Revenue Tier Rule overview

Routing Logic Directives (RLD) built into EPISHIP control shipments through the rate and label manifest processes of the supply chain.

The purpose of this article is to detail the Revenue Tier Rule, a specific RLD Rule type, that targets the adjustment of shipping rates or available services based on defined revenue or cart value thresholds.

Overview

A rate response request includes a list of all service types across multiple carriers in a distributed network. Sometimes, the standard carrier rates do not align with promotional shipping strategies or customer tier pricing based on order value, according to business rules. This is where the Revenue Tier Rule comes in. The Revenue Tier Rule post-processes the rate response to modify the shipping costs (e.g., applying markups, discounts, or flat rates) based on the revenue tier the order falls into. This allows you to enforce pricing strategies and make better routing decisions in your supply chain. The Revenue Tier Rule is one rule type within an RLD Template.

Revenue Tier Rule Components

Any number of Revenue Tier Rules can be built within an RLD Template to match business objectives. Each Revenue Tier Rule includes the following components.

Match conditions

Match conditions of criteria operators include the following types: All (AND), Any (OR), None (Not).

Match criteria

1. Sender

Sender fields available for match criteria include the follow properties:

  • Sender Name
  • Sender Company
  • Sender Address 1
  • Sender City
  • Sender State
  • Sender Postal Code
  • Sender Country
  • Sender Residential

2. Receiver

Receiver fields available for match criteria include the follow properties:

  • Receiver Name
  • Receiver Company
  • Receiver Address 1
  • Receiver City
  • Receiver State
  • Receiver Postal Code
  • Receiver Country
  • Receiver Residential

3. Package

Package fields available for match criteria include the follow properties:

  • Package Type
  • Package Quantity
  • Declared Value
  • Actual Weight
  • Package Length
  • Package Width
  • Package Height

4. Line Items

Line Items fields available for match criteria include the follow properties:

  • Line Item SKU
  • Line Item HS Code
  • Country of Origin

5. Options

Options fields available for match criteria include the follow properties:

  • Saturday Delivery
  • Cash on Delivery
  • Cash on Delivery Amount
  • Dropoff Type

6. References

References fields available for match criteria include the follow properties:

  • Reference 1
  • Reference 2
  • Reference 3

7. Rate

Rate fields available for match criteria include the follow properties:

  • Carrier
  • Service Name
  • Total Cost
  • Zone
  • Estimated Delivery Days

8. Time

Time fields available for match criteria include the follow properties:

  • Day of Week
  • Time of Day

The match criteria types listed above are used within individual rules or can be combined into a single rule to target specific conditions that include several match criteria.

Transformation

The carrier rate response is modified according to the rules defined within the Revenue Tier Rule matched within the RLD Template. The transformation functionality available to be included within the RLD template is as follows.

Revenue Tier Adjustment

This configuration dictates how the returned rate cost is modified based on the matched revenue tier. Once the match criteria (such as Declared Value or total cart cost) are met, the rate request response is transformed to apply predefined pricing adjustments. This can include applying a percentage discount, a flat rate override, or a specific markup to the returned carrier rates before they are presented for label creation or end-user selection.

Revenue Tier Rule Use Cases

Usual use cases for Revenue Tier Rules within an RLD Template are numerous. Some common use cases include the following:

  • Apply a 100% discount to standard economy services (Free Shipping) when the total order revenue exceeds a specified threshold (e.g., $100).

  • Subsidize the cost of premium expedited services (e.g., 50% off Next Day Air rates) for high-value orders to incentivize larger purchases.

  • Apply a set flat rate shipping cost for all orders falling within a specific lower-tier revenue bracket (e.g., a $5 flat rate for all orders under $50).

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