How To Make Discounts On Shopify: Boost Your Sales Now

Introducing alluring offers to your Shopify store is a potent tactic to pique client attention and eventually boost sales. 

Offering customer discounts is more than just a polite gesture in today’s cutthroat e-commerce environment; it’s a strategic need. The science and art of creating discounts on Shopify include anything from tried-and-true buy-one-get-one specials to cutting-edge flash sales and everything in between. 

This post will reveal the techniques for efficiently making discounts on your Shopify platform, allowing you to boost revenue and leave a favorable impression on your customers. Whether you’re a seasoned e-commerce business owner or just opening your online store, the tips and tricks we discuss here will help you maximize discounts to grow your company.

What are the benefits of making discounts on Shopify?

Implementing discounts on your Shopify store can yield a wide array of benefits, making it an effective strategy for boosting sales and enhancing customer loyalty. Here are some key advantages of offering discounts on your Shopify platform:

• Increased Sales & Revenue: Discounts can stimulate sales by attracting price-conscious shoppers and encouraging them to make purchases. When done strategically, discounts can lead to higher order volumes and increased revenue.
• Customer Attraction & Retention: Offering discounts can attract new customers to your store looking for deals. Additionally, it can help retain existing customers by providing them with incentives to return for repeat purchases.
• Clearing Excess Inventory: If you have excess stock that needs to be cleared, discounts can help you move these items quickly, preventing overstock issues and potential losses.
• Improved Conversion Rates: A well-promoted discount can reduce cart abandonment rates, converting more visitors into paying customers. Customers are more likely to complete a purchase when they perceive a good deal.
• Competitive Edge: In a crowded e-commerce market, offering competitive discounts can help you stand out and attract customers looking for the best value for their money.
• Marketing & Promotion: Discounts can be used as part of your marketing strategy, drawing attention to your store and products through various channels such as email marketing, social media, and advertising.
• Data Collection: When customers take advantage of discounts, you can collect valuable data about their preferences, purchase behavior, and contact information for future marketing efforts.
• Seasonal & Holiday Marketing: Discounts are especially effective during peak shopping seasons and holidays, as shoppers actively seek deals and promotions.
• Customer Engagement: Discounts can be used to engage with your customers, rewarding them for their loyalty and encouraging them to interact with your brand.
• Cross-Selling & Up-Selling: Discounts can be used strategically to promote related or complementary products, increasing the average order value and overall sales.
• Customer Feedback: Offering discounts can lead to increased customer feedback and reviews, which can be invaluable for improving your products and services.
• Brand Awareness: Running discount promotions can increase your brand’s visibility and awareness, helping to build your brand’s reputation and recognition.

While discounts can offer many benefits, it’s crucial to use them judiciously to avoid negatively impacting your profit margins. Maintaining profitability and providing discounts at the right ratio is crucial for your Shopify store’s long-term success.

Main types of discount on Shopify

Main types of discount on Shopify

On Shopify, you can implement various discounts to cater to different promotional strategies and customer preferences. Here are some of the main types of discounts you can offer:

Percentage Discounts

Percentage discounts are a popular and versatile promotion method on Shopify. They involve reducing the price of a product or the total order amount by a specified percentage. For instance, offering a 20% discount on a pair of shoes priced at $100 would lower the cost to $80. 

These discounts are commonly used for various purposes, such as enticing customers during seasonal sales, clearing out excess inventory in clearance events, and expressing gratitude to loyal customers. Percentage discounts are highly effective because they provide a visible and enticing price reduction, making them an excellent choice for increasing sales and attracting price-conscious shoppers.

Fixed-Amount Discounts

Fixed-amount discounts involve subtracting a specific dollar amount from either the product price or the total order amount. For instance, a $10 fixed-amount discount on a pair of jeans priced at $70 would bring the cost down to $60. Fixed-amount discounts are advantageous for offering straightforward, tangible savings to customers. 

They can be used in numerous contexts, such as offering $50 off orders over $200 or providing specific cash discounts on select items. These discounts are particularly effective for promoting specific products, incentivizing first-time buyers, or encouraging customers to reach a minimum purchase threshold to qualify for the discount.

Buy One, Get One Discounts (BOGO)

Buy One, Get One (BOGO) discounts are a powerful strategy to encourage customers to purchase more items by offering a free or discounted product when they buy one or more items at full price. For instance, a BOGO promotion might involve offering a free t-shirt when a customer purchases another at full price. 

BOGO discounts come in various forms, including Buy One, Get One Free (BOGOF) or Buy One, Get One 50% Off. These promotions are excellent for multiple purposes, such as reducing inventory levels by offering one product for free when another is purchased, cross-selling related items, and incentivizing customers to buy in larger quantities.

Free Shipping Discounts

Free shipping discounts eliminate shipping fees for customers, often based on conditions like a minimum purchase amount or specific product categories. They are highly effective in reducing cart abandonment rates and encouraging customers to place larger orders to qualify for free shipping. 

These discounts are especially popular for e-commerce stores because they address a common consumer concern – shipping costs. By offering free shipping, you enhance the overall shopping experience, increase customer satisfaction, and boost the likelihood of completing a sale. This type of discount can also be used as a valuable marketing tool to differentiate your store from competitors and drive customer loyalty.

How to make a discount on Shopify

Creating discounts on Shopify is a straightforward process, and you can offer a variety of discount types, including Percentage Discount Codes, Fixed Amount Discount Codes, Buy One, Get One Free Discount Codes (BOGO), and Free Shipping Discount Codes. Here’s how to create each type of discount:

Percentage Discount Codes

• From your Shopify admin, go to “Discounts” in the “Marketing” section.
• Click on the “Create discount” button.
• Choose “Percentage” as the discount type.
• Set the discount amount, minimum purchase requirements, and any other conditions you want to apply.
• Configure the discount code, or let Shopify generate one for you.
• Click “Save.”

Fixed Amount Discount Codes

• Access the “Discounts” section in the “Marketing” tab of your Shopify admin.
• Click “Create discount.”
• Select “Fixed amount” as the discount type.
• Specify the discount amount and any other conditions.
• Define the discount code or use Shopify’s automatic code generation.
• Save the discount.

Buy One, Get One Free Discount Codes (BOGO)

• In your Shopify admin, navigate to the “Discounts” section under “Marketing.”
• Click “Create discount.”
• Choose “Buy X Get Y” under the “Buy One, Get One” section.
• Configure the conditions, such as “Buy X” and “Get Y.”
• Set any additional restrictions or limits.
• Create a discount code or have Shopify generate one.
• Save the discount.

Free Shipping Discount Codes

• Go to the “Discounts” section in your Shopify admin’s “Marketing” tab.
• Click “Create discount.”
• Select “Free shipping” as the discount type.
• Define the conditions for free shipping, such as a minimum purchase amount or specific products.
• Specify the discount code or allow Shopify to generate one.
• Save the discount.

Discounting Products Using Shopify Functions

If you want to discount products without using discount codes, you can do so directly on the product level in your Shopify admin.

• Open the product you want to discount.
• In the “Pricing” section, you can reduce the product’s price by either a percentage or a fixed amount.
• Save the product to apply the discount.

Remember to test your discounts before launching them to ensure they work as intended. To optimize the impact of your discounts on sales and customer engagement, think about promoting them via your website, email marketing, social media, or other channels.

10+ ideas & hints for discount codes

10+ ideas & hints for discount codes

Discounts Every Week or Month: Providing consistent, time-limited discounts to your clients on a weekly or monthly basis can build excitement and anticipation. This recurring promotion keeps your audience engaged and returning to your store, looking for the latest deals.

• Introductory Prices: Attracting new customers can be challenging, but offering special introductory prices can entice first-time buyers to leap. It’s an excellent way to introduce them to your products or services and leave a positive first impression.
• Seasonal & Holiday Discounts: Seasonal and holiday discounts capitalize on the excitement and spending habits associated with specific times of the year. Whether it’s Christmas, Halloween, or Back-to-School, aligning your promotions with these events can boost sales.
• Discount Code For Abandoned Cart: Cart abandonment is a common challenge in e-commerce. By sending a discount code to customers who have abandoned their carts, you remind them of their interest and provide an incentive to complete their purchase.
• Offer To Subscribe To Emails Or Newsletters: Building an email list is essential for direct marketing. Encourage visitors to subscribe to your emails or newsletters by offering a discount code as an incentive. This not only grows your contact list but also fosters customer engagement.
• Promotion For Referrals: A referral program is a powerful way to acquire new customers. By allowing your current customers to refer friends and family in exchange for discounts, you create a network of loyal customers who actively promote your brand.
• Deal For New Customers: Welcoming new customers with special discounts is an effective strategy to win them over and encourage repeat business. It’s a way to express gratitude for choosing your brand and incentivize them to explore your offerings further.
• Discount For Minimum Purchase: Offering discounts for reaching a minimum purchase amount can lead to larger transactions and higher average order values. It rewards customers for their loyalty and encourages them to buy more.
• Unique Social Offers: Tailoring discounts to specific social media platforms or individual posts adds a layer of personalization and exclusivity. This can make customers feel like they are part of a select group, which can boost engagement.
• Deals For Devoted Clients: Identifying and rewarding your most devoted clients with special offers and benefits is a great way to create enduring bonds. These customers often become brand advocates and can influence others to shop with you.
• Leaving-Intent Offer: Exit-intent pop-ups offer discounts to visitors who are about to leave your website, providing a last-minute incentive to stay and make a purchase. It’s a helpful tactic to recover potentially lost sales.
• Targeted Advertisements: You can efficiently reach and engage with the right audience, increasing the likelihood of conversion, by running targeted advertising campaigns on sites like Facebook or Google and providing discounts to particular customer segments based on their preferences, behavior, or demographics.

Each of these discount code ideas serves unique purposes, from customer acquisition to retention, and can be tailored to fit your e-commerce business’s goals and strategy.

How to manage discounts on Shopify?

Managing discounts on Shopify is a crucial aspect of running a successful e-commerce business. Here are the steps to effectively manage your discounts, including viewing and modifying them, monitoring their usage, and removing expired discounts:

Viewing & Modifying Discounts

To view and modify your discounts on Shopify, start by accessing your Shopify admin panel. Navigate to the “Discounts” section, which is usually found under the “Marketing” tab. Here, you’ll find a list of your existing discounts. Click on the discount you wish to edit. This will open the discount details page where you can make changes to the discount type, amount, minimum purchase requirements, expiration dates, and other settings. 

After making the necessary modifications, click the “Save” button to apply your changes. Regularly reviewing and updating your discounts ensures they remain aligned with your marketing strategy and the evolving needs of your business.

Monitoring Discounted Use

Monitoring the usage of your discounts is a crucial part of assessing their effectiveness and preventing overuse or abuse. Shopify provides data on how many times each discount code has been redeemed. In the “Discounts” section, select the specific discount code you want to keep an eye on. 

Within the “Usage limits” section, you can limit how many times the discount can be redeemed overall or by individual customers. Below this, in the “Usage” section, you can view the redemption count, enabling you to track the popularity and performance of your discounts. This data is invaluable for making data-driven decisions and refining your discount strategies over time.

Removing Discounts Expire

Over time, expired discounts can accumulate in your list, potentially causing confusion and clutter. To maintain an organized and streamlined collection of discounts, remove the ones no longer valid. In the “Discounts” section, select the expired discount you wish to delete. At the bottom of the discount details page, you’ll find the “Delete discount” option. 

Click this to initiate the removal process. Shopify will ask for confirmation before permanently deleting the discount. Regularly removing expired discounts ensures that your discount list remains up-to-date and free from outdated or irrelevant promotions.

You can efficiently manage your Shopify discounts by following these steps, which will guarantee that your promotions are up to date, effective, and appropriately monitored. This gives your customers a better online shopping experience while also giving you a competitive advantage in the rapidly changing e-commerce market.

How to use multiple discount codes combined and stacked on Shopify

• Create a single discount code with combined rules: Instead of using multiple codes, you can create a single discount code with combined rules. For example, if you want to offer a 10% discount and free shipping, create a single discount code that offers both the percentage discount and free shipping when certain conditions are met, like a minimum purchase amount.
• Offer automatic discounts: Shopify allows you to set up automatic discounts. These are applied to the cart automatically when conditions are met, without the need for a code. For example, you can offer “Buy 2, Get 1 50% Off” as an automatic discount.
• Use custom apps or third-party integrations: Some third-party apps and integrations may provide the functionality to stack multiple discount codes. It’s worth exploring the Shopify App Store to see if any apps can help you achieve your desired discount stacking functionality. Keep in mind that using third-party solutions may incur additional costs.
• Apply discounts manually: While this isn’t ideal for large-scale operations, you can manually apply discounts to orders in your Shopify admin when customers contact you directly with specific requests. This may work for smaller businesses with more personalized customer interactions.

Be aware that using workarounds or third-party apps may require additional setup and may not integrate seamlessly with your Shopify store. Make sure to thoroughly test any custom solutions to ensure they work as expected and do not conflict with other aspects of your e-commerce platform. Additionally, keep an eye on updates and changes to Shopify’s features and policies, as the platform may evolve to provide more flexibility in the future.

Conclusion

It’s more than just a tactic to be able to use discounts on your Shopify business; it gives you a competitive edge. As we come to a close on our exploration of the craft of creating discounts, it is abundantly evident that these marketing strategies are essential for increasing your revenue and building deeper client relationships. 

The strategies discussed in this article give you the power to make discounts work for you like never before, regardless of whether you’re just starting out in e-commerce or trying to breathe new life into an established business. You can unlock the full potential of discounts on Shopify and increase your sales by combining creativity with strategic strategy. Put these newfound insights to use right away to see your company grow.