 2 qty as free.
Exclusive free goods means suppose for 10 qty you want to give 2 qty as free than system will price 10 qty and other 2 qty as free.
In both the above cases, system will generate sub items for free goods with item category TANN. We have four possibilities also as below.
Inclusive free goods without Item generation means for 10 qty.


Hence we can have four different situations:
1. Normal free goods
a. Create condition techniques
b. Create master record with A inclusive B Exclusive
c. TANN not relevant for pricing(space – not relevant for pricing)
Here if you select the TANN line and go for pricing analysis in sales order, the price will be zero.
2. Free goods with Pricing control
a. TANN relevant for pricing with 100% (B – Pricing for free goods (with 100% disc.))
b. Condition type R100 with 100% discount. Sales deduction shown as 100% discount.
Here if you select the TANN line and go for pricing analysis, the item will be priced but there will be 100% discount (R100) also.
3. Free goods with Pricing control but transfer of cost to main item.
a. TANN not relevant for pricing
b. Set transfer of cost to main item
4. Pricing for inclusive Free goods without item generation.
a. For inclusive only.
b. Free goods category 3 in free goods master records.
c. Condition NRAB.
d. TANN not relevant for pricing.
Here system will not create sub item but will deduct the discount condition (NRAB)