Free goods
In Arabic البضاعة المجانية
Free goods are units of stock given to a customer at no charge, usually as a bonus on a purchase, a promotion reward or a sample.
In plain words
Distributors give free goods because they cost less than they look. A free carton costs the seller its purchase price, not its selling price, and the customer’s list price stays untouched. A bonus carton can win more goodwill than a discount of the same value.
Free goods should travel on the invoice as their own line at a zero price, in the unit they were given. Stock then leaves the books with a reason, the cost of the giveaway shows in the margin, and nobody can quietly add an extra carton.
The common mistake is treating free goods as if they cost nothing. Their purchase cost is real, and tax rules for goods given away differ from country to country, so check how yours treat them.
- Cartons sold
- 100
- Price per carton
- SAR 20.00
- Free cartons at SAR 0.00
- 10
- Cost per carton
- SAR 12.00
- Cost of the free goods
- SAR 120.00
In Axon Suite
How Axon Suite handles it
In Axon Suite free goods earned by a buy-and-get-free promotion are added as a zero-price line named after the promotion, in the same unit as the line that earned them, and that line cannot be discounted or given another price.
Feature
Buy-and-get-free promotions
Set a promotion once: buy a quantity of one item and get a quantity of another free. Every qualifying cart gets its free goods as a zero-price line named after the promotion, in the office, the rep app and the customer app, and the free quantity grows with each full multiple.
Open: Buy-and-get-free promotions