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Understanding Gross to Net Discount

The Gross to Net Discount reflects the percentage used to calculate the net cost of a placement.  A detailed explanation can be found here.  Traditional media is often priced in gross, and historically in the US, has assumed a standard 15% commission to calculate the net.  However, 15% is not always the appropriate discount to use.  The standard % varies country to country, and for every standard there are always exceptions.

How it works

Your Organization

By default, the Gross to Net Discount for your organization will be set to 15%.  You can change this default in your Organizational Settings.

Advertisers

When you create new Advertisers, the default Gross to Net Discount will use the default set for your Organization.  You can change the default for each Advertiser in their respective Settings.

Existing Advertisers will retain the 15% originally set.  Again, you can change this in the respective Settings for each Advertiser.

Campaigns

When you create new Campaigns, the default Gross to Net Discount will use the default set for that Advertiser.  You can change the Gross to Net Discount for each campaign in their respective Settings.

Existing Campaigns will retain the 15% originally set.  Again, you can change this in the respective Settings for each Campaign.

NOTE: Editing the Gross to Net Discount in the campaign will automatically update placements in the media that use the campaign default %.

Line Items

Each line item in the media plan will automatically use the Gross to Net Discount set for the campaign.  The media plan will display the Gross, Discount, Savings, and Net.  You can override the Discount or Savings directly within the media plan or in the line item cost page.

 

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