For a better experience please change your browser to CHROME, FIREFOX, OPERA or Internet Explorer.
Familiarity with the types of discounts in online sales

Familiarity with the types of discounts in online sales

The online store market is booming these days, with many offering special discounts to compete with rival stores, and even trying to win over real-world store customers with some weird price changes. But if these discounts are applied without knowing how many online discounts they are, they will definitely incur heavy financial losses that are not easily compensated. In the following, we intend to examine the advantages and disadvantages of offering such discounts, and introduce the types of discounts in the online sale of goods so that you can enjoy massive and high profitability by offering calculated discounts.

must read: How to increase face-to-face sales?

Advantages and disadvantages of online store discounts


  • Quick and easy implementation using applications;
  • Quickly follow up on new discounts and report on them;
  • Attract more customers;
  • Increase Exchange rate (Or, to put it more simply, increasing the number of buyers from the website);
  • Increase customer loyalty.


  • Decrease Profit margin And profitability;
  • Possible weakening of the brand;
  • Reduce conversion rates outside of the discount period (especially if you have accustomed your visitors to postpone their purchases to the discount period);
  • Tendency to price-oriented customers (or, in other words, unfaithful customers);
  • Tendency to reduce the average volume of orders.

The type of discount should be consistent with the overall brand strategy

Online stores can not only attract new customers by offering calculated discounts, but also improve the loyalty of their existing customers, provided the type of discount is consistent with the overall brand strategy.

For example, if you want to position yourself as a brand that offers distinctive products (whether in terms of design, price or quality) or still have a small profit margin, it is recommended that instead of weekly discounts, be content with types of discounts that aim to increase customer loyalty. At the same time, if you have a certain profit margin, it may be better to offer bigger discounts and take advantage of a variety of daily or weekly discounts.

In summary, the type of discount should be consistent with the overall brand strategy. It goes without saying that a lot of trial and error is needed to finally make sure what kind of discount makes your business profitable. To get started, simply run your campaigns with specific goals and on a small scale so that you can gauge the effectiveness of each campaign.

Types of discounts

A variety of discounts on sales

Some of the most common types of discounts are:

  • Percentage Discount: This type of discount is one of the most common ways to offer a discount, which usually starts from 5 to 10 percent. Of course, larger discounts, such as 20 or 25 percent, are more effective in increasing sales. Discounts above 50% can also be used to cash in on hard-to-sell or obsolete items.
  • Price discount: Suppose an online clothing store draws a line on the initial price of a shoe, which was 285 thousand tomans, and offers a price of 190 thousand tomans. Visitors often decide to buy as a result of a thumb account by comparing the starting price and the offer price, even if they do not need the discounted item. This trick makes the discounted product more valuable to the customer. In other words, the customer will feel that the value of the goods received is greater than the amount he pays. If you are unsure about the type of discount for a particular product, for example you can not decide between a percentage discount and a fixed amount (the same price discount), you can get help from “Rule 100”. This means that if the price of the product was less than 100 thousand tomans, use a percentage discount and if it was more than 100 thousand tomans, use a price discount.
  • Free Shipping: Many visitors are reluctant to register their shopping cart due to shipping costs, while free shipping can encourage a higher percentage of your visitors to shop. Offering this type of discount, especially to customers whose purchase amount is higher than a defined minimum amount (for example, above at least 500 thousand tomans), will increase the average value of the order. You can also limit this type of discount to a few specific cities or groups of customers in addition to the minimum purchase so that you do not incur financial losses.
  • Free Gifts: Offering free gifts along with the purchase of goods makes that particular product more valuable to the customer. Clever application of this strategy can be effective in increasing the average volume of orders and sales of goods that are hard to sell.

must read: Principles of store layout; Tricks that increase sales

When and how to get a discount?

There are many ways to offer a discount, here are some of the most common ones:

1. Weekly or monthly discounts to increase sales and achieve revenue goals

This type of discount is offered at the end of the month or week and aims to increase sales and realize the prospects of the relevant business income.

2. Pre-sale or pre-sale discounts

If you are still in the process of launching your online store, or even if you are planning to launch a new product in your store soon, you can increase your website traffic by offering promotional or pre-sale discounts and attract more enthusiasts.

3. Occasional or seasonal discounts

There are several occasions throughout the year when online stores can make a lot of money these days by offering special discounts. Black Friday Auction (a traditional American auction held the day after Thanksgiving, the last Friday in November), Christmas and New Year are examples of the most popular auctions in the United States and Europe.

4. Offer a discount to those who cancel the registration of the shopping cart

Many customers cancel their final shopping cart after adding one or more items to their cart for reasons such as shipping costs. Online stores can encourage cancellation  to sign up for a shopping cart by sending a discount offer to their email.

5. Offer discounts to email subscribers or newsletter members

Creating an email list is a must-have for any online retailer. By offering a discount for receiving a visitor’s email address, you not only increase the likelihood of him becoming a customer of the product buyer, but by collecting visitor emails you can notify your new products and discounts later via email.

6. Discount on subscription fee

One of the most difficult parts of maintaining an online store is that you need to keep your business up to date. Offering special discounts to visitors and customers who share your website and product address on their social networks is a great way to put your brand name in the mouth at a low cost.

7. Offer discounts to presenters and nominees

Many people, through family or friends, become acquainted with a particular online store and make a purchase. So you can boost these referrals by offering special discounts to so-called customer-oriented customers or even the introduced customer.

8. Offer discounts on initial purchases

Offering a discount to those who visit your store for the first time can turn these potential customers into buyers.

9. Offer discount based on the total price of the shopping cart

This type of discount is one of the effective strategies in encouraging customers to buy more, which increases the average volume of orders. In order to implement this strategy, you must first calculate the average value of the customer order over the past few months, and then consider special discounts or free shipping for all orders that are 20 to 30% higher than this amount (average order value). Also, if you want to focus on selling a set of specific products, you can encourage your customers to buy by assigning a discount to purchases whose amount is higher than a defined minimum (for example, 20% discount for purchases above at least 500,000 Tomans).

10. Offer discounts to social media followers

By offering discounts on your online store social networks, you can have a stronger relationship with your followers, because with this strategy, you motivate the customer to follow you on social networks and join the store communication channels to be informed about new products and future discounts. .

11. Offer discounts to loyal customers

Offering exclusive discounts to customers who are committed to buying from your online store strengthens and maintains brand loyalty. For example, you can send a personal email to this special group of customers, including a discount code. You can also use apps like Klaviyo to automatically send discount offer emails to customers whose purchases exceed a certain number.

12. Offer a discount at the moment of leaving the website

Sometimes offering a discount right at the moment a visitor leaves the website is enough to convince them to buy from your online store. In this strategy, the discount offer appears when a visitor leaves the website in a pop-up window so that the customer may decide to buy at the last minute.

13. Offer discounts by re-targeting visitors

Advertisements for this type of discount will only be displayed to users who have already visited your website and are familiar with your online store. These ads remind the customer to visit your website again and a discount offer is offered to encourage them to buy.

15. Offer discounts to fans of influential people (e.g. popular writers or actors)

Collaborating with influential people who have a large audience will be a great way to get a brand name on the tongues. You can encourage their fans to buy from your online store by offering a discount to the contact circle of these popular people.

Note that offering special discounts is not a good way to increase the revenue of all online businesses. But if you are a business owner who sees this as a good way to achieve your goals, you need to understand the brand goals, try and make multiple mistakes to finally make sure which type of discount will be more effective in achieving your business prospects.

Retrieved from:

leave your comment

Your email address will not be published. Required fields are marked *