Planet Payment - PRICING METHODOLOGIES

MCP PRICING METHODOLOGIES

MCP Pricing Methodologies

Planet Payment does not actually set prices in foreign currencies – you maintain complete discretion in setting the foreign currency pricing. As part of the MCP service, we supply you with the rate information that you need to determine the appropriate foreign currency price. You will need to reflect on your foreign pricing strategy. Below are the two basic questions, which you will need to consider as you refine your approach to MCP:
	• Is it more important to show your foreign customers a constant price, while you receive a different US Dollar settlement amount based upon daily exchange rate fluctuations? OR • Would you prefer to receive a constant US Dollar settlement amount for a given item and allow the foreign price to vary along with the exchange rate? You have the option of either fixing foreign price that your customers will pay or fixing the US Dollar settlement amount that you will receive. These options are called Static MCP and Variable MCP. They are set-up options that a merchant can select when determining how to price goods on a website.

Static MCP

Variable MCP

o You set your prices in a foreign currency and the US settlement amount that you receive fluctuates with the daily exchange rate

o You have the ability to update prices as needed

o While the settlement amount you receive daily for a product changes, the price of a product does not change daily for the shopper

o You update your price on a daily basis to reflect fluctuations in exchange rates

o Prices are updated daily using Planet Payment’s Daily Rate File, which lists the current exchange rates for the day

o The settlement amount received daily for a product remains constant, but the price of a product changes daily for the shopper

Check out our Collateral Library to learn more about MCP and our other innovative pricing solutions.