Discounts play a key role in increasing sales for your Shopify store.
Timely offering smart discounts allows the shopper to make recurring purchases with your store and an incredible opportunity for you to build a long lasting relationship with your services.
Here, using Shopify automatic discounts makes it easier to generate discount codes automatically and avoid manual efforts.
In this guide, learn how to set up automatic discounts in Shopify in the easiest way possible.
What is Shopify Automatic Discount?
Shopify automatic discount is a discount that is automatically applied during the checkout, based on conditions. There is no need to add a coupon code manually. It makes it easier for the customers to grab promotional offers if they or the order meets the set conditions.
You can set the automatic discounts on various conditions like:
- Discount of certain products: Offering discounts on certain products or categories, for e.g., “Flat 10% off on t-shirts.”
- Discount on order total: Offering discounts based on cart item number of order total, for e.g., “Order above $100 and get 20% off.“
- Buy X Get Y discount: Offering a deal clubbed with the purchase of a certain product, for e.g., “Buy a pair of shoes and get the other pair at just 50%.”
- Free shipping in certain conditions: Offering free shipping on orders that meet certain conditions like total value, number of items, etc. For e.g., “Free shipping over $50 order total.”
How to Create an Automatic Discount in Shopify?
Creating an automatic discount in Shopify can strategically increase sales and customer engagement for digital marketers. The process differs slightly depending on if you use standard Shopify admin, Shopify Plus, or third-party apps.
Shopify admin lets you easily set up basic discounts, while Shopify Plus has more advanced options. However, third-party apps can provide even more customized discount solutions.
Additionally, choose the type of discount you’d like to create from the following options:
- Product Discount: Reduce the price of specific products.
- Amount Off Order: Deduct a specific amount from the total price.
- Buy X Get Y: Provide a product for free while buying another product.
- Free Shipping: Offer free shipping on orders.
Here, we will explore how to set up automatic discounts in Shopify Admin.
Product Discount on Shopify
Stеp 1: In Shopify admin, go to “Discounts“in the left-hand side menu
Stеp 2: In the “Discounts” area, click the “Create Discount” button
Step 3: Choose Amount off products
Step 4: Choose a method of discounts and title.
Select the “Automatic Discount” method, Then choose a suitable title as this will be visible to the customers.
Step 5: Configure discount values
Select either “Percentage discount” to take a percentage off the product price or “Fixed amount” to subtract a set dollar value. Once selected, enter the corresponding value beside your choice.
Choose where your discount applies: entire collections or individual products.
Click your choice, then browse and select them directly.
Set who the discount applies to: one-time purchases, subscriptions, or both.
Step 6: Set Minimum Purchase Requirements
- Minimum Purchase Amount: Set a minimum order total that the customer must spend for the discount to apply.
- Minimum Purchase Quantity: Set a minimum number of items the customer must buy to get the discount.
Step 7: Create Discount Combination
Now you can also combine your discounts with other discounts. In this step, you will have a choice to stack your specific discount types, such as product discount with other discount types like:
- Product discount
- Order discount
- Shipping discounts
Choose accordingly. If you do not wish to choose, leave this field blank.
Step 8: Setting Active Dates for the Discount
Specify the start date and time for your discount. Optionally, you can choose an end date by checking the “Set End Date” box.
Review everything on the right. Once happy, click “Save Discount.”
Order Discount on Shopify
Step 1: Shopify admin > Discounts > Create discount > Choose amount off order
Step 2: Choose Method & Title
- Choose Automatic Discount
- Enter a title for your discount
- Specify the discount value, either as a percentage off or a fixed amount.
Step 3: Configure Discount Setting
- Set the condition for a minimum purchase requirement, specifying either a minimum purchase amount or a minimum quantity of items.
- Optionally, combine your discount with other discounts like product discount or shipping discounts.
- Set start and end dates.
- Final step click “Save discount.”
Buy X Get Y on Shopify
Step 1: Shopify admin > Discounts > Create discount > Choose Buy X Get Y
Step 2: Choose Method & Title
- Choose Automatic Discount
- Enter a Title for your discount
Step 3: Setting up the Buy X Part
- Select either “Minimum Quantity of Items” or “Minimum Purchase Amount.“
- Choose the quantity for minimum items or set the minimum purchase amount.
- Then, select the products or collections to which the discount will apply.
Step 4: Setting Up the Get Y Part
Under the “Customer gets” section, navigate through three sub-steps:
- Step 4.1: Choose the quantity of the product and select the free/discounted product from the “any items from” section.
- Step 4.2: Select the discount type: percentage off, fixed amount off, or completely free.
- Step 4.3: Set the usability limit by clicking on “Set a maximum number of uses per order” and adding the numerical amount.
Step 5: Final Steps
You have the option to stack different types of discounts. This step allows you to combine specific discount types, such as product discount, order discount, and shipping discounts
Define the valid timeframe by setting a start date and time. Optionally, set an end date.
Review all details on the right-hand side of the screen, listed in bullet points, ensuring accuracy. Then, click “Save Discount“.
Free Shipping Discount On Shopify
Step 1: Shopify admin > Discounts > Create discount > Choose Free Shipping
Step 2: Adding the title: Fill in an apt title for your discount.
Step 3: Adding the Details
- Countries: Choose between providing worldwide free shipping or limiting it to selected countries.
- Purchase Type: Select if the discount applies to one-time purchases, subscriptions, or both.
- Shipping Rates: Set a minimum threshold for free shipping by excluding rates over a certain amount.
Step 4: Final Steps
- Specify a minimum purchase requirements
- Choose to stack discounts
- Choose start and end date
- Click Save Discount
Benefits of Offering Shopify Automatic Discounts
Offering discounts automatically in your Shopify store provides several advantages. Let us thoroughly examine the important ones:
- You can streamline the checkout process & reduce the cart abandonment rate as it reduces the need for shoppers to input promotional codes manually. This inclusion simplifies the buying experience.
- It increases conversion rates by incentivizing purchases as this method prompts them to act fast and finish their orders. Leading to a high conversion rate.
- Enhances customer satisfaction and loyalty by providing Value-Added Incentives, leading to customers becoming more likely to shop with you again and referring your brand to friends and family.
Different Types of Shopify Automatic Discounts
Shopify offers a variety of automatic discounts tailored to meet diverse promotional needs. These discounts tend to incentivize customers and drive sales. Let’s explore each type of automatic discount in detail:
Minimum Order Value Discounts in Shopify
Minimum order value discounts must reach customers to reach a specified spending threshold. Then they qualify for special offers. This category includes:
- Free Shipping Thresholds:
Through this discount type customers can enjoy automatic discount free shipping shopify for orders that meet a minimum purchase value. For example, “Spend $50 and receive free shipping”. This encourages customers to add more items to their cart to reach the qualifying amount.
- Spend X Get Y Discounts:
Customers receive discounts or free items upon reaching a certain spending threshold. For instance, “Spend $100 and get a $20 discount”. This incentivizes customers to increase their cart value to unlock the offer.
- Tiered Discounts:
Customers unlock increasing discounts based on their order value tiers. For example, “10% off orders over $50, 15% off orders over $100”. This motivates customers to spend more to enjoy greater savings. As they reach higher spending thresholds.
Product-Specific Automatic Discounts in Shopify
These discounts target specific products or categories. They entice customers with tailored offers. This category includes:
- Volume Discounts (Buy More, Save More):
In this type of discount, customers get discounts for buying larger quantities of a specific product. For example, “Buy 3 shirts and get 15% off”. It encourages customers to buy in bulk to enjoy the discount.
- Bundle Discounts:
This suggests providing customers discounts for purchasing bundles. It can also include bundling complementary products together. For instance, “Buy a laptop and a case together and save 20%”. This promotes cross-selling. It enhances customer value perception.
- Mix & Match Deals:
Customers can mix and match eligible products to get a discount. For example, “Buy any 3 items from the summer collection and get 10% off”. Customers can customize their purchases. They can also enjoy savings.
Customer-Specific Automatic Discounts in Shopify
Based on individual customer attributes and behaviors, personalize the discounts. They enhance the shopping experience. This category includes:
- Welcome Discounts:
New customers receive discounts as a welcome gesture. For example, “Sign up and get 10% off your first purchase”. It incentivizes first-time purchases. It fosters positive brand experiences.
- Birthday or Anniversary Discounts:
You can award loyal customers. Give them personalised discounts to celebrate special occasions. For instance, “Happy Birthday! Enjoy 20% off your next order”. It strengthens customer relationships. It also enhances brand loyalty.
- Abandoned Cart Recovery Incentives:
In this strategy, customers receive discounts on items left in their shopping carts. This can encourage them to finish their purchase. For example, “Complete your purchase within 24 hours and get 15% off your order”. This reduces cart abandonment rates. It also recovers potentially lost sales.
Time-Based Automatic Discounts in Shopify
These discounts create urgency with limited-time offers. They also drive sales. This category includes:
- Flash Sales & Limited-time Offers:
Customers get enticed with time-limited discount promotions. For eg: “24-hour flash sale: 30% off all products”. It stimulates impulse purchases. It drives immediate sales.
Learn: How to Add Countdown Timer to Shopify Store? – Guide
- Seasonal Promotions:
You can use discount offers to take advantage of seasonal trends. Tie them to holidays and events. Align promotional activities with key shopping seasons. They maximize sales opportunities. For example, “Summer Clearance Sale: Up to 50% off select items”. It uses seasonal trends to attract customers. This also boosts sales.
Each type of Shopify automatic discount offers unique advantages. They can be strategically employed. They aim to achieve specific marketing objectives. They target different customer segments.
Best Automatic Discount Shopify App to Try
To create advanced discounts with specific conditions on Shopify, you’ll need to use Discount Apps available on the Shopify App Store. These apps offer more flexibility and features compared to the default discount options in the Shopify admin.
Our top recommendation is the AIOD – All-in-1 Discount app by Cirkle Studio.
It offers 8+ discount types (bundle, BOGO, free gift, cart discounts etc.) and lets you set conditions based on discounts like cart value or customer tags.
With AIOD, merchants can create and manage offers easily. It also has options for short-term promotions and scheduling. AIOD provides valuable analytics insights.
Many merchants have experienced a significant boost in sales by utilising the AIOD. This app provides a 15-day free trial, allowing you to explore its features and witness the positive impact on your business firsthand. You can also add a discount code through a URL to boost conversions; if you want to add a discount code to a URL, check out the steps to add discount in URL for Shopify.
Bonus Tips: How to Optimize Shopify Automatic Discounts?
Here are some tips to optimize your automatic discount strategies on Shopify.
- A/B Testing: Experiment with different discount offers. This helps to determine the most effective ones. Test variables such as discount percentages and minimum order values. You can also test types of promotions to identify what resonates best with your audience.
- Track & Measure Results: Track the performance of your automatic discounts using Shopify analytics. Track metrics such as conversion rates, and average order value (AOV). Followed by tracking revenue generated from discounted sales. This helps to assess the effectiveness of your promotions.
- Avoid Discount Dependency: Use automatic discounts strategically to incentivize purchases. And do so without devaluing your products. Avoid creating a dependency on discounts. Offer them sparingly and focus on value-added incentives beyond just price reductions.
- Personalization: Tailor your automatic discounts. Do this based on specific customer segments or occasions for better engagement. Leverage customer data to personalize offers. It happens based on past purchase behavior. It can also include demographics or special occasions. For example, birthdays and anniversaries.
Mastering Shopify automatic discounts can boost your store’s sales. Implementing these optimization tips can, too. It can also help with customer satisfaction. Experiment with different discount types and strategies. And find what works best for your business. Then refine your approach for optimal results.
