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| v:2.0:coupons_and_discounts [2021/03/04 11:34] – [Notes] adam | v:2.0:coupons_and_discounts [2025/06/03 17:55] (current) – [Coupon Codes] foxybrett |
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| <wrap tip>We've found that stores with coupon codes tend to generate 60% more revenue and 83% more transactions than stores not utilizing coupon codes</wrap>, and those numbers increase (significantly) as the number of coupon codes increases. (Stores with 10 or more coupon codes do 3.8x the revenue and 3x the transactions. According to our data, at least. No joke.) It's not a magic bullet, but simply having coupon codes available can motivate an otherwise "too busy" merchant or marketer to do some email marketing or advertisements promoting the coupon codes. Try it! According to our system-wide data, you won't regret it. | <wrap tip>We've found that stores with coupon codes tend to generate 60% more revenue and 83% more transactions than stores not utilizing coupon codes</wrap>, and those numbers increase (significantly) as the number of coupon codes increases. (Stores with 10 or more coupon codes do 3.8x the revenue and 3x the transactions. According to our data, at least. No joke.) It's not a magic bullet, but simply having coupon codes available can motivate an otherwise "too busy" merchant or marketer to do some email marketing or advertisements promoting the coupon codes. Try it! According to our system-wide data, you won't regret it. |
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| | ===== Native v. Externally-Controlled Coupons ===== |
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| | This page covers "native" coupons in Foxy. For users on our Advanced and Enterprise plans, we offer "externally controlled coupons", which require the [[v:2.0:pre_cart_webhook|Pre-Cart Webhook]] functionality. If you //must// control discounts from an external system, reach out and we can discuss the details. |
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| ===== How They Work ===== | ===== How They Work ===== |
| ==== Coupon Codes ==== | ==== Coupon Codes ==== |
| {{ :v:2.0:responsive_2.0_cart_coupons.png?direct&300|}} | {{ :v:2.0:responsive_2.0_cart_coupons.png?direct&300|}} |
| Unlike product or category quantity discounts, coupon codes apply one single discount as a line-item in the cart, and do not affect the individual product prices. Coupon codes also can apply to one or many categories, but cannot be product-specific (unless the product is the only product in a given category). | Unlike product or category quantity discounts, coupon codes apply one single discount as a line-item in the cart, and do not affect the individual product prices. Coupon codes also can apply to one or many categories, and/or one or many specific product codes. |
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| The default discount type for coupons is ''single''. | The default discount type for coupons is ''single''. |
| ; Coupon Type | ; Coupon Type |
| : The type of discount you want to apply (see above for details on that) | : The type of discount you want to apply (see above for details on that) |
| ; Coupon Details | ; Rules |
| : The discount logic, such as ''incremental|1-5|2-10'' | : The rule builder allows you to build the discount logic using UI. The underlying data (accessible via the API) will look like the syntax above (such as ''incremental|1-5|2-10''), but the UI in the Foxy Admin makes it easy to generate. |
| | ; Product code restrictions |
| | : If you want to limit which products can use this coupon, you can enter a comma separated listed of product codes or partial product codes using ''*'' as a wild card at the beginning and/or end of the value. So ''abc123'', ''fun_*'', ''*-small'' would match ''abc123'', ''fun_'' and ''fun_times'', and ''example-small''. It wouldn't match ''abc12'', ''abc1234'', ''fun'', or ''good-smalls''. If a code starts with ''-'' it will be considered as a block instead, matching everything except products that match that code. For example ''-*-small'' would match every product that does not have a code that ends in ''-small''. Allow lists and block lists can also be combined, ''foo*, -foobar'' would match all products that begin with ''foo'' except any products with a code of ''foobar''. Currently restricted to a maximum length of 5000 characters. |
| | ; Item option restrictions |
| | : You may have arbitrary item options (like ''brand'', ''publisher'', ''size'', ''location'', etc.) that determine what type of discount to apply. Using this setting, you can restrict coupons using similar logic as the "restrict usage by product code" above. Instead of a single comma-separated list of values to match against, input here is per item option. Wildcards can be used in option //values// but not option //names//. |
| | : The functionality is only available in the new admin and via the API. |
| | : Though not technically item options, the following native item values can also be matched against: ''name'', ''parent_code'', ''url'', ''image'', ''sub_frequency''. |
| | ; Customer attribute restrictions |
| | : Coupons can be restricted so they only apply to products with specific options. For instance, if you sell books and want to have a coupon that discounts a specific all books from a specific author or imprint, you could add that here. |
| | ; Customer subscription restrictions |
| | : You can restrict coupons to only work for customers with an active subscription that contains specific products (based on the products' ''code''). The coupons will not apply a discount if the customer does not have a matching active subscription. |
| | ; Auto-apply |
| | : For the customer attribute and subscription restrictions, turning on "auto-apply" will (unsurprisingly) automatically apply the coupon when the customer authenticates on the checkout. This is useful for something like automatically applying a membership discount based on a customer's membership subscription, or for wholesalers via a customer attribute. |
| ; Combinable | ; Combinable |
| : If the "combinable" checkbox is left unchecked when creating a coupon it will not be added to the cart if another coupon is already in the cart. Similarly, if this coupon is added first, no other coupons will be able to be added to the cart. <wrap tip>Note: The discounts that coupons generate are based off the product subtotal,</wrap> and other coupons don't impact the generated discount. For instance, if you have a $100 transaction with both a $20 and a 10% off coupon, the order total will be $70 (and not $72, as would be the case if the % discount calculated //after// the $-discount. | : If the "combinable" checkbox is left unchecked when creating a coupon it will not be added to the cart if another coupon is already in the cart. Similarly, if this coupon is added first, no other coupons will be able to be added to the cart. <wrap tip>Note: The discounts that coupons generate are based off the product subtotal,</wrap> and other coupons don't impact the generated discount. For instance, if you have a $100 transaction with both a $20 and a 10% off coupon, the order total will be $70 (and not $72, as would be the case if the % discount calculated //after// the $-discount. |
| ; Apply to Categories | ; Apply to Categories |
| : Similar to the category quantity discounts, but can be applied to multiple or all categories. So if a coupon code only applies to the T-Shirt category and there are no T-Shirts in the cart, no discount will be applied. | : Similar to the category quantity discounts, but can be applied to multiple or all categories. So if a coupon code only applies to the T-Shirt category and there are no T-Shirts in the cart, no discount will be applied. |
| ; Restrict Usage by Product Code | |
| : If you want to limit which products can use this coupon, you can enter a comma separated listed of product codes or partial product codes using ''*'' as a wild card at the beginning or end of the value. So ''abc123'', ''fun_*'', ''*-small'' would match ''abc123'', ''fun_'' and ''fun_times'', and ''example-small''. It wouldn't match ''abc12'', ''abc1234'', ''fun'', or ''good-smalls''. If a code starts with ''-'' it will be considered as a blacklist instead, matching everything except products that match that code. For example ''-*-small'' would match every product that does not have a code that ends in ''-small''. Whitelists and blacklists can also be combined, ''foo*, -foobar'' would match all products that begin with ''foo'' except any products with a code of ''foobar''. Currently restricted to a maximum length of 5000 characters. | |
| ; # of Uses (Total) | ; # of Uses (Total) |
| : If you want to limit the number of uses this coupon as a whole can be used, enter a number here. If, for example, only the first 50 customers can use the coupon, enter 50 here. This relates to coupon variants and the number of uses per code (below). If you have 1 coupon code and 10 uses, the coupon will not be able to be used after 10 successful transactions. If you have 1 coupon with 100 variants but only 50 uses, only the first 50 uses will be allowed, regardless of the number of uses per code. | : If you want to limit the number of uses this coupon as a whole can be used, enter a number here. If, for example, only the first 50 customers can use the coupon, enter 50 here. This relates to coupon variants and the number of uses per code (below). If you have 1 coupon code and 10 uses, the coupon will not be able to be used after 10 successful transactions. If you have 1 coupon with 100 variants but only 50 uses, only the first 50 uses will be allowed, regardless of the number of uses per code. |
| For the three options that limit a coupon based on usage (either in total, or by code or customer), a coupon is only considered used if it applies an actual discount on the transaction. This means for subscriptions that have a future start date, making their initial transaction $0, that won't count towards the usage for a coupon. | For the three options that limit a coupon based on usage (either in total, or by code or customer), a coupon is only considered used if it applies an actual discount on the transaction. This means for subscriptions that have a future start date, making their initial transaction $0, that won't count towards the usage for a coupon. |
| </WRAP> | </WRAP> |
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| | <WRAP center round info 90%> |
| | **Selling subscriptions with the PayPal Express Checkout (Legacy) integration?** Limitations on changes that are possible to subscriptions managed by PayPal mean that coupons that only apply for a certain number of uses (either by dates or number of uses for the coupon, code or customer) won't behave as expected for legacy PayPal subscriptions. While the coupon will be removed within Foxy, the customer will continue to be charged the discounted amount by PayPal as they were from their first charge. We don't recommend utilising limited usage coupons with PayPal Express Checkout (Legacy) based subscriptions. |
| | </WRAP> |
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| | ===== Tax-Inclusive Pricing with Coupons & Discounts ===== |
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| | Coupons and discounts get a little trickier, and how you want coupons to work in the context of [[./taxes|tax-inclusive pricing]] isn't as obvious or globally agreed-upon as you might hope. (Please read the docs on that page first, if you haven't, as it has important context for this section of our documentation.) In particular, percentage-based discounts are generally "easy", but set-amount discounts may require a few minutes to understand. |
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| | This is easiest to communicate by way of example. Assume an $100 (tax-exclusive) product ($110 tax-inclusive price), a 10% tax (inclusive), and a $15 coupon. Take a look at this table, and note the <wrap tip>tips</wrap> and <wrap important>warning</wrap>: |
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| | ^ **Scenario** ^ **#1** ^ **#2** ^ **#3** ^ **#4** ^ **#5** ^ |
| | | **Template Set** | Tax-Exclusive | Tax-Exclusive | Tax-Inclusive | Tax-Inclusive | Tax-Inclusive | |
| | | **Item Price (displayed)** | 100.00€ | 100.00€ | 110.00€ | 110.00€ | 110.00€ | |
| | | **Item Price (actual)** | 100.00€ | 100.00€ | 100.00€ | 100.00€ | 100.00€ | |
| | | | | | | | | |
| | | **Coupon's ''is_taxable''** | false | true | false | false | true | |
| | | **Coupon's ''inclusive_tax_rate''** | 0 | 0 | <wrap tip>0</wrap> | <wrap tip>0.10</wrap> | 0 | |
| | | **Coupon Discount (actual)** | 15.00€ | 15.00€ | 15.00€ | 15.00€ | 15.00€ | |
| | | **Coupon Discount (displayed)** | 15.00€ | 15.00€ | 15.00€ | <wrap tip>13.64€</wrap> | 15.00€ | |
| | | | | | | | | |
| | | **Item Price, post coupon (not displayed)** | 85.00€ | 85.00€ | 95.00€ | 95.00€ | 95.00€ | |
| | | **Item Price, post coupon (actual)** | 85.00€ | 85.00€ | 85.00€ | 86.36€ | 85.00€ | |
| | | | | | | | | |
| | | **Tax** | 8.50€ | 10.00€ | 8.50€ | <wrap tip>8.64€</wrap> | 10.00€ | |
| | | | | | | | | |
| | | **Order Total** | 93.50€ | 95.00€ | <wrap important>93.50€</wrap> | 95.00€ | 95.00€ | |
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| | The three settings to note are: |
| | - The template set's tax inclusive setting. |
| | - The coupon's "taxable" setting. In some industries or situations, a discount might be "after tax". For instance, say you want to offer customers 100% off, but you still need to collect tax for the full sale amount. Set the coupon to taxable and the tax will be applied //before// the coupon's discount is applied. |
| | - The coupon's "inclusive tax rate" value. This gets a little more complicated, but if you compare scenario #3 and #4 above, you can see the impact. Setting a coupon's ''inclusive_tax_rate'' will decrease the //applied// (but not //displayed//) discount by that inclusive tax percentage. So a 15€ coupon becomes ''15 / 1.1 = 13.64''. The end result is a 15€ "tax-inclusive" discount, as you can see in the Order Total row. |
| | * <wrap tip>This is only important for "discount by an amount" coupons, not for "discount by a percentage" coupons, as %-based coupons will result in the correct order total regardless tax-inclusive or tax-exclusive settings. |
| | * Scenario #3 shows what would happen without an inclusive tax rate. (It behaves identically to scenario #1, which is tax-exclusive.) |
| | * The inclusive tax rate should be the default tax rate for the customers who'll use the coupon. This ensures your coupon is always for the expected amount, even if a customer's tax rate is different. This also prevents tax-exempt customers from receiving a higher-than-desired discount. |
| | * The inclusive tax rate functionality behaves identicaly regardless the tax-inclusive or taxable settings, but it's generally only useful in the tax-inclusive scenarios. |
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| | <WRAP round tip>**We'd love to hear from you.** Please [[https://foxy.io/contact|send us a quick note]] if you have a requirement with taxes and coupons that's not covered here, along with your country and industry.</WRAP> |
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| | <WRAP round important>**This topic can be complicated.** One of our team (in Paris) went through their receipts and pulled 3 of their orders from non-Foxy merchants, and we found each of their transactions mapped to scenarios 3, 4, and 5. If you're unsure which of the above approaches make sense to you, please contact your tax professional for what will surely be an exhilarating conversation. :)</WRAP> |
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| ===== Notes ===== | ===== Notes ===== |
