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Building a Pricing Model

  1. #1
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    Building a Pricing Model

    Hi

    I want to build a pricing model for a web application. I need a formula for cell that will calculate the cost of the product given a variable. The price of the product is dependent on the number of people that sign up for it - this is the variable. The price per person diminishes as the number of people rises.

    Example Pricing Structure:

    0-50 People - $50 per person
    51 - 100 People - $40 per person
    101 - 150 People - $30 per person
    151 - 200 People - $20 per person
    201 - 250 People - $10 per person
    251 - 300 People - $5 per person
    301+ People - $2.5 per person

    So, if 152 people sign up, the client will be charged (50*50) + (50*40) + (50*30) + (2*20) or $6040.

    Other Example Outcomes:

    50 People = $2,500
    75 People = $3,500
    125 People = $5,250
    200 People = $7,000

    My goal is to create a pricing sheet in xls that will produce a price given the variable - a number of people that will be in the application.

    Many thanks in advance and apologies if this is answered elsewhere.

    A

  2. #2
    Forum Expert Whizbang's Avatar
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    Re: Building a Pricing Model

    I believe the attached does what you want.
    Attached Files Attached Files
    Last edited by Whizbang; 01-26-2011 at 03:50 PM.

  3. #3
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    Re: Building a Pricing Model

    It does indeed - thank you very much!!!

  4. #4
    Forum Expert Whizbang's Avatar
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    Re: Building a Pricing Model

    If your issue is resolved, please edit your first post to mark it as "Solved". This will help others who may have a similar issue to find the solution.

    Also, If you like (or dislike) my post, then please rate it. Thanks.

  5. #5
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    Re: Building a Pricing Model

    Hello.

    I am in need of some assistance building a pricing calculator for my sales team to utilize when meeting with customers. We are apparel decorator with a wide range of customers, from national retail chains to individual customers. There are number of different variables that need to be addressed in order to come up with the correct pricing.

    My hope is that I can explain with enough clarity for you all! I have attached a table for reference below the examples.

    Factors
    - Quantity of items
    - Number of locations of decoration (I am only using one location for the examples)
    - Number of colors per location

    Example 1: A customer wants to order 24 shirts, one location with one color.
    Example 2: A customer wants to order shirts, one location with four colors.

    Colors
    QTY 1 2 3 4 5 6
    12 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    13 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    14 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    15 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    16 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    17 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    18 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    19 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    20 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    21 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    22 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    23 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    24 $8.00 $8.00 $8.00 $9.00 $10.00 $11.50
    25 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    26 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    27 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    28 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    29 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    30 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    31 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    32 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    33 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    34 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    35 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50
    36 $6.50 $6.50 $6.50 $7.50 $8.50 $10.50

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