If you are in the middle of choosing a WooCommerce discount strategy for your online store, you would have come across a myriad of WooCommerce extensions for Dynamic Pricing and Discounts. While going through the types of discounts and the various discount plugins, you could wonder, “What do I choose?”. Do not worry. Let’s go in detail, break them down and give you some clarity by the end of this post.
At this point of time, you might be heading towards or already in a situation which I’d like to call the discount dilemma. Let me brief you about this little dilemma.
Setting up your own online store has become an easy task thanks to the technology and one-click solutions available today all over the internet. However, truth be told, the resources are just too many.
You’d have made a heck lot of decisions like what products to sell, which software to use (and mostly that), what theme would look best on your site, and so on to give a shape to your eCommerce store, right?
Let’s say you have decided upon using WooCommerce to power your online store. Now, after all those decisions, your eCommerce site looks great and you’re finally onto the most expected part – selling! But you realize that the decision making phase doesn’t end after all.
You’re now left with this new dilemma of making your pricing and marketing strategy where you try to choose an optimal kind of discount to attract new customers without having to lose out on your margin.
Well, let’s hop on to learn what is what about discounts and throw the dilemma out of your mind.
For starters, let me introduce you to the 3 P’s of Discounting:
- Percentage discount
- Price discount
- Product discount
What is a Percentage discount?
When you offer a percentage discount, you reduce a certain percentage of a product’s price or from the cart total. It would look something like this:
“Get 25% off on all purchases!” What is a Price discount?
Much obviously, you reduce a certain fixed amount from the product’s price or from the cart total. Here’s an example of how it looks:
“Get $50 off on all purchases above $500” What is a Product Discount? A product discount is where you give one or more products as freebies with other purchases.
“Buy 3 jeans pants and get a Game Of Thrones merchandise t-shirt free”
These are just the basic forms of discounts you can provide, on any condition, and anywhere. It is not restricted to WooCommerce pricing alone. There’s not going to be any more form of discount other than these three fellas.
Then what are the types of discounts we spoke about?
The different conditions based on which you give a discount are what we generally term as the types of discounts. Whatever type of discount you choose, say a location based discount or quantity based discount, or anything, you end up providing the discount value only in terms of the 3 P’s.
Even if your discount is just free shipping, technically you are giving a price discount. Get my point?
- 3 P’s – Percentage, Price, Product discounts
- The 3 P’s are the constant forms of discounts – regardless of whether you sell on WooCommerce or a brick-and-mortar store
- The discount conditions are the various types of WooCommerce discounts
Having spoken about the constant forms of discounts, let’s move on to the types of discounts specific to WooCommerce, shall we?
A quantity / volume based discount is where the customers would enjoy a discount when they purchase a certain number of items from your store.
For example, a discount that states, “Buy more than 2 items and enjoy flat 10% discount on each product!” gives a percentage discount based on the quantity purchased – more than 2 items. You could also give a price or product discount for the same. Just try replacing the 10% with $10 or 1 t-shirt, and that shall do.
The above example gives a discount on the price of each purchased product. However, if you want to give a discount on the order total, you could do that as well.
For example, “Enjoy $50 off on all purchases above $200” gives a price discount on the order total when the total is more than $200. You can tailor it as you need. If you do not need a condition, you could set “Enjoy $10 off on all purchases” – given all products on your store are above $10.
WordPress lets you create categories and assign your products into the relevant categories. You can provide discounts for the category when you want to increase the sales of a certain category.
Let’s say you offer a discount that says, “Buy any home appliance and get flat $20 off”. Now, the discount applies on all products from the category “Home Appliance”. When someone buys from that category, they get a $20 discount.
This case is especially useful when you want to move the stock in a specific category.
Just like categories for products, there is a role for each user in your store. You could be the Admin or Manager. Same way, you can mark your customers as “Customer”, “Premium Users”, “Registered Users”, etc. You just have to create the roles as required and assign it to the customers.
Now that your customers are segmented, you can give discounts only to specific user role. For example, if you have 20 customers on your store, and 10 of them are Subscribers, you can assign the roles respectively and provide discounts to them alone.
That is, a discount like, “50% discount on all books! Only for Subscribers”.
Now that you are familiar with the conditions such as category based and user role based, it’s easy to understand the location based discounts. They are similar. So, when a customer orders from a certain shipping zone, WooCommerce knows. You can make use of this to boost your sales in a particular region.
For example, “All of you from Florida, Get a pendrive free with every purchase!”.
Isn’t it cool?
BOGO deals are nothing but the short form for “Buy One Get One”. While all other discounts discussed till now can have a price or percentage or product discount, the BOGO deals can only have a product discount. That makes sense, right?
For example, “Buy 1 Camera and Get 1 SD card free” or “Buy 2 Shirts and Get 1 Free”.
This, is a particularly unique discount. You do not reduce the price of a product or give a cart discount. You’re just making the Shipping free of cost. As I mentioned earlier, this too falls under a fixed price discount.
You set the shipping cost on your WooCommerce store globally, create a WooCommerce coupon and configure it to give a free shipping. Using this coupon, your customers can avail free shipping. You can also set your shipping fee to 0 for everyone.
Let’s come back to the discount dilemma. Now, from what you have learnt so far, you’d have understood the different types of WooCommerce dynamic pricing and discounts. Let’s do a quick conclusion as to which type of discount would suit your online store the best.
If you are new to business, try:
- Free shipping (skip it if you cannot manage free shipping, or consider spreading the shipping fee to your product prices)
- BOGO deals
- Quantity based discounts
- Discount on order total
If you run a membership / subscription programmer, try:
- User role based discounts
- Category based discounts
- Free shipping
If you want to sell the slow moving products, try:
- BOGO deals
- Quantity based discounts
- Category based discounts
If you want to increase your sales in a particular region, try:
- Location based discounts
- Free shipping
So, it is that simple. All you need to do is understand what your needs are and then provide discounts based on that. However, you will need a WooCommerce discount plugin to do what you intend to do, isn’t it?
I’d suggest going with the WooCommerce Discount Rules plugin for all the types of discounts we discussed above. You could also try the WooCommerce BOGO Discount Pricing Deals if you want to try a plugin particularly for BOGO deals.
So, try the plugins [ Use the demo site ] and test your WooCommerce online store with the different discount types and let us know in the comments how discounts have helped in boosting your sales.