CPQ Quote evaluation of Start Date, End Date, and Subscription Term

When working with subscription-priced products, there is a hierarchical order for Start Date and whether End Date or Subscription Term are used to calculate Prorate Multiplier. The Prorate Multiplier is a number field on the Quote Line object used in evaluating Prorated and Total fields.  

(List/Regular/Customer/Partner/Net Unit Price) * Quantity * Prorate Multiplier = Total

The Quote Line Prorate Multiplier is calculated via a hierarchy for evaluating the Start Date and End Date for subscription-priced products. This chart illustrates the hierarchy in which values are calculated - lower values indicate higher priority. 

As demonstrated by the chart, Quote Line Start Date and End Date have the highest priority for evaluations while the Quote Subscription Term has the lowest priority for evaluations. One advantage for using Start Date and End Date field values is that the Quote Line Effective Start Date and Effective End Date are non-null values representing the calendar dates for the Quote Line’s term. Subscription Term is not evaluated in the effective date formula fields.

Examples - How Start Date and End Date is calculated with a Monthly + Daily proration, a Proration Unit of Monthly, and a Default Subscription Term of 12 months:

Example 1: What would be the Start Date and End Date of the Subscription generated from this Quote Line?

Answer:

Start Date - 1/1/2027
End Date - 12/31/2027

Explanation: Since there is a Start Date set both on the Quote Line and on the Quote, the Quote Line Start Date takes priority over the Quote Start Date. Since there is no End Date set, the Subscription Term of 12 from the Quote is being taken as the term.

 

Example 2: What would be the Start Date and End Date of the Subscription generated from this Quote Line?

Answer:

Start Date - 1/1/2027
End Date - 11/30/2027

Explanation: If there is a Start Date set on every record, the Quote Line Start Date takes priority over the Quote Line Group or Quote. Even though there is a Subscription Term set on the Quote Line and the Quote Line Group, CPQ looks to the Quote End Date first before looking at the Subscription Term for this evaluation.