Discount Approval Matrix & Escalation Path
CONFIDENTIAL - SALES OPERATIONS USE ONLY
This document outlines the discount approval authority levels and escalation procedures for all CXone deals. All discounts must be approved through the appropriate channels before presenting to customers.
Standard Discount Authority Levels
Software & Subscription Products
| Discount Level | Approval Authority | Requirements |
|---|---|---|
| 0% - 10% | Account Executive | Standard deal; document competitive justification in SFDC |
| 11% - 20% | Sales Manager | Manager approval in SFDC; competitive documentation required |
| 21% - 30% | Regional Director | Deal Desk review; business case required |
| 31% - 40% | VP Sales | Deal Desk approval; executive business case; margin analysis |
| 41% - 50% | CRO | Full deal review; strategic justification; CFO awareness |
| >50% | CEO + CFO | Exceptional circumstances only; board awareness may be required |
Professional Services
| Discount Level | Approval Authority | Requirements |
|---|---|---|
| 0% - 10% | Account Executive + PS Manager | Joint approval; scope must remain unchanged |
| 11% - 20% | Sales Manager + PS Director | Scope review required; resource availability confirmed |
| 21% - 30% | Regional Director + VP PS | Strategic deal justification; margin impact analysis |
| >30% | VP Sales + VP PS | Exceptional only; typically tied to large software commitment |
Voice/Telecom Services
| Discount Level | Approval Authority | Requirements |
|---|---|---|
| 0% - 5% | Account Executive | Volume commitment required |
| 6% - 15% | Sales Manager + Carrier Team | Volume analysis; carrier cost validation |
| 16% - 25% | Regional Director + Carrier Director | Custom rate card; minimum commitment required |
| >25% | VP Sales + VP Carrier Relations | Strategic carrier negotiation; long-term commitment |
Multi-Year Discount Guidelines
Standard Multi-Year Incentives
| Contract Term | Standard Additional Discount | Maximum with Approvals |
|---|---|---|
| 12 months | Base pricing (0%) | Per matrix above |
| 24 months | 5% additional | +10% with Director approval |
| 36 months | 10% additional | +15% with VP approval |
| 48+ months | Case-by-case | CRO approval required |
Note: Multi-year discounts are additive to standard discounts but total discount still requires appropriate approval level.
Prepayment Discounts
| Payment Terms | Additional Discount | Approval |
|---|---|---|
| Annual Prepay (vs. Monthly) | 3% | Automatic |
| Full Term Prepay (24mo) | 5% | Finance approval |
| Full Term Prepay (36mo) | 7% | Finance + VP approval |
Deal Desk Escalation Process
Step 1: Prepare Deal Desk Request
Before submitting to Deal Desk, ensure you have:
- Complete opportunity in Salesforce with all required fields
- Products added with quantities and requested pricing
- Competitive analysis documented
- Customer's budget and timeline confirmed
- Business case for discount (use template below)
Step 2: Submit Request
Submit Deal Desk requests through Salesforce:
- Navigate to the Opportunity
- Click "Request Approval" button
- Select "Deal Desk Review"
- Complete the Deal Desk Request form
- Attach business case document
- Submit for routing
Step 3: Deal Desk Review
Deal Desk will review within the following SLAs:
| Deal Size | Review SLA | Expedite Option |
|---|---|---|
| <$100K ARR | 4 business hours | 2 hours with manager request |
| $100K - $500K ARR | 8 business hours | 4 hours with director request |
| $500K - $1M ARR | 24 business hours | 8 hours with VP request |
| >$1M ARR | 48 business hours | 24 hours with CRO request |
Step 4: Approval Routing
Deal Desk will route to appropriate approvers based on discount level. You will receive email notifications at each approval stage. Track status in the Approval History section of the Opportunity.
Escalation Contacts
| Role | Contact | When to Escalate |
|---|---|---|
| Deal Desk Manager | dealdesk@nice.com | SLA missed, process questions |
| Deal Desk Director | dealdesk-escalation@nice.com | Urgent strategic deals, approval delays |
| Sales Operations VP | salesops-exec@nice.com | Executive escalation, policy exceptions |
| After Hours | dealdesk-urgent@nice.com | Weekend/holiday critical approvals |
Business Case Template
All discount requests above 20% require a business case. Include the following:
1. Deal Overview
- Customer name and industry
- Deal size (ARR) and products
- Contract term
- Requested discount percentage and dollar impact
2. Strategic Value
- Why is this customer strategically important?
- Reference potential / logo value
- Expansion potential (land and expand)
- Competitive displacement value
3. Competitive Situation
- Who are we competing against?
- What is their proposed pricing (if known)?
- Why do we need this discount to win?
4. Risk of Not Approving
- Likelihood of losing the deal
- Customer's alternatives
- Impact on relationship/future business
5. Margin Analysis
- Gross margin at requested price
- Comparison to standard margin
- Lifetime value considerations
Special Pricing Programmes
Competitive Displacement Programme
Additional 10% discount available for displacing specific competitors (Genesys, Five9, Avaya). Requires:
- Proof of existing competitor contract
- Minimum 3-year commitment
- Reference agreement
- Regional Director approval
Strategic Account Programme
Custom pricing for designated strategic accounts. Contact Deal Desk for current strategic account list and associated pricing frameworks.
Partner/Reseller Pricing
Partner discounts are separate from end-customer discounts. See Partner Programme documentation for partner margin structure. Do not combine end-customer discounts with partner margins without Deal Desk approval.
Resources
- Business Case Template (Word)
- Discount & Margin Calculator (Excel)
- Approval Matrix Quick Reference (PDF)
- Competitive Displacement Application (Word)
Last updated: January 2025. Discount policies are reviewed quarterly. For questions, contact Deal Desk.