Franchise & Distributor Brand
Territory Pricing on Shopify: Honour Distributor Agreements Without Multiple Stores
Brands with distributor or franchise territory agreements need different prices per state - but managing N Shopify stores for N territories creates enormous operational overhead. Lokally enforces territory pricing from one store.
The problem
Distributor agreements require different prices per state, but Shopify has one price
Distributor agreements typically specify different prices per territory to account for distributor margins, logistics costs, and local competitive positioning. Shopify's native pricing applies one price to all shoppers. Brands either violate distributor agreements or build expensive multi-store setups.
Multiple stores multiply operational overhead
Each territory store requires its own product catalog management, inventory, order processing, and app configuration. Updating a product across 8 territory stores takes 8× the effort. A single pricing error affects one territory; a catalog mistake requires correction in all stores.
Cross-territory orders create distributor conflict
When one territory's pricing leaks to another territory's shoppers (via shared links, comparison shopping), distributors complain about price erosion in their region. Without pincode-level enforcement, brands cannot guarantee territory pricing integrity.
How Lokally helps
| Your challenge | Lokally feature |
|---|---|
| Different prices required per territory/state | State-level pricing rules - one rule per territory, enforced at checkout |
| Multiple stores for multiple territories | All territories served from one Shopify store with Lokally state rules |
| Cross-territory price leakage | Pincode-resolved state assignment ensures each shopper gets the correct territory price |
| Different product availability per territory | Collection rules hide territory-only collections in other regions |
| Catalog management across territories | One product catalog in one Shopify admin - rules handle territory differentiation |
What to configure in Lokally
- Step 1
Map territories to pincodes
List each distributor's territory and agreed price. Territories are usually states or groups of states, which you can cover with pincode prefixes.
- Step 2
Create one region per territory
In Lokally, go to Regions and create a region for each territory using its pincode prefixes, for example 40* to 44* for Maharashtra.
- Step 3
Add one pricing rule per territory
In Pricing rules, choose the territory's region and set a fixed regional price. It must be below your normal Shopify price, because Lokally can only lower prices.
- Step 4
Hide territory-only collections
If some collections are sold only in certain territories, hide them in other regions with Collection rules in Storefront content.
- Step 5
Check with test orders
Test with delivery pincodes from each territory and compare the checkout price with each agreement.
Questions brands ask
Can I set a unique price per state for all 28 Indian states?
Yes. Lokally lets you create individual state-level pricing rules for any or all Indian states. In practice, most brands group states into 3–6 price tiers rather than setting a unique price per state - but both approaches are supported.
Will Shopify orders reflect the territory-specific price for distributor reconciliation?
Yes. Orders in Shopify are recorded at the actual checkout price (the Lokally-adjusted price). You can export orders and filter by customer state to see all orders placed in each territory at the correct price.
What happens if a shopper from Distributor A's territory orders a product meant for Distributor B's territory?
The shopper's delivery pincode determines which state rule applies. If they enter a pincode in Distributor A's state, Distributor A's pricing applies. If they enter a pincode in Distributor B's state, Distributor B's pricing applies - regardless of where the shopper is physically located.
Can I show different product availability per territory?
Yes, by collection. Put territory-only products in a collection and hide that collection in other regions with Collection rules in Storefront content.
Can franchise owners see orders only from their territory?
Lokally does not provide franchise-level Shopify admin access - that is a Shopify feature (staff accounts with order filters). Lokally handles the pricing layer; Shopify's own staff account and reporting system handles access control.
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