2 Tier Pricing vs Default Commission - What Is the Difference?

Nayax Core uses the word "commission" in two different places that do completely different things. This guide explains the difference so you configure the right one and avoid charging customers incorrectly or paying out the wrong amount to your site.

General

Concept Guide

2 Tier Pricing vs Default Commission - What Is the Difference?

Nayax Core uses the word "commission" in two completely different places. Configuring the wrong one is one of the most common operator mistakes - this article explains exactly which is which.

Audience: Operator / DistributorReading time:~4 minType: Concept overview

You have just agreed a new site deal. The venue owner wants 10% of every sale. You also want card customers to pay a little more than cash customers to cover your processing fees. Both of these are valid requirements - but they live in completely different parts of Nayax Core and do completely different things.

Why this matters
The Commission Rate checkbox in the Payment tab and the Commission column in the Products Map both use the word commission, but one affects what your customer pays at the machine, and the other affects what you report and pay out to your site owner. Mixing them up means either your customers get charged incorrectly, or your site owner gets the wrong payout.
1

The two features at a glance

2 Tier Pricing

Charges the customer more for paying by card

A surcharge added to the transaction at the point of sale. The customer sees or pays a higher price when using a credit card than when using cash. The extra amount recovers your payment processing fee.

Payment tab > Commission Rate or Extra Charge
Default Commission

Pays the site owner a share of each sale

A back-office value defined on the product map. It does not affect what the customer pays - it calculates what portion of sales revenue is owed to the location where your machine sits.

Products Map > Commission column or Misc Options
2

Side-by-side comparison

  2 Tier Pricing Default Commission
Who it affects The customer at the machine The site owner receiving a payout
What it does Adds a surcharge to card transactions at point of sale Calculates a share of sales revenue for reporting and payout
Where to configure Administration > Operator > Payment tab > Payment Methods Operations > Machines > Products Map > Commission column or Misc Options
Where it shows up On the customer's transaction (extra_charge field in DTM) In the Commissions Report under Reports > Financial
Type options Commission Rate (%) or Extra Charge (fixed amount) Amount per vend (flat) or Percentage of sales value
Typical use case Recovering card processing fees from the customer Paying a venue or site owner their agreed revenue share
3

Real operator scenarios

Here is how a typical operator would use each feature - and why they might need both at the same time.

Scenario A - 2 Tier Pricing

Sports centre - card surcharge

Your acquirer charges 1.8% per card transaction. You add a 2% Commission Rate to your Credit Card payment method so card customers cover the fee. Cash customers still pay the machine price.

Result: card customers pay 2% more. Your net revenue per vend is protected.
Scenario B - Default Commission

Sports centre - site owner agreement

The sports centre receives 10% of all vending revenue under your site agreement. You set a 10% commission in the Products Map. This feeds into your monthly Commissions Report for the payout calculation.

Result: the Commissions Report shows exactly what the sports centre is owed each month.
Both at once
These two features are independent and can run simultaneously on the same machine. In the sports centre example above, card customers pay a 2% surcharge, and the site owner receives 10% commission on every sale - they do not interact with each other. Configure them separately in their respective locations.
 
4

Which one do you need?

Answer these two questions and you will know exactly where to go:

Do you want to charge card customers more than cash customers?
Yes - go to Administration > Operator > Payment tab and configure 2 Tier Pricing. See the full guide: What Is 2 Tier Pricing and How to Configure It in Nayax Core.
Do you need to report and pay a commission to a site owner?
Yes - go to Operations > Machines > Products Map and set the commission value per product or for the entire map. See the full guide: How to Configure Default Commissions | Machine Level to Product Map.

 

 

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