Managing Reseller Quotes, Revenue Sharing & Net Revenue Metrics

overview channel partner quotes in nue enables organizations that sell through channel partners (resellers, distributors, and referral partners) to apply a partner discount on top of the customer facing price this creates a clear separation between what the end customer pays and what the seller actually receives as revenue after the partner takes their margin this feature introduces sequential discounting into the standard nue pricing waterfall, where the partner discount is applied after all customer facing discounts (price tags and discretionary discounts) have been calculated who should use this this guide is intended for the following personas deal desk users who create and manage partner channel quotes sales representatives working with channel partners finance analysts responsible for arr, acv, and carr reporting revenue operations (revops) managers configuring nue for partner workflows system administrators setting up and maintaining the feature key concepts before getting started, familiarize yourself with these key terms term definition partner discount % the percentage margin a channel partner takes from the seller applied to the total price (customer facing price after all standard discounts) partner payout the dollar amount of the partner margin calculated as total price × partner discount % net seller price the unit price the seller receives after all discounts including the partner margin this is the revenue per unit net seller total the total revenue the seller receives on a quote or line item after the partner payout is deducted this value drives arr, acv, and tcv calculations net sales price the customer facing unit price after all standard discounts (price tags + discretionary) this is what the end customer pays per unit total price the customer facing total after all standard discounts, before tax the partner discount is applied to this amount pricing waterfall the partner discount extends the existing nue pricing waterfall here is the complete flow showing where the new fields fit in step pricing stage result 1 start with list price list price 2 apply multi attribute pricing adjustments adjusted price 3 apply product relationships related price 4 apply price tags (volume, term, tier discounts) system discount 5 apply discount tags sales price 6 apply discretionary discount net sales price 7 apply partner discount % (new) net seller price (new) important tax is calculated on the customer facing total price (pre tax) and added on top of it the customer pays the tax, but tax is not part of seller revenue or partner payout the relationship is total price = net seller total + partner payout exposing additional fields on quotes & orders the newly added fields are not exposed to nue's line editor by default these fields can be configured on field set as per requirement navigate to setup > object manager > quote/order > field sets configure new fields such as partner discount, partner payout, net seller total partner discount, partner payout, net seller total on the quote/order header & quote/order price summary field sets on the quote line editor above fields can be configured onto the line editor layout to view line level totals & partner margins worked example this example walks through a complete partner quote to illustrate how each field is calculated understanding this example will help you verify your own quotes are calculating correctly scenario a company sells a 1 year subscription at $100/user/month for 100 users through a channel partner the partner takes a 5% margin on revenue standard discounts include a 10% system discount and a 20% discretionary discount unit price breakdown field unit price notes list price $100 00 starting price per unit system discount (10%) $10 00 via price tags sales price $90 00 after system discounts discretionary discount (20%) $18 00 manual discount net sales price (customer pays) $72 00 customer facing price 🟢 partner payout (5%) $3 60 new partner margin 🟢 net seller price (seller receives) $68 40 new revenue per unit aggregate totals (100 users × 12 months) field amount calculation list total $120,000 00 100 × $100 × 12 system discount amount $12,000 00 10% of list total subtotal $108,000 00 discount amount $21,600 00 20% of subtotal total price (customer pays) $86,400 00 🟢 partner payout (5%) $4,320 00 5% of total price 🟢 net seller total (revenue) $82,080 00 total price payout tax (8% on total price) $6,912 00 8% × $86,400 total amount (customer pays incl tax) $93,312 00 total + tax key takeaway the customer pays $93,312 (including tax) the partner receives $4,320 the seller receives $82,080 as revenue tax is calculated on the customer facing total price and is outside the seller/partner revenue split setting up partner discounts this section walks you through the steps to configure and use partner discounts on your quotes in phase 1, partner discount is set at the quote header level and automatically propagates to all eligible quote lines step 1 enter partner discount on a quote open the quote you want to configure in nue in the quote header panel, locate the partner discount % field enter the partner margin percentage (for example, enter 10 for a 10% partner margin) save or recalculate the quote nue automatically computes the partner payout and net seller total at the header level example if your quote total price is $50,000 and you enter a partner discount of 10%, the system calculates partner payout = $5,000 and net seller total = $45,000 step 2 verify line level calculations once you set the partner discount % on the header, every eligible quote line automatically inherits the discount for each line item, nue calculates partner discount % — inherited from the header partner payout = line total price × partner discount % net seller total = line total price − partner payout net seller price = net seller total ÷ (quantity × subscription term) note negative lines (such as credit lines on change orders) do not inherit the partner discount from the header this ensures credits are applied correctly without double discounting step 3 view partner fields in the quote line editor by default, the partner discount fields are not shown in the quote line editor to add them open the quote line editor click the configure button in the line editor toolbar add the following columns to your visible field set partner discount %, partner payout, net seller price, and net seller total save your configuration these columns will now appear on your quote line editor for all quotes tip you can also add net seller total and partner payout to the price summary and header field sets for at a glance visibility step 4 activate the order when you activate a quote into an order, all partner discount fields propagate automatically order header receives the partner discount %, partner payout, and net seller total each order item receives partner discount %, partner payout, net seller total, and net seller price subscription records are updated with net seller total for ongoing reporting step 5 review revenue metrics after order activation, revenue metrics automatically use the correct amounts when net seller total is populated (partner discount is present) delta arr, delta acv, and delta tcv are calculated using net seller total when net seller total is not populated (no partner discount) calculations continue using total price as before, ensuring full backward compatibility example if your annual subscription has a total price of $86,400 and a partner payout of $4,320, your delta arr will be calculated on $82,080 (the net seller total), accurately reflecting the actual revenue your organization receives field reference this section provides the complete reference for all new and existing fields involved in channel partner quotes use this when building reports, configuring field sets, or troubleshooting calculations new fields introduced field name api name type available on description partner discount % partnerpayoutpercentage c percent quote, order, line items, subscription partner discount % applied to total price partner payout partnerpayoutamount c currency quote, order, line items, subscription dollar amount of the partner margin (total price × partner discount %) net seller price netsellerprice c currency line items, subscription unit price seller receives after all discounts including partner margin net seller total sellertotalamount c currency quote, order, line items, subscription total revenue seller receives drives arr, acv, and tcv when populated calculation formulas at the quote/order header when a partner discount % is entered on the header partner payout = total price × partner discount % net seller total = total price − partner payout at each line item the header partner discount % is inherited by each eligible (non negative) line partner discount % = header partner discount % (if line is not a negative line) partner payout = line total price × partner discount % net seller total = line total price − partner payout net seller price = net seller total ÷ (quantity × subscription term) revenue metrics delta arr, delta acv, and delta tcv calculations use the following logic if net seller total is populated (partner discount applied) metrics use net seller total if net seller total is not populated (no partner discount) metrics use total price (backward compatible) example for a quote line with total price = $10,000, partner discount = 8%, the partner payout = $800, net seller total = $9,200 if this is a 12 month subscription for 10 users, the net seller price = $9,200 ÷ (10 × 12) = $76 67/user/month working with change orders partner discounts work with both new orders and change orders here is what to expect new orders set the partner discount % on the quote header before activation all line items inherit the discount and calculate net seller fields automatically revenue metrics (arr, acv, tcv) will use net seller total change orders the pricing engine recalculates partner payout and net seller total based on the current partner discount % negative lines (credits) do not inherit partner discount, ensuring accurate credit calculations delta metrics reflect the change in net seller total between the original and amended values example if a customer originally had a $50,000 deal with a 10% partner discount (net seller = $45,000), and you process a $10,000 upsell change order, the new line will also carry the 10% partner discount the delta arr for the change order will be based on $9,000 (the net seller portion of the upsell), not $10,000 reporting & analytics channel partner quotes introduces new fields that are available in all standard nue reports and custom report builders available report fields partner discount % on quote, order, line items, and subscriptions partner payout dollar amount at header and line levels net seller price unit revenue at line level net seller total total revenue at header and line levels common reporting scenarios revenue by channel vs direct filter quotes by whether partner discount % is greater than zero to separate channel deals from direct deals this allows you to compare true revenue (net seller total) for channel deals against total price for direct deals partner margin analysis build reports that aggregate partner payout across deals to understand total cost of your partner program group by partner account, product line, or time period to identify trends accurate arr/acv dashboards standard nue arr and acv metrics automatically use net seller total when available, so your dashboards will reflect actual revenue received rather than customer facing prices example to build a partner program cost report, create a custom report on quote line items, filter where partner discount % > 0, and include columns for product name, total price, partner payout, and net seller total this gives you a clear view of how much revenue is allocated to partners vs retained frequently asked questions can i set different partner discount percentages on different lines? not in phase 1 currently, the partner discount is set at the quote header level and applies uniformly to all eligible lines line level override capability is planned for phase 2 what happens if i don't enter a partner discount? if no partner discount is entered, the system behaves exactly as before net seller total will equal total price, and all revenue metrics will continue to use total price the feature is fully backward compatible does the partner discount affect invoicing? no in phase 1, invoices continue to use the customer facing net sales price the partner discount fields are for quoting and revenue reporting purposes only does the partner discount affect tax calculations? no tax is calculated on the customer facing total price (before partner discount) the partner discount does not change what the customer pays or how tax is computed how do i see partner discount fields in the quote line editor? click the configure button in the quote line editor and add partner discount %, partner payout, net seller price, and net seller total to your visible columns what about negative lines (credits) on change orders? negative lines do not inherit the partner discount from the header this is intentional to prevent double discounting on credit adjustments can i use partner discount fields in approval rules? yes the partner discount %, partner payout, and net seller total fields are available in salesforce and can be referenced in approval processes and workflow rules what happens to arr and acv when i use partner discount? when a partner discount is present, delta arr, delta acv, and delta tcv are calculated using net seller total instead of total price this ensures your revenue metrics reflect actual revenue after partner margin when no partner discount is applied, the previous behavior using total price is maintained best practices for deal desk teams always set the partner discount % before finalizing a quote to ensure net seller values are visible during approvals add net seller total to your approval criteria so leadership can approve based on actual revenue, not customer facing price use the price summary to compare total price (customer pays) vs net seller total (you receive) at a glance for finance & revops update your arr/acv dashboards to reference net seller total for partner channel deals create a partner margin report to track total payout across your partner program use the backward compatible behavior if no partner discount is set, metrics continue using total price, so no manual intervention is needed for direct deals for administrators configure the quote line editor to include the new partner fields so users can verify calculations use field level security in salesforce to control who can view or edit the partner discount % field after installation, verify that the data migration populated net seller total = total price on existing records