Rank: Member
Joined: 1/30/2008(UTC)
Posts: 215
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Is there a way to automatically assign a fee if an order total is below a certain dollar amount?
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Rank: Member
Joined: 3/3/2006(UTC)
Posts: 1,737
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A 'Below Minimum Order" handling charge. Great idea - for BVC6.
I don't think this is ootb for 5 |
Optimists invent airplanes,
Pessimists buy parachutes. |
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Rank: Member
Joined: 12/23/2003(UTC)
Posts: 909
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I think that's a CC Agreement violation if the intended purpose is like the little sign you see at the cash register that says minimum $15 credit card purchases.
I know this has been discussed in this forum before, I'm pretty sure it was way back though. Can't remember the conclusion.
I'm not an authority on the subject, it just sparked a memory. |
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Rank: Member
Joined: 3/3/2006(UTC)
Posts: 1,737
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Matt, I'm pretty sure if the shopper doesn't yet reach the checkout before seeing the 'below order minimum' message, there's no way for the credit card companies to become involved. If they aren't yet the chosen method of payment, they can't have a say about what products or services are sold.
A $2.00 item with a $1.00 handling service chg. (that's waived if 20 units are purchased) hits the checkout page at $3.00 prior to selecting CC, P.O. or check.
(In my feable thinking)...If the handling charge is an additional order processing fee or services rendered, it counts as a part of the purchase, not a credit card penalty or credit card use fee because it applies to all methods of payment. |
Optimists invent airplanes,
Pessimists buy parachutes. |
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Rank: Member
Joined: 8/8/2007(UTC)
Posts: 298
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Along a similar line, is there a way to make the handling charge be a percent of the total rather than a flat amount? |
Dan
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Rank: Member
Joined: 12/23/2003(UTC)
Posts: 909
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hey mitch, i think your logic works based on the criteria, again, I'm not an authority. I might filter through the archives because I could've sworn that this was a 5 or 6 page discussion. Think it got pretty heated and became an entertaining read..LOL.. |
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Rank: Member
Joined: 3/3/2006(UTC)
Posts: 1,737
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I remember it too. I still think as long as you don't base the fee on a minimum cc charge rather than a minimum sale, it'd be OK.
For the time being, you could create a volume discount which drops the fee after 2 or more are purchased. Visa can't say boo to that, right? |
Optimists invent airplanes,
Pessimists buy parachutes. |
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Rank: Member
Joined: 1/30/2008(UTC)
Posts: 215
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I think Matt is right in that context. You cannot say "minimum $50 charge card order" but according to our bank it's perfectly alright to refuse any order below a certain amount. We really have no idea how to implement it. Most of the big boys just seem to refuse orders after placement if they are below X$. The reason being, you can order 12 of item x to get to 240 dollars which would be below their minimum, but can order 12 of x and 20 of y to total $400 and be above their minimum. If you made the cut on the product basis you'd be ticking off a lot of customers.
The old rule I was taught in business school was 80% of your business comes from 20% of your customers. What many are finding is the other 20% of your orders provide 80% of your headaches.
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Rank: Member
Joined: 3/3/2006(UTC)
Posts: 1,737
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I've created a detector that figures out who the problem customers are before they shop, and then dump them into my competitor's store.
Patent Pending |
Optimists invent airplanes,
Pessimists buy parachutes. |
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Rank: Member
Joined: 12/23/2003(UTC)
Posts: 909
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That's pretty funny mitch...
"What many are finding is the other 20% of your orders provide 80% of your headaches."
I'm pretty positive I'm a 20% guy somewhere...LOL |
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Rank: Member
Joined: 3/3/2006(UTC)
Posts: 1,737
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You're not our 20% guy here, Matt. Not that there's anything wrong with that. |
Optimists invent airplanes,
Pessimists buy parachutes. |
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Rank: Member
Joined: 6/6/2005(UTC)
Posts: 483
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The heck with your 20% and 80% guys. I'm trying to get into the top 15% wage earners so I can buy stuff from Mitch's store.
Bob Noble
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Rank: Member
Joined: 1/30/2008(UTC)
Posts: 215
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Same here Bob :)
Matt, I think the best analogy is going to the local landscaper to buy a single 5 gallon bucket of woodchips. Sure they'll sell it to you at $20 but you could go to Lowes and buy the same thing for $3. Meanwhile why the yard help is filling your bucket the client looking to buy 50 yards is driving away.
I think the approach many stores carry of offering free shipping beyond a point works best.
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