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X12 transaction guide · Finance

EDI 884 Market Development Fund Settlement

The X12 document trading partners use to communicate the settlement of a single market development fund event.

Sent by
Retailer, broker, wholesaler or manufacturer
Received by
The other party to the fund program
Standard
ANSI ASC X12

What is an EDI 884?

The EDI 884 Market Development Fund Settlement is the ANSI X12 transaction set for communicating settlement information for a single market development fund event. It can travel in either direction between trading partners: a retailer can claim the funds it earned, or a manufacturer can report what it is paying.

Each 884 references the program announced in the 883 allocation and states the performance, the amounts earned and the method of settlement, such as a deduction or a check. Clear settlement data avoids the unexplained deductions that consume time in consumer goods finance teams.

How the EDI 884 worksDiagram of the EDI 884 Market Development Fund Settlement. Retailer, broker, wholesaler or manufacturer sends it to the other party to the fund program. It usually follows 883. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BMP (Beginning Segment for Market Development Fund Settlement) and N1 (Party Identification). 1 optional loops are listed by their first segment.How the EDI 884 worksMarket Development Fund Settlement: who sends it, where it fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWS883Market Development FundAllocationEDI 884SENDERRetailer, broker,wholesaler ormanufacturerRECEIVERThe other party to thefund program997 or 999 acknowledgment back, if the partners agreeUSUALLY FOLLOWED BY997FunctionalAcknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDsISA … IEAFunctional group, ID code MFGS … GETransaction set 884ST … SEHEADINGBMPBeginning Segment for Market Development Fund SettlementN1Party Identification+ 1 optional loop, starting with:N9Blue box: required loop. Optional loops are listed by the segment that starts them; when a loop is used, that first segment is required. Optional segmentsoutside loops are not drawn.Structure: required segments and loops in the X12 008010 listing for the 884. Your trading partner's implementation guide adds its own requirements.
How the EDI 884 worksDiagram of the EDI 884 Market Development Fund Settlement. Retailer, broker, wholesaler or manufacturer sends it to the other party to the fund program. It usually follows 883. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BMP (Beginning Segment for Market Development Fund Settlement) and N1 (Party Identification). 1 optional loops are listed by their first segment.How the EDI 884 worksMarket Development Fund Settlement: whosends it, where it fits and what the standardmarks required1 WHERE IT FITSUSUALLY FOLLOWS883Market Development Fund AllocationEDI 884SENDERRetailer, broker,wholesaler ormanufacturerRECEIVERThe other partyto the fundprogram997 or 999 acknowledgment back, if the partnersagreeUSUALLY FOLLOWED BY997Functional Acknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDs (ISA… IEA)Functional group, ID code MF (GS … GE)Transaction set 884 (ST … SE)HEADINGBMPBeginning Segment forMarket Development FundSettlementN1Party Identification+ 1 optional loop, starting with:N9Blue box: required loop. Optional loops are listedby the segment that starts them; when a loop isused, that first segment is required. Optionalsegments outside loops are not drawn.Structure: required segments and loops in the X12008010 listing for the 884. Your trading partner'simplementation guide adds its own requirements.

How to read this diagram: the top row shows who sends the 884, to whom, and which documents usually come before and after it. The lower part shows what X12 release 008010 itself requires: the envelopes around the 884 and the segments and loops the standard marks as required, area by area. Optional loops are listed by the segment that starts them rather than drawn in full. This is the standard's minimum, not a trading partner's requirement: each partner's implementation guide usually makes some optional loops mandatory, restricts the codes and may use a different release.

Expand diagram Download SVG

When it is used

  • Claiming earned market development funds
  • Reporting settlement amounts for a program event
  • Documenting the basis for a deduction or payment

Where it fits in the document flow

Usually follows 883 Market Development Fund Allocation
This document 884 Market Development Fund Settlement
Usually followed by 997 Functional Acknowledgment

Structure

Mandatory segments in the 884 (X12 release 008010)

The segments X12 release 008010 marks as mandatory at their level, in order. Segments inside optional loops are needed only when the loop is used. This is the standard's requirement, not your trading partner's: each partner's implementation guide names the release it uses, adds the optional segments it requires and restricts the values. The requirement status comes from one published X12 reference listing and has not been checked against a second source.

  • ST
  • BMP
  • N1
  • N9
  • SE

Practical example

The 884 in practice

After the summer display program ends, a wholesaler sends the beverage company an 884 referencing the program, reporting the cases sold during the display period and claiming the funds earned at the agreed rate per case. The manufacturer checks the claim against its shipments and approves it, and the wholesaler takes the amount as a deduction from its next payment.

Implementation

Implementation considerations for the 884

  • Reference the program identifier from the 883 allocation.
  • Provide performance evidence in the form the manufacturer requires.
  • Agree on whether settlement is by deduction or payment before the event.
  • Link settlements to deduction research (891) to resolve disputes quickly.

How ECOM helps

Automate the 884 with ECOM

Industry

Consumer Goods

Retail, distributor, marketplace and direct-channel integration for consumer brands.

Industry

Retail

Retail and eCommerce EDI for suppliers and retailers, from purchase order to payment, with compliance built in.

Solution

Financial Document Automation

Automate invoices, remittances, payment files and bank statements from capture to posting.

More general questions about EDI are answered in the EDI FAQ.

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