Trade Discount

Discounts and allowances are reductions to a basic price. They could modify either the manufacturer's list price (determined by the manufacturer and often printed on the package), the retail price (set by the retailer and often attached to the product with a sticker), or the list price (which is quoted to a potential buyer, usually in written form). The market price (also called effective price) is the amount actually paid. The purpose of discounts is to increase short-term sales, move out-of-date stock, reward valuable customers, or encourage distribution channel members to perform a function. Some discounts and allowances are forms of sales promotion.
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Noun
1. a discount from the list price of a commodity allowed by a manufacturer or wholesaler to a merchant
(hypernym) deduction, discount

an allowance or price reduction in payment for a channel member's participation in the distribution network; also called a Functional Discount. See Discount.