# Average selling price: pricing metric definition, thresholds and response

> Revenue over units by family and channel, so mix and discount moves show against list.

Source: https://revomo.ai/marketplace/metrics/asp/

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Business need
- [Margin Leakage](https://revomo.ai/marketplace/collections/margin-leakage/)
- [Cost Recovery](https://revomo.ai/marketplace/collections/cost-recovery/)
- [Price Increase](https://revomo.ai/marketplace/collections/annual-price-increase/)
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- [Contract Renewal](https://revomo.ai/marketplace/collections/contract-renewal/)
- [Rebates & Incentives](https://revomo.ai/marketplace/collections/rebates-incentives/)
- [Market Response](https://revomo.ai/marketplace/collections/market-response/)

Industry
- [Industrial distribution](https://revomo.ai/marketplace/templates/?industry=distribution)
- [Machinery & industrial products](https://revomo.ai/marketplace/templates/?industry=machinery)
- [Building products](https://revomo.ai/marketplace/templates/?industry=building)
- [Chemicals & materials](https://revomo.ai/marketplace/templates/?industry=chemicals)

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- [Pricing & Realization](https://revomo.ai/marketplace/metrics/?category=pricing)
- Metric

## Average selling price

Revenue over units by family and channel, so mix and discount moves show against list.
[See Average selling price in Revomo →](https://revomo.ai/contact/?source=marketplace&type=metric&artifact=asp&name=Average+selling+price)

### Why it matters

Average selling price blends mix and discounting, so it moves before margin does. Read against list, it shows whether the channel or the discount is doing the moving.

### Act when

A change over x% month over month

Thresholds are set per business; the ones written as x and y are placeholders your team fills in.

### What it may signal

Channel mix shift, weak discount control.

### What to do

The templates that respond when this metric moves.
- [Discount corridor optimization](https://revomo.ai/marketplace/templates/corridor-optimization/)*template*
- [Mix and volume plan by channel](https://revomo.ai/marketplace/templates/mix-volume-plan/)*template*

### How it’s defined

Formula
`sum('Net revenue') / sum('Units')`

Required context
Invoice lines

Dimensions
Family, Channel, Region

Cadence
Reviewed monthly

Lineage
Every value traces to the invoice line or governing record it was computed from.

Use in
**Alerts**: an agent watches it against a rule and alerts you when it trips. **Against plan**: tracked against the target, with the bridge that says what moved it.

### Relevant industries

All industries

Type
Metric

Category
[Pricing & Realization](https://revomo.ai/marketplace/metrics/?category=pricing)

Use in
Alerts · Against plan

Cadence
Monthly

Industries
All industries

[See this in Revomo →](https://revomo.ai/contact/?source=marketplace&type=metric&artifact=asp&name=Average+selling+price) Defined, monitored and connected to action, on representative data or your own.

### Related metrics

- Pricing & Realization #### [Net price change](https://revomo.ai/marketplace/metrics/net-price-change/) Month-over-month change in net price by family and segment, with list moves separated from discount moves. **Act when**A move over x% in one month, or the same direction for y months Alerts · Against plan
- Pricing & Realization #### [Price realization index](https://revomo.ai/marketplace/metrics/price-realization/) Pocket price as a share of list, by account and segment. **Act when**Below 95 on any national account, or a two-point drop in a quarter Alerts · Against plan · After a decision
- Pricing & Realization #### [Discounts given](https://revomo.ai/marketplace/metrics/discounts-given/) Average discount off list and the share of lines discounted, by segment and rep. **Act when**A jump in the average, or new requests above the corridor Alerts · Against plan

### See Average selling price on your commercial data.

We will show how Revomo defines, monitors and connects this metric to commercial action, using representative data or your own.
[See this on your commercial data →](https://revomo.ai/contact/?source=marketplace&type=metric&artifact=asp&name=Average+selling+price)[All metrics](https://revomo.ai/marketplace/metrics/)