Correcting Gift Card Workflow: NetSuite-Shopify

I would like to recommend reviewing the below for a product change related to Gift Cards in the integration with NetSuite and Shopify. The current solution proposed in Celigo does not properly represent the G/L Impact in NetSuite causing journal entries to be required, along with the following:

• The gift card as a Discount model impacts Net vs Gross Sales reporting by utilizing a Discount item and the gift card is represented as a credit. Companies who utilize Discounts natively in NetSuite will have to break this out of their reporting
• The gift card not being reported as a payment and reported as a discount causes under reporting of revenue
• Returns involving gift cards improperly impacts the G/L of a credit memo and causes misalignment with Shopify vs NetSuite amounts refunded
• Challenges around partial refunds as the discount item will be proportionally and you cannot select refund methods due to the gift card not being a payment method. Companies will typically refund gift cards first then other payment methods

Our solution utilizes the following:

1. A Matrix Non-Inventory item with defined values for the sale of the gift card
2. A payment method of Gift Card for the application on purchase
3. Application creates a Sales Order linked Customer Deposit for the Gift Card and utilizes SuiteGL to modify the related debit
4. A standard linked Customer Deposit for other non-gift card payment methods is utilized per payment method

The result of this:

1. No manual Journal Entries are required
2. Sales reporting is proper and gift cards can be reported on through saved searches and reports easily
3. Gift cards can be refunded properly through the normal RMA process in NetSuite
4. No additional monitoring, workarounds, etc. are required

Attached is a PDF of the process map including the SuiteGL impact highlighted in RED on the right.