Order Pricing & Fees
Your courier service charges a fee for each order placed with it. When your customers send an order, they should see the price and pay for it accordingly. The pricing feature lets you manage the price of orders. When you use the pricing function, you can customize several criteria. These parameters are then used in the pricing algorithm to calculate the price.
Factors That Affect Pricing
Vehicle
Defining vehicles in the software includes parameters and options that are useful for calculating the price of orders.
Service
A software-defined service includes options and parameters that can be selected to be taken into account in the calculation.
Surcharge
In the pricing feature, surcharges can be added to prices to cover additional costs, such as entrance tolls.
Distance Coefficient
The coefficients are fully dynamic and can increase the price of orders during the times you specify.
How does the Price function work?
Vehicle Type Factors
- Minimum of base fare: A minimum order price can be specified in the pricing parameters. If the order amount falls below the amount specified for this parameter, the value is used as the order price.
- Price of order duration: Map services calculate the time it takes the driver to drive from the pick-up location to the drop-off location given in the order. This period can be billed as a fee, which is added to the order's final price.
- Price of distances: Distances between the pick-up and drop-off locations of an order are displayed by the map service. In the price settings, distance ranges can be specified as a fee. This fee is calculated into the order price.
- Multi drop-off coefficient: Since one order may have many locations, orders with multiple destinations will be more expensive. It is possible to define a factor that considers the cost of the following destinations.
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Schedule coefficient: The planned price can be different from the pricing of orders that are scheduled. To accomplish this, you can use this coefficient.
Constant costs: In this section, you can define fixed costs without any limitations. For example, you can consider the cost of sending a courier to the pick-up location of an order as a fixed cost.
Surcharges: Vehicle surcharges are considered fixed charges per order, such as VAT on each order. These extra charges are factored into the pricing algorithm and are included in the order price.
Price of options: A vehicle has its own set of options, which can be set on the management dashboard. Following that, you can proceed to the next section of the process to calculate the cost of these options.
Service Factors
- Price of service: There may be a separate flat fee for each service. For instance, a box sending service and a document sending service may differ in terms of price. Since both can be moved or transported in a vehicle, a separate fee may be added to the order.
- Price of options: Depending on the service, you may have a variety of choices. If a service is provided for moving documents, you may choose an option to move critical documents. Because the transfer of essential papers is more expensive, this alternative can be considered fixed.
- Distance Coefficient: In the Distance Coefficient section, you can specify the parameters determining how orders for specific vehicles will be priced based on the date, day of the week, time, and distance. Innovative coefficients allow pricing to be adjusted in real-time. Prices might be changed during peak hours, after dark, or during holidays.
- Surcharge: In some cases, order prices are unpredictably high. For example, the driver may need to travel a highway with tolls when placing an order. The driver pays the toll when crossing the highway, but the customer has to reimburse the driver in the end. There is a Surcharge option for such unanticipated charges. These aren't predetermined and aren't included in the pricing formula. When the driver incurs these fees, they are added to the total price.
