Glossary term

Price break

Definition

The specific quantity threshold at which the unit price drops to a lower level. For example, a product may cost less per unit once an order reaches 100 units.

A price break is the specific quantity threshold at which the unit price of a product drops to a lower level. When a buyer’s order reaches that quantity, every unit in the order (or every unit above the threshold, depending on how you set it up) is charged at the reduced rate. A single product often has several price breaks, forming a tiered pricing schedule that rewards larger orders.

How it works

Each price break is defined by a minimum quantity and the unit price that applies once the order hits it. A typical schedule looks like this:

Here, 50 and 100 are the price breaks. There are two common models. In “whole order” pricing, reaching a break reprices the entire quantity. In “marginal” or tiered pricing, only the units past each threshold get the lower rate. Buyers usually assume whole order pricing, so state which model you use on the quote.

Why it matters

Price breaks are how B2B sellers pass on volume economics without hand pricing every deal. They set clear expectations, make larger orders more attractive, and speed up negotiation because the buyer can see exactly what quantity unlocks a better rate. They also protect your margins by tying discounts to volume rather than to who asks hardest.

In Shopify B2B quoting

Shopify’s B2B catalogs support volume pricing on wholesale price lists, but that surfaces on the storefront for logged-in company accounts. In a quoting workflow, price breaks show up inside the quote itself: you list the tiers, the buyer picks a quantity, and the line total reflects the break they qualify for. For related terms, see the B2B quoting glossary, or review plan options on pricing.

Frequently asked

How is a price break different from a discount?

A discount reduces a price for a reason like a promotion or a negotiated deal. A price break is a fixed quantity threshold in a published schedule, so any buyer who orders that quantity gets the lower unit price automatically.

Can one product have more than one price break?

Yes. Most B2B products have several, forming a tiered schedule such as 50, 100, and 500 units, with the unit price stepping down at each level.

Does reaching a price break reprice my whole order?

It depends on the model. Whole order pricing reprices every unit at the new rate, while marginal pricing only applies the lower rate to units above the threshold. Always confirm which one a quote uses.

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