Net Price

The price presented to the customer after all discounts are applied — the actual revenue per unit. Net price is the output of the price-setting process: start with the list price (Amount), apply the discount waterfall and any incentives, and what remains is net. If the gap between list and net is too large, the list price has become fictional and the incentive structure needs recalibration. "Net price" is ambiguous in practice and must be qualified: the pricing model produces a scheduled net price (the target the pricing surface calls for at a given commitment), while the salesperson lands at a landed net price (the scheduled net price minus any discretionary discounts the rep applied during the deal). When customers say "net price" they almost always mean the landed price (inclusive of discretionary discounts).