Volume rebate: A type of deduction billed as a portion of the goods Indigo orders from a vendor. It will be part of the contractual agreement between Indigo and the vendor. Each quarter this rebate is calculated as a percentage of the cost of goods delivered to Indigo.
Returns allowance: A type of deduction billed as a portion of the vendor's goods delivered to customers via dropship. It will be part of the contractual agreement between Indigo and the vendor. Each quarter this is calculated as a percentage of the cost of goods delivered to customers.
Sales support: Also known as "co-op." A type of deduction billed as a portion of the vendor's goods Indigo sells. It will be part of the contractual agreement between Indigo and the vendor. Each month this is calculated as a percentage of the gross sales of goods.
Markdown / Promotional: These deductions are not regular or periodic but will be agreed to on an ad hoc basis for a given promotion or markdown. These are issued as billings after the close of Indigo's fiscal month. They are typically calculated based on a per-unit dollar amount or gross sales of goods but terms will vary.
Short Shipment: These deductions occur based on fulfillment data transmitted from our DC at the time a PO is received. If the quantity received at our DC differs from the quantity ordered (invoiced) then only the units received will be paid for. This deduction is facilitated by the accounts payable department and any inquiries regarding short shipments should be sent to your A/P reconciler.
If further assistance for billing is required, please submit the Vendor Deductions Support form.