Magento allows tier prices for products and prices for individual options. However, tier prices for individual options are not supported. Still there are three ways of realizing tier prices for custom options. The last option is the best, from my point of view:
1. Displaying the surcharges on basket price rules:
It is the most elegant option if the products are imported with an import interface from an erp-system. In this case you can generate basket price rules, during or at the end of the import, which deliver discounts on each position. However, there is a major drawback: The discounts on the products are shown as one sum in the checkout. Therefore this option will only be useful in rare cases.
2. Better Configurable Products:
For each variant of the product an additional simple product is added. Better Configurable Product makes sure that the tier price is taken from the simple product. However, with many products and many variants, it will quickly become confusing. All these simple products must be assigned to a configurable product. Furthermore, all products have their own stock. Additionally both of the extensions use numerous rewrites that change the very core of the Magento system.
3. Generating additional individual options with prices:
An individual option only allows one surcharge, when 5 are needed - one for each tier price. So you add 5 individual options with different prices. The advantages of using this solution are moderate changes to the system while displaying the prices for the products in a reasonable way. The solution works with two observers – and additional rewrites of blocks for better visual appearance. Once passed the checkout, Magento just works with standard custom options. Therefore, it is very unlikely to experience problems in the later steps – e.g. invoice, shipment, credit memo and export to an erp-system. The disadvantages are additional options in the backend that are somewhat disturbing when maintaining the products by hand.
There is also a module as a sample for your own development. It requires entering of tier prices and individual options, in the backend. Finally, the prices of the individual options for each tier price are entered in the newly generated options. You can request a copy at http://www.code4business.de/kontakt-impressum/ free of charge.
For more information about tier prices in Magento with custom options or about the use of the module just have a look at http://www.code4business.de/tier-prices-for-magento-custom-options-en/