Calculate Payouts for Year-Over-Year Growth (Example)

This example shows how payouts are calculated for a growth-based rebate type by comparing a member's current period revenue against baseline revenue from the same period in the prior year.

Required Editions

Available in: Enterprise, Unlimited, and Developer Editions that have Rebate and Accrual Management Advanced enabled.

Rebate Program

A company is running a growth incentive program for their industrial supply partners. Industrial Supply Co. is a member enrolled in the program. The finance team wants to evaluate and pay out growth-based incentives annually.

Rebate Type

The program manager creates a growth-based rebate type and specifies these details:

  • Calculation Type: Growth Based
  • Growth Qualifier Dimension: Revenue
  • Growth Measure Dimension: Revenue
  • Growth Frequency: Annual
  • Calculation Method: Retrospective
  • Calculation Basis: Payout

Benefit Tiers

The engine evaluates the growth rate achieved in the current period compared to the baseline period and applies the corresponding tier benefit:

Tier Name Minimum Growth % Maximum Growth % Applied Benefit
Tier 1 10.00% 20.00% 3% of Revenue
Tier 2 20.01% Leave blank 5% of Revenue

Transaction Data

The following revenue totals are ingested into Data Cloud for baseline and current period processing:

Member Baseline Period (April 2025) Revenue Current Period (April 2026) Revenue Calculated Growth Rate
Industrial Supply Co. $100,000 $125,000 25%

Member Payouts

The admin runs the required Data Processing Engine definitions in sequence to calculate payouts.

Member Payout Period Current Revenue Growth Rate Qualified Tier Applied Benefit Rate Payout Amount Payout Sources Created
Industrial Supply Co. April 2026 $125,000 25% Tier 2 5% $6,250 1

Growth Rate = ($125,000 - $100,000) / $100,000 * 100 = 25%

Payout Amount = $125,000 * 5% = $6,250