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# How Does Pricing Work?

## Overview

Pricing is one of the important facilities in Onro Software. It's a bit complex to set up but we will try to make it easy like a piece of cake
😋
. The Pricing settings determine the price of orders. This section is available in the Admin Dashboard and is called Pricing. In general, three parts affect the order price. All three parts are embedded in the pricing section, and by completing the settings in this section, the entire pricing can be configured. In the following, we will examine the different parts of Pricing
👇
.

## What are the different parts of pricing?

There are three parts in the software that affect the order price.
1. 1.
2. 2.
Service
Each of these three sections plays its role in the order price calculation formula. These three sections are available through the Admin Dashboard > Pricing

## 1. Pricing of Vehicle Types 🚚

The order price can vary depending on the vehicle that does it. For example, the price of an order that is done by a motorcycle usually differs from the price of an order done by a truck. Due to the possibility of defining different vehicles in the software, the possibility of different pricing for these vehicles is also provided. Before you start pricing vehicles, you must first define the vehicles according to the needs of your business. If you have not already done so, you can read the vehicle tutorial by referring to the following link:
If you have created your vehicles, you can act out for setting up the pricing of these vehicles. As the first step, navigate to the
Admin Dashboard > Pricing > Vehicle Type. On the page that opens, you will see a list of vehicles like the following image:
On this page, you can search (1) vehicles based on all fields that have been shown in the table and sort (2) them by clicking on the title of columns. To configure the pricing of each vehicle, click the Action button (3) on the row for that vehicle. This button opens the Vehicle Pricing' page which has four tabs:
1. 3.
Options
2. 4.

### 1. Configuration

In this section, the three primary parameters affecting the price of an order are determined.
To configure these parameters:

#### 1. Minimum Base Fare

The Minimum Base Fare is the minimum price of the order. The order can not has a price lower than the value of this field. If after calculating the Base Fare, it is lower than the value of the Minimum Base Fare, it will be replaced with this value.

#### 2. Time Periods Fare

One of the parameters involved in the order price is the amount of time spent traveling the distance from Pickup to Dropoff. This Distance Time is received from the map platform. A fee can be considered for this time and this fee is applied to the order price. You can consider different fees for different time periods. For example, specify $0.3 for the first 10 minutes and$ 0.2 for the 10 to 120 minutes. In this case, if the estimated time to reach the destination is 60 minutes, the cost of this section is calculated based on the specified intervals as follows:

#### 3. Distances Fare

Another parameter involved in the price of orders is the distance traveled from Pickup to Dropoff. This distance is received from the map platform. You can consider a fee for this distance. To do this, you need to specify the fee of different distances based on kilometers. For example, if you have considered the fee for a distance of 0 to 5 km as $0.2 and for a range of 5 to 20 as$ 0.1, the final fee for the Distances Fare with the distance of 16 km is calculated as follows:

### 2. Constant Costs

In this section, you can enter the Constant Costs of an order:
To specify the Constant Costs:
1. 1.
Click on the
button.
2. 2.
Select the Type of cost.
3. 3.
Enter the Price.
4. 4.
Click on the
button to save it.
To delete a constant cost, click on the
button.

#### Type of the constant costs

Two types of fixed costs can be defined:

#### 1. Base Fare

Base Fare is used for fixed costs such as the cost of getting the vehicle to the Pickup or the booking cost.

#### 2. Surcharges

Surcharges are used for fixed costs such as taxes.

#### Price of the constant cost

It is the amount of the constant cost is to be added to the price of the order.

### 3. Options

In this section, you can enter the costs of options that you have defined for your vehicle. Vehicle options can be defined in the Vehicle Types section in the Admin Dashboard.
1. 1.
All options of the vehicle will be shown as a list. And you can enter the desired price for them.
2. 2.
After entering the prices, click on the
button to save changes.

### 4. Coefficient

There are some features in the software that are related to the vehicles and affected the price. These features typically can not have a constant value and it's better to define a coefficient for them:
To specify Coefficient values for the vehicle:
1. 1.
Enter a numeric value for the Multi Dropoff Coefficient field.
2. 2.
Enter a numeric value for the Schedule Coefficient field.
3. 3.
Click on the
button to save the changes.

#### Multi Dropoff Coefficient

Since orders can have more than one Dropoff, the price can be varied depending on Dropoffs. If an order has more than one Dropoff, The value of this field effect the price. The effect of this value is applied using a coefficient on the price.

#### Schedule Coefficient

When the order is scheduled, the value of this field is multiplied by a part of the order price. In fact, the value of this field is a factor that affects the price and can be used to increase the price of orders that are scheduled.

## 2. Pricing of Services🍕

The price of an order can vary based on the service. For example, the delivery cost of an important document may differ from the delivery cost of a pizza. Or, for example, the delivery of large boxes with the delivery of cannabis has a different price. In pricing, a separate price can be attributed to their services and options. This price affects the final pricing formula calculated for an order. Before you start pricing services, you must first define the services according to the needs of your business. If you have not already done so, you can read the services tutorial by referring to the following link:
If you have created your services, you can act out for setting up the pricing of these services. As the first step, navigate to the
Admin Dashboard > Pricing > Service. On the page that opens, you will see a list of services like the following image:
1. 1.
Search services based on all fields that have been shown in the table.
2. 2.
Sort them by clicking on the title of columns.
3. 3.
Configure the pricing of each service by clicking the Action button.
Clicking the
Action button for each service opens the Service Pricing' page which has two tabs:
1. 1.
Configuration
2. 2.
Service Option

### 1. Configuration

Each service can have a price that is different from other services. This price is considered in the pricing formula as a Constant Cost.

#### Service Constant Cost

To Set this price, enter the value in the field Price and click Submit button.

### 2. Service Option

Since each service can have its own options, in this section you can enter the price of the options defined for each service.
There are two types for calculating the price of service options:

#### 1. Constant

In this type, a constant fee is specified for the option and this fee will be added to the order price.

#### 2. Coefficient

In this type, a coefficient will be specified for the option and it will be multiplied into the order price.
To price the options, enter the values according to the calculating types of the options and then click Submit button.

## 3. Distance Coefficients✳

After the appropriate quantities have been determined for the various parts involved in pricing, the price of the orders will be determined based on the pricing formula. However, there are situations in which the price of orders may need to increase or decrease. For example, during peak hours you may want prices to rise. Or, on holidays, you want to reduce the price of orders. To cover this pricing model, a feature called distance coefficients is used. These coefficients are multiplied by the price of the orders, thus making the price calculation more flexible.
To create, edit or delete a Distance Coefficient navigate to the
Admin Dashboard > Pricing > Distance Coefficients.

### 1. Create a Distance Coefficient

To create a new Distance Coefficient click the button
. It opens the page below:

#### 1. Name

Is a custom name that you can assign to a distance coefficient. This name helps to identify coefficients more easily later. For example, if this coefficient is going to increase the price of orders on Sundays, you can set its name to Sunday.

#### 2. Date Range

This field specifies the time interval (days) at which the defined interval coefficient is valid and working.

#### 3. Time Range

Hours of the day in which the defined coefficient is active. For example, if this interval is defined from 3 pm to 10 pm, during this interval the defined coefficient will affect the price.

#### 4. Week Day

Days of the week when the desired coefficient is active and affects the price. For example, you can select values so that the coefficient is active on Saturdays to Mondays.

#### 5. Distance - Km

Using this field, it can be specified that the defined distance coefficient affects the price of orders with a certain distance. For example, if this distance is from 0 to 10 km, the coefficient will only affect the price of orders which their distance from Pickup to Dropoff is defined in the determined distance interval.

#### 6. Vehicle Types

Using this field, you can specify which vehicles apply the defined coefficient to the order price. All defined vehicles can be selected.

#### 7. Coefficient

This field specifies the value of the coefficient and its value can be in the range of integers. For example, if the number 2 is set, the order price will double.
After filling these fields, click Submit button to save the Distance Coefficient. If you want to cancel it, you can click the Dismiss button.

### 2. Edit a Distance Coefficient

To edit a distance coefficient, click on the
button for the desired coefficient in the list of distance coefficients. It opens the Edit Page for the clicked distance coefficient and you can edit each field you want to.

### 3. Delete a Distance Coefficient

To delete a distance coefficient:
1. 1.
Click the
button for the desired coefficient in the list of distance coefficients.
2. 2.
Click OK in the message that will be shown:

## Pricing Formula 🗝

All the different pricing sections and fields that are quantified are finally included in the pricing formula and the order price is determined by this formula. The pricing formula is as follows:
Base = Distances Fare + Time Periods Fare + Base Fare
Note: If the Base is smaller than the Minimum Base Fare, then:
Base = Minimum Base Fare
Service Price = Service Constant Cost + Service Constant Options + ( Service Coefficient Options * Base)
Vehicle Type Options Price = Vehicle Constant Options + ( Vehicle Coefficient Options * Base)
Fare = ( Base + Service Price + Vehicle Type Options Price ) * Multi dropoff Coefficient * Distance Coefficient * Schedule Coefficient
Surcharges = Constant Surcharges + Surcharges
Promotion = Promotion Percentage * Fare
And finally:
Price =Fare + Surcharges - Promotion