Odoo Sales: How to Effectively Manage Sales Margin in Odoo
Empower Sales Managers with Real-Time Margin Calculation in Odoo

Optimise Your Pricing Using Odoo Sales

  by Khurram Iftikhar

Certain businesses require the real-time calculation of profit margins to enable sales managers to suggest the most suitable price to customers. In this scenario, the sales manager examines the margin on the order to determine whether an extra discount can be given to the customer or not.

Steps to Enable Margins Functionality in Odoo Sales App

To enable this feature in Odoo, Install the Sales app and activate the ‘Margins’ functionality.

Step 01: Install the Sales Management application.

Odoo Sales app icon

Step 02: Go to Sales > Configuration > Settings, select Margins, and apply the setting. This will show margins on orders.

Screenshot of enabling margins from configuration

Step 03: Now, create a new product and set the Sales Price and Cost of it. I have entered the $850 sales price and $600 as the cost price.

Product screenshot from Odoo Sales

Step 04: Let’s create a quotation, select the customer on the quotation, and the product on the order line. The margin will be computed as soon as you select the product, the difference between Unit Price and Cost is the margin. The Margin is computed based on the difference for each line on the sale order.

In this example, the unit price is 850 and the cost is 600 (850 - 600 = 250 Margin). Now, it will be easy for the sales manager to check what the margin on the quotation is.

A screenshot showing sales margin

 Tip: Taking a broader perspective, a sales analysis report can provide insights into the overall sales margin of different sales teams within a company, as well as allow for monitoring of margins against individual sales.

A screenshot of sales analysis from Odoo Sales
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