Margin Protection in iVend Retail

In iVend Retail 6.5 and newer, users can define a minimum margin that each product must achieve.  By using this feature, the Retailer can allow Store Staff to discount products at the Point of Sale whilst maintaining a minimum margin.

Note: This feature is available in iVend Un-plugged Only.

Margin Protection Benefits

· Allow cashiers flexibility to discount products without impacting product margin requirements

· Manager Override enables Store Managers to Override this restriction

Setup and Configuration

· Product Costing Method

· Cost Margin Setup

· Manager Override Setting

1. Product Costing Method

Log into the iVend Management Console and navigate to: Operations > Inventory > Product – the Product Search screen comes up. Select a Product and press [F4 Edit] to bring up the product’s setting page.

Figure 1 – Product Search Screen

 Product costing method should be set to either Average Cost

Figure 2 – Product Master Screen (Average Cost)

or Standard Cost

Figure 3 – Product Master Screen (Standard Cost)

2. Cost Margin Setup

Within the Product setting screen click the [View Inventory] button.

Figure 4 – Product Master Screen

Within the Inventory Item View set the “Cost Margin Type” to Percent or Amount and set the “Cost Margin Value” to the desired Percentage or Amount.

Figure 5 – Inventory View Screen

3. Manager Override Setting

Log into the iVend Management Console and navigate to: Administration > Retail Configuration > Retail Profile – the Retail Profile Search screen comes up.

Figure 6 – Retail Profile Search Screen

In the Manager Override section, check the box “Cost Protection Override” to ensure that it is enabled. Press [Ok] to update the changes made to the Retail Profile.

Note: Changing the Retail Profile settings will require a restart of the Management Console and POS applications before the change will be applied in the system and become into effective.

Figure 7 – Retail Profile Settings Screen

Usage - Point of Sale

When selling products at a discount at the POS that would result in the price dropping below the threshold set for the margin control parameters, the Cashier will be prompted as follows:

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Figure 8 – Manager Override Confirmation Screen

Selecting [Yes] will require the manager to log-into the POS so that the discount can be allowed. Selecting [No] will return the cashier to the discount screen where the discount would need to be reduced to a value that is below the threshold trigger set for the margin control on the product.

Note: If the Manager Override setting for Cost Protection Override is not set in the Retail Profile, then the discount will be allowed regardless of any other Cost Protection settings defined in the system.

This concludes the document on – Margin Protection in iVend.