Price change in Auto Renewal in Subscription Order management

[anilm1]

Hello Experts,

We have a business scenario to extend the contract(Auto Renewal) with price increments each year.

As per the "Auto Renewal" features for SOM, it doesn't mentioned if it is allowed to increase the price for each renewal.

Please advise if the "Auto Renewal" features supports price increment.

Thanks in advance

Anil

[Vinay_Srinivas]

Hi Anil,

Price increments are supported within the duration of the Subscription Contract.

For example, You have a 3 year contract starting with a price of $100/month.

Price is to increase 10% each year so as to have $110/month in year 2 and $121/month in year 3.

This use case is supported with the Billing Schedule feature (available from release S4HANA 2023 FPS01 onwards).

I see you are talking about such increments during auto-renewal of the Subscription Contract.

You have a 1 year contract with price of $100/month with auto-renewal configured.

When auto-renewal runs at the end of the year and the new item is created the price has to change to $110.

You want to be able to setup this 10% increase on the transaction along with the auto-renewal attributes.

This is not possible currently.

Thanks,
Vinay