---
sourceDocument: Australia Sales Customer Relationship Management
sourceDocumentLink: https://www.servicenow.com/docs/r/australia/order-management

 Release :

    - australia

ft:locale :

    - en-US

ft:publication_title :

    - Australia Sales Customer Relationship Management

ft:clusterId :

    - omgmt

bundleId :

    - omgmt

workflow :

    - Customer and Industry


---

# Renewal pricing for products with price and quantity ramps

# Renewal pricing for products with price and quantity ramps {#ariaid-title1}

Release version: Australia  
Updated April 7, 2026  
![](https://www.servicenow.com/docs/portal-asset/ico-clock) 4 minutes to read
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## Summary of Renewal pricing for products with price and quantity ramps

This feature enables ServiceNow customers to manage renewal uplift pricing for product offerings that include price and quantity ramps.
Renewal uplift refers to the price increase applied when renewing contracts.
Because ramped products can have multiple segments with varying prices, quantities, and durations, calculating the renewal unit price requires flexible methods to accurately reflect pricing changes over time.
Show full answer Show less  

## Key Features

* **Price basis options for renewal unit price:** Customers can configure the pricing engine to use either the last ramp segment or the first ramp segment as the price basis for renewal calculations.
* **Term basis options:** The term used for uplift calculation can be the duration of the last segment or the total ramp duration (all segments combined).
* **Customization properties:** Two system properties, `sncsmpricing.ramprenewalpricesegment` and `sncsmpricing.ramprenewaltermbasis`, allow configuration of price and term basis through the Customization Properties for Pricing form.
* **Quantity sourcing:** Quantity is always sourced from the last segment, regardless of price basis selection.
* **Handling non-standard segment durations:** The pricing engine rounds up non-standard segment lengths (e.g., 18 months) to the nearest full year to maintain consistent uplift behavior.
* **Extension point for custom uplift logic:** Customers can override default renewal uplift calculations by using the `sncsmpricing.RampRenewalUpliftCalculationExtensionPoint`. This allows custom logic such as comparing uplift amounts from different segments and selecting the maximum uplift price.
* **Uplift multiplier control:** The overall uplift multiplier is set via the `renewalupliftterm` system property.

## Practical Application

When renewing ramped products, customers can choose how the pricing engine calculates the uplift to best match their business model. For example, selecting the first segment price and applying the uplift over the full ramp term results in a higher renewal price compared to using only the last segment price and term. Using the extension point, customers can implement custom logic to choose the highest renewal price from multiple calculation methods.

This flexibility ensures that renewal pricing accurately reflects contract terms and ramp structures, supporting consistent and predictable revenue growth through contract renewals.

## How to Configure

* Set the price and term basis through the properties `sncsmpricing.ramprenewalpricesegment` and `sncsmpricing.ramprenewaltermbasis` in the Customization Properties for Pricing.
* Adjust the overall uplift multiplier using the `renewalupliftterm` system property.
* Use the `sncsmpricing.RampRenewalUpliftCalculationExtensionPoint` for custom renewal uplift logic by navigating to All \> Pricing \> Administration \> Scripted Extension Points and selecting this extension point.  
You can control how renewal uplift pricing for product offerings with price and quantity ramps is calculated by the pricing engine. A renewal uplift is a price increase applied to a product when a contract is
renewed.

## Overview of renewal pricing for products with ramps {#renewal-pricing-ramped-products__section_o4g_dzl_53c}

When a product offering with ramps is up for renewal, determining the renewal unit price for the offering can be complex because a ramp may have multiple segments with different prices and quantities.

Ramp deals may also have standard (yearly or quarterly) and custom segment durations, making it difficult to choose which segment price to use as the price basis and the term for determining the renewal unit price used in uplift
calculations. For non-ramped products, the uplift is calculated by taking the unit price and applying the uplift percentage over the renewal term.

Price basis for calculating renewal unit prices

:   The renewal unit price is the starting price for a contract renewal line. The pricing engine supports two ways to calculate the renewal unit price using the segment and term. By default, the pricing engine uses the unit price basis from the last segment and the duration of the last segment for the term.However, the pricing engine can use the first segment as the price basis and apply the uplift across the entire ramp term (total ramp duration). You can set
    the first segment as the price basis and entire ramp term by using the pricing system properties sn_csm_pricing.ramp_renewal_price_segment and sn_csm_pricing.ramp_renewal_term_basis. You set
    these properties by using the Customization Properties for Pricing form (navigate to AllPricingAdministrationProperties).

    Figure 1. Customization Properties for pricing
:
    The following table shows the price basis and terms that you can control.{#renewal-pricing-ramped-products__table_jdl_vwt_v3c__entry__3}

    | Basis option | Price | Term |
    |-|-|-|
    | Last segment (Default used by pricing engine) | Unit price from the last ramp segment | Duration of the last segment only. |
    | First segment | Unit price from the first ramp segment | Total ramp duration (all segments combined; apply the uplift across the entire ramp term) |
    [Table 1. Price basis for renewal unit pricing of ramped product offerings]

    {#renewal-pricing-ramped-products__table_jdl_vwt_v3c}

Example of uplift calculations
:   The following example shows how the pricing engine uses the different price basis and term values to calculate the unit price:  
    {#renewal-pricing-ramped-products__section_o4g_dzl_53c__entry__11}

    | Price basis and term | Calculation |
    |-|-|
    | Last segment + Segment term | Last segment price: $220. Last segment = 1 year. Effective uplift = 10%. Renewal price = $220 + $22 = $242 |
    | First segment + Full term | First segment price: $240. Full ramp = 3 years. Effective uplift = 10% x 3 = 30%. Renewal price = $240 + $72 = $312 |
    [Table 2. Uplift calculation example]

    Note:  
    Quantity is always sourced from the last segment regardless of which price basis method is selected. The price basis configuration affects only the unit price and term for the uplift calculation.

Non-standard segment durations

:   When a ramp has non-standard segment lengths (for example, a segment that spans 18 months rather than 12), the pricing engine rounds up the segment duration to the nearest full year before computing the renewal price. This provides
    consistent year-over-year uplift behavior even when segment lengths do not align with calendar years.

## Overriding default renewal uplift calculations {#renewal-pricing-ramped-products__section_slg_5j5_v3c}

You can override the default renewal uplift calculations for ramped products made by the pricing engine by using the `sn_csm_pricing.RampRenewalUpliftCalculationExtensionPoint`. You can use this extension point to
customize the logic for calculating renewal uplift pricing. Your inputs can include segment data, unit price, and term for each ramp segment.

For example, you might want the pricing engine to calculater the price basis and term for both the last and first segments to determine which price basis provides the maximum uplift amount. You could have the pricing engine choose the
higher value of the two calculated renewal prices to use as the renewal price.  
Using the uplift calculation example from the previous section, the pricing engine determines that the first segment price and full ramp term amount ($312) is higher than the last segment and segment term price ($242).{#renewal-pricing-ramped-products__table_ycv_dl5_v3c__entry__2}

| Price basis and term | Calculation |
|-|-|
| Last segment + Segment term | Last segment price: $220. Last segment = 1 year. Effective uplift = 10%. Renewal price = $220 + $22 = $242 |
| First segment + Full term | First segment price: $240. Full ramp = 3 years. Effective uplift = 10% x 3 = 30%. Renewal price = $240 + $72 = $312 |
| Value selected by pricing engine | Max ($312, $242) = $312. The pricing engine uses the First segment price basis and Segment term to calculate the renewal price. |
[Table 3. Maximum uplift calculation example]

{#renewal-pricing-ramped-products__table_ycv_dl5_v3c}

## Controlling renewal uplift pricing for ramped products {#renewal-pricing-ramped-products__slg_4j6_v3c}

Manage how the pricing engine calculates renewal uplift pricing for ramped products by using the following properties and extension point:

* Uplift renewal multiplier: To set the uplift renewal multiplier, use the `renewal_uplift_term` system property. For more information, see [Set properties to control pricing processing](https://www.servicenow.com/docs/ah2pu87tR8yqb0~4jT_72Q "Activate or deactivate system properties that control how pricing features are processed in Sales Customer Relationship Management applications.").
* Segment basis and term used by the pricing engine: Use the system properties `sn_csm_pricing.ramp_renewal_price_segment` and `sn_csm_pricing.ramp_renewal_term_basis`. To learn more, see [Set properties to control pricing processing](https://www.servicenow.com/docs/ah2pu87tR8yqb0~4jT_72Q "Activate or deactivate system properties that control how pricing features are processed in Sales Customer Relationship Management applications.").
* Override the default renewal uplift calculations for ramped products: Use the `RampRenewalUpliftCalculationExtensionPoint` to customize the uplift calculation logic. Access the extension point by navigating to AllPricingAdministrationScripted Extension Points and in the Extension Points list, select `sn_csm_pricing.RampRenewalUpliftCalculationExtensionPoint`. Your inputs can include data such as the unit price and term for each ramp segment.

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