Hierarchy

Use this feature to ensure that G3 RMS maintains a pricing hierarchy between products.

In the following example, you have two linked optimized products that require a deposit and are derived off the fully flexible, unrestricted, public rate code, usually BAR Best Available Rate. The lowest non-restricted product with flexible cancellation policy that anyone can book. G3 RMS optimizes the pricing of the BAR product. Other products, like Advanced Purchase or packages, can be linked to the BAR price.. One, Advance Purchase, is non-refundable and can't be changed. The other, Semi-Flexible, can be changed for a fee. Since Advance Purchase has stricter conditions, you set up a Hierarchy for this linked product so that it's always priced below or equal to the Semi-Flexible product. You can also use Hierarchies for independent products.

Setup Steps

1. Click , then Decisions, and then Pricing.
2. Click Advanced Settings .
3. Click Hierarchy.
4. Under Product, select the product that needs to be priced less than or equal to another product.
5. Under Relates To, select the higher priced product for this rule.
6. If needed, define a Minimum Difference between the two products. G3 RMS maintains the difference between the Final Prices The value of the pricing decision that G3 RMS sends to the selling systems. Final Price is derived from the system's Optimal Price, after applying rounding rules, offsets and supplements (if applicable). Final Price also includes your configured tax value, if you are using tax-inclusive (VAT) pricing. of the two products.
7. Click to add the hierarchy rule.
8. Repeat steps 4 to 6 for other hierarchy rules.
9. Click Save.

Best Practices

Avoid Conflicts

You see an Invalid Hierarchy warning if G3 RMS detects that it can't apply the hierarchy. Ensure that these rules apply:

• The Floor Use Floor and Ceiling in Pricing configuration to define the price range of a product. The Ceiling is the highest value that G3 RMS can set for a price and the Floor is the lowest. values of the (lower-priced) Product must be less than or equal to the Floor values of the (higher-priced) product that it Relates to.
• The Ceiling Use Floor and Ceiling in Pricing configuration to define the price range of a product. The Ceiling is the highest value that G3 RMS can set for a price and the Floor is the lowest. values of the Product must be less than or equal to the Ceiling values of the product that it Relates to.
• The Ceiling values of the Product must be greater than or equal to the Floor values of the product that it Relates to. In other words, they must have an overlap. In the below example, Advance Purchase (the Product) has an adjustment range of 12 to 20 percent off the primary priced product and Semi-Flexible (the Relates to product) a range of 0 to 10 off. That means there is no overlap between them. If you change the ranges to 0 to 15 and 10 to 25, then there is an overlap between 10 and 15.

  

• If used, the Minimum Difference can't be more than the difference between the Floor of the Product and the Ceiling of the product that it Relates to. In our example, if Advance Purchase has a Floor of 30 off the primary priced product and Semi-Flexible a Ceiling of 0, then the maximum value of the Minimum Difference is 30.

Note: When you change the pricing setup of a product, G3 RMS checks if that creates a conflict in a hierarchy. If a conflict exists, the system deletes the hierarchy. Review, and if needed, create a new hierarchy.