# Surcharge capture rate: pricing metric definition, thresholds and response

> Surcharges applied against surcharges due, and the waivers by account and approver.

Source: https://revomo.ai/marketplace/metrics/surcharge-capture/

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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/)
- [Quote & Deal Performance](https://revomo.ai/marketplace/collections/quote-deal-performance/)
- [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)

Search Marketplace

- [Marketplace](https://revomo.ai/marketplace/)
- [Metrics](https://revomo.ai/marketplace/metrics/)
- [Margin Leakage & Cost Recovery](https://revomo.ai/marketplace/metrics/?category=leakage)
- Metric

## Surcharge capture rate

Surcharges applied against surcharges due, and the waivers by account and approver.
[See Surcharge capture rate in Revomo →](https://revomo.ai/contact/?source=marketplace&type=metric&artifact=surcharge-capture&name=Surcharge+capture+rate&collection=margin-leakage)

### Why it matters

A surcharge that is due but waived is margin given back one line at a time. Capture rate and waivers by approver show whether the rule is on the quote or in the rep’s discretion.

### Act when

Under 90%, or waivers rising

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

### What it may signal

Reps waiving under pressure, rules not on the quote.

### What to do

The templates that respond when this metric moves.
- [Surcharge pricing](https://revomo.ai/marketplace/templates/surcharge-pricing/)*template*
- [Surcharge capture and waiver tracking](https://revomo.ai/marketplace/templates/surcharge-capture/)*template*

### How it’s defined

Formula
`sum('Surcharge billed') / sum('Surcharge due')`

Required context
Invoice lines, Surcharge tables, Approval workflow

Dimensions
Account, Rep, Surcharge

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. **After a decision**: measured against what the model said the decision would deliver.

### Relevant industries

[Chemicals & materials](https://revomo.ai/marketplace/metrics/?industry=chemicals)[Industrial distribution](https://revomo.ai/marketplace/metrics/?industry=distribution)[Building products](https://revomo.ai/marketplace/metrics/?industry=building)

Type
Metric

Category
[Margin Leakage & Cost Recovery](https://revomo.ai/marketplace/metrics/?category=leakage)

Use in
Alerts · After a decision

Cadence
Monthly

Industries
Chemicals & materials, Industrial distribution, Building products

Business need
[Margin Leakage](https://revomo.ai/marketplace/collections/margin-leakage/), [Cost Recovery](https://revomo.ai/marketplace/collections/cost-recovery/)

[See this in Revomo →](https://revomo.ai/contact/?source=marketplace&type=metric&artifact=surcharge-capture&name=Surcharge+capture+rate&collection=margin-leakage) Defined, monitored and connected to action, on representative data or your own.

### Related metrics

- Margin Leakage & Cost Recovery #### [Off-invoice leakage](https://revomo.ai/marketplace/metrics/off-invoice-leakage/) Everything that comes off after the invoice, as points of list: rebates, freight, terms and claims, co-op and surcharges where they apply. **Act when**Above the segment baseline, or up a point in a quarter Alerts · Against plan · After a decision
- 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 Surcharge capture rate 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=surcharge-capture&name=Surcharge+capture+rate&collection=margin-leakage)[All metrics](https://revomo.ai/marketplace/metrics/)
