Article Summary
KIP Service pricing in PREO has been updated to standardize configurations across all regions. Mono devices now default to service pricing with supplies included, while color devices default to service-only pricing. This change simplifies quoting, reduces risk, and aligns with standard sales practices.
Effective Date
Effective immediately – updated configurations are live in PREO.
What Changed
Mono KIP Devices
Default configuration: Service + Supplies (toner-inclusive)
Applies to all mono KIP offerings across regions.
✅ Sales Impact
Uses a consistent, all-inclusive starting point
Reduces risk of underpricing or misconfiguration
Discounting remains available per standard approval processes
Color KIP Devices
Default configuration: Service Only (no supplies included)
Implemented via a new dedicated service rate group.
✅ Sales Impact
Aligns to typical field behavior where supplies are sold separately
Creates additional revenue opportunity through supply sales
Eliminates prior configuration inconsistencies
Why This Change Was Made
PREO supports only one service rate group per configuration, limiting flexibility and creating risk when mixing pricing models.
Historical inconsistency across regions led to complexity and potential pricing errors.
The new structure:
Simplifies the quoting process
Improves accuracy and consistency
Protects profitability
Exception Handling: Color Devices with Supplies
Although uncommon, customers may request supplies included with color KIP devices.
⚠️ Important
PREO cannot automatically configure service-only and service + supplies together
This requires a manual pricing adjustment
Process: Updating Service Pricing in PREO (Color with Supplies)
Follow these steps when supplies must be included:
Start with Default Configuration
Select the standard service-only rate group
Reference Approved Pricing Guidance
Use provided reference values for service + supplies pricing levels
KIP Mono Offerings –
Service & Supply | PREO Service Group Pricing
| o Mono | o Note |
o Service & Supply | o 0.039 | o PREO Default |
o Service Only | o 0.019 | o Discount w/ SAP Dispute |
o KIP Color Offerings –
Service & Supply | PREO Service Group Pricing
o Per Sq. Ft. | o Mono | o Color | o Note |
o Service Only | o 0.020 | o 0.029 | o PREO Default |
o Service & Supply | o 0.040 | o 0.049 | o Manual Markup must be applied |
Adjust Service Price (Uplift)
Increase the service rate to reflect a combined service + supplies model
Apply Discount (if needed)
Discount to competitive levels following standard approval workflows
Submit for Review (if applicable)
Manual adjustments may require validation for accuracy and profitability
Address Commission Impacts (if applicable)
Reference guidance is available if pricing impacts commission calculations.
Key Takeaways
Mono KIP
Default = Service + Supplies
Designed for consistency and margin protection
Color KIP
Default = Service Only
Supplies sold separately in most scenarios
Exceptions
Color with supplies requires manual service price adjustment
What You Need to Do
Begin using updated configurations immediately
Follow the defined process for any exception scenarios
Watch for additional communications and sales call coverage related to this update
Support
For questions or assistance:
Contact the PREO Champions team
Reach out to your manager or pricing leadership