The NextGen Pricing Engine aids companies in standardizing their respective quoting criteria. The pricing engine consists of 6 distinct areas.
A. Programs (formulas are brought together and made available to requestors)
B. Components (costs and conditions are established with respect to component types)
C. Formulas (Components are tied together to facilitate a pricing structure)
D. Minimums (Establish a minimum set of charges for each quote)
D. Component Types (basic quoting building blocks)
E. Additional Costs (Component types that can be added to a quote on an ad hoc basis)
Component types represent the basic building blocks of a quote pricing structure. This is the area where an administrator will input all pieces of a quote that are to be included when presenting a price to a customer. NextGen users are presented with a template provided by Stellar containing generic component types. This should aid an admin in building their first component type list within NextGen.
Proceed to your Admin Page (sprocket on the lower left side of the screen) and press the Component Type text link. Here you will see a basic set of component types to work off of.
If new component types are required, or changes to existing types are needed, you must enter into an administrative mode within the component types screen.
*See a NextGen Administrator for details
On the top right of the screen, a create component type button appears. Press this to add a new component type.
Component Type Name - Where the component type is named
*must follow the proper format*
**be sure that the component type is included in your formula**
Unit - Conditions are set for the component such as per flight hour, per overnight, per duty day, etc..
Taxable - Is this a taxable component within a quote yes/no
To edit an existing component, click into the requested component type and press the pencil icon in the upper right corner. An edit window will appear. Use this window to change the parameters of that component.
To Delete a component type, press the three orange squares to the right of the component and select delete.
*Be sure to delete the component type from the applicable formula*
**If the component type name is changed, be sure to change the component name in your formula(s)**
***When adding/editing component type items, it is very important to follow the proper format. You must include an underscore "_" between the words in the component type title. This is due to the way a formula is built and computed within NextGen.
Components are where the component types are tied to a cost structure and conditions. The components screen is where you will see your components listed that have been set up for use in quotes. Creating or editing components are accomplished by either pressing the create component button at the top right of the screen or pressing the three orange squares at the right side of your screen respectively.
The create component/edit component screens are similar in layout
Component Type - This is where the component type is chosen
Effective From/Effective To - a date range (if desired) can be added to your component to make it applicable as a temporary item
Conditions - These are parameters that are chosen for your component. Conditions added will selectively apply the component based upon what is selected. A condition can be a specific tail, model, size, program, country, etc...
*multiple conditions can be applied to one component
Currency - **ongoing development. At this time, USD and GBP are the only active currencies
Value - the dollar value of the component
Unit - this field is auto-filled based upon the unit type selected at the component type level
Priority - this is a concept based around an order of precedence, typically used when multiple similar component types are present. The NextGen Pricing Engine will look at similar components with higher priority (lower #) first.
As an example. A generic landing fee, applicable to all light jets is set to $500 for all airports, set to a priority of 5. A special landing fee can be set for a specific airport at $600, set to a priority of 4. The engine will look at the conditions of the priority 4 component first and if applicable, will charge the $600 fee.
Not Discountable toggle - This will allow this component to share/not share in any discounts applied to quotes if activated.
*defaulted to not discountable
When navigating through the Components list, you will notice a filter toggle which opens a filter options menu. These options will aid in navigating through your components as the list gains greater length and complexity.
Formulas in NextGen can vary widely in complexity. Formulas that are set up in NextGen will be listed on the Formulas screen under the admin navigation page. This page will list formulas, conditions that are set to those formulas, the formula type, the components that are included in the formula, and the priority of that formula.
Remember that you can have multiple formulas built in NextGen denoting various types of pricing structures. Alternatively, you can also have one master formula with component types that have varying conditions applied that filter programs, etc. The system is versatile and it is up to the end user/company to apply what is desired.
*the concepts of conditions and priority for formulas are similar to those of components
If new Formulas are required, or changes to existing Formulas are needed, you must enter into an administrative mode within the Formulas screen.
*See a NextGen Administrator for details
This action will present you with the admin page for Formulas. Similar to the Component Types admin page, you can create a new formula or edit a formula by clicking on the appropriate icon.
*The page will warn you that you are currently in a mode that allows changes to your Formulas.
The Create Formula window and the Edit Formula window are similar in layout.
Formula Name - Formula Name
Cost/Price - Is this a formula for the fixed cost of a trip or the price of a trip? Cost formulas aid in calculating margin percentages when looking at quote options. To be accurate, the cost formulas will require similar component types as the price formula applied, or as close as possible. This will help ensure an accurate margin calculation in your quote.
Priority - As with components, an order of precedence can be applied if similar formulas are present
Conditions - As with components, conditions can be set to a formula in an effort to selectively apply the formula based on what is chosen. These choices can include programs, tails, country, etc...
*Multiple conditions can be applied to one formula
The Formula is typed out within the gray box at the bottom of the pop-up window. This format is "component_type" + "component_type". A 'space+space' must appear between the component types for proper functionality. An example would be Aircraft_Rate + Landing_Fee.
*The Save button on the bottom right of the pop-up window will be grayed out until certain parameters are met. This helps to ensure proper spelling of the component type, formatting, etc.
Programs are similar to rate types. Different Programs can be made available to either selected or all accounts in your database. This feature works in conjunction with Formulas. The Formula's, in turn, can also have conditions set which would either include or exclude them from Programs.
Once again, you will need to access the admin rights to make changes to your Programs . A "Create Program" button appears in the top right corner.
It is up to the end user to decide which programs will be set up. Common programs might be Charter, Retail, Wholesale, Wholesale No Tax, etc.
Name - What is the name of the program
Adjustment - Is there a + or - % that you want to apply to this Program as a default.
Tax Type - Options here are Passenger, Cargo, and none.
Billing Actual - This allows billing to occur based upon verified flight log times inputted in the NextGen system
Surcharge Name - a surcharge line item can be added to quotes. This is typically used for after tax line items that might commonly be applied. An example of this would be a Credit Administration Fee.
Surcharge % - Enter the % markup to be applied.
Accounts - Is this a program available to all accounts, or a selected few.