Staff
Also called: quantity discount or volume discount
A graduated scale is a method of pricing where the price to be determined per item depends on the quantity of purchase. The more a customer purchases, the lower the price and thus the higher the quantity discount one receives. In practice, the term is used both for the entire pricing table and for an individual step within it.
Just as companies are free to set prices, there is also much variation in how tiers work. When determining the tier, both the number of items within a single purchase or order, or a customer's entire purchase history can be considered.
If tiers are used within a single purchase, then this is also known as quantity discounting. If customers are tiered based on their total purchases over a longer period of time, this is a form of loyalty discount.
