In the ever-evolving landscape of business management, having a robust and flexible Sales module is crucial. Odoo 17 introduces several new features and enhancements that significantly streamline sales operations. Among these, the ability to apply various types of discounts and analyze margins on Sales Orders (SO) stands out. In this blog, we will delve deep into the advanced functionalities of applying discounts—be it line discounts, global discounts, or fixed amount discounts—and how to effectively identify margins on Sales Orders. Additionally, we'll explore how to leverage Odoo’s powerful reporting capabilities using pivot tables to gain actionable insights.
Applying discounts in the Odoo 17 Sales module is a powerful feature that allows businesses to tailor their pricing strategies to meet diverse customer needs and market conditions. Whether it’s offering special promotions, rewarding loyal customers, or providing bulk purchase discounts, Odoo 17 provides several options to implement these pricing strategies seamlessly. Users can apply line discounts to individual products, offering flexibility when different items require unique discount rates. Additionally, the global discount feature enables businesses to apply a uniform discount across an entire Sales Order, simplifying the process of managing large orders with consistent pricing adjustments.
Odoo 17 also introduces a highly anticipated feature: the ability to apply fixed amount discounts on Sales Orders. This feature adds another layer of flexibility, allowing businesses to offer specific monetary discounts instead of percentage-based ones. This is particularly useful in scenarios where a flat discount amount is more suitable, such as seasonal promotions or clearance sales. By combining these discounting capabilities with Odoo’s robust margin analysis tools, businesses can ensure that they are offering competitive pricing while maintaining profitability, all within a streamlined and user-friendly interface.
Applying Line Discounts in Odoo 17
Line discounts in Odoo 17 allow you to apply a percentage-based discount directly to individual product lines within a Sales Order. This feature is particularly useful when different products or services in a single order require varying discount rates.
Steps to Apply Line Discounts:
1. Create a Sales Order:
* Navigate to the Sales module and click on ‘New’ to start a new Sales Order.
* Select the customer and add the products or services to the order lines.
2. Apply Line Discount:
* In the order line, next to the unit price, you'll find the ‘Discount’ field.
* Clicking on this button will open a pop-up window. From this window, select the ‘On All Order Lines’ option. Enter the percentage discount for each line item.
* Odoo automatically recalculates the subtotal for each line, considering the applied discount.
3. Review and Confirm:
* After applying the discounts, review the order summary and confirm the Sales Order.
This method allows for granular control over discounting strategies, ensuring that your pricing remains competitive while maintaining profitability.
Applying Global Discounts on Sales Orders
A global discount applies a single discount percentage to the entire Sales Order, rather than individual lines. This is useful for customer-wide promotions or bulk order discounts where a uniform discount rate is offered.
Steps to Apply Global Discounts:
1. Create a Sales Order:
* Navigate to the Sales module and click on ‘New’ to start a new Sales Order.
* Select the customer and add the products or services to the order lines.
2. Apply the Global Discount:
* While creating a Sales Order, after adding all the required products or services, you’ll see an option to apply a global discount at the bottom of the order.
* Select the ‘Global Discount’ option.
* Enter the discount percentage you wish to apply to the total amount.
3. Confirm the Sales Order:
* Once the global discount is applied, Odoo recalculates the total amount, and you can proceed to confirm the order.
Global discounts provide a straightforward way to implement promotional pricing without the need to adjust each line item manually.
Applying Fixed Amount Discount on Sales Orders
Unlike percentage-based discounts, Fixed Amount Discount allows you to apply a fixed amount discount directly to the total order value.
Steps to Apply Fixed Amount Discounts:
1. Create a Sales Order:
* Navigate to the Sales module and click on ‘New’ to start a new Sales Order.
* Select the customer and add the products or services to the order lines.
2. Apply Fixed Amount Discount:
* In the Sales Order form, after adding the products, look for the ‘Discount’ option.
* Select ‘Fixed Amount’ and enter the specific amount you wish to discount from the total Sales Order value.
3. Confirmation and Impact on Margins:
* The fixed discount is deducted from the total order value, and the new total is displayed.
* Confirm the Sales Order, keeping in mind that applying fixed discounts can significantly impact your profit margins, making it essential to carefully manage and analyze these discounts.
Identifying Margins on Sales Orders
Understanding and monitoring margins is crucial for maintaining profitability. Odoo 17 provides an intuitive way to calculate and display margins directly on Sales Orders.
Steps to Analyze Margins:
1. Enable Margin Calculation:
* Go to Sales > Configuration > Settings and enable the ‘Margins’ option.
* This feature will allow you to view the cost, sale price, and margin for each order line.
2. View Margins on Sales Orders:
* When creating or reviewing a Sales Order, Odoo will now display the margin for each product line, calculated as the difference between the sale price and the cost price.
3. Review Total Margin:
* At the bottom of the Sales Order, the total margin for the entire order is displayed, giving you a clear picture of the order’s profitability.
By integrating margin analysis directly into the Sales Order process, Odoo 17 ensures that you can make informed decisions that balance competitive pricing with the need to maintain healthy profit margins.
Advanced Reporting with Pivot Tables
Odoo 17’s reporting capabilities, particularly the pivot table, allow you to analyze sales performance, discount impact, and margin trends with precision.
Steps to Create a Sales Report using Pivot Table:
1. Navigate to Sales Reporting:
* Go to Sales > Reporting > Sales.
2. Select Pivot Table View:
* Switch to the pivot table view to analyze your Sales Orders data.
* Customize the pivot table by adding measures such as ‘Discount Amount,’ ‘Margin,’ ‘Quantity Sold,’ and ‘Total Sales.’
3. Filter and Group Data:
* Use filters to narrow down the data by date, quotation, invoice, and many more.
* Group the data by relevant dimensions, such as product categories or sales teams, to uncover insights.
4. Export and Share Insights:
* Once your pivot table is set up, you can export it to Excel or share it directly within Odoo, providing valuable insights to your team.
By harnessing the power of pivot tables, you can perform a detailed analysis of your discounting strategies and their impact on overall sales performance and profitability.
Odoo 17’s Sales module offers a comprehensive suite of tools for applying and managing discounts, understanding margins, and generating insightful reports. Whether you’re applying line discounts, global discounts, or fixed amount discounts, Odoo ensures that you have the flexibility to meet diverse pricing strategies while keeping a close eye on profitability. Moreover, the advanced reporting capabilities, especially through pivot tables, empower you to make data-driven decisions that enhance sales efficiency and drive business growth.
To read more about How to Identify the Margin from Sales Orders using Odoo 17, refer to our blog how to Identify the Margin from Sales Orders using Odoo 17.