Voucher Types & Discount Options.
Understanding percentage off, fixed amount, and free product vouchers.
Every voucher needs a discount type. This determines how customers benefit and how the discount is calculated at checkout. Choose the type that best fits your campaign goals.
Available Discount Types
| Type | What It Does | Best For |
|---|---|---|
| Percentage Off | X% off the order | General promotions, scaling discounts |
| Fixed Amount | $X off the order | Minimum purchase incentives |
| Free Product | Specific item free | Product trials, add-ons |
Percentage Off Discount
Take a percentage off the customer's order total.
How It Works
Order Total: $80.00
Voucher: 20% off
Discount: $16.00
Customer Pays: $64.00
Configuration
Discount Value Enter the percentage (e.g., 20 for 20% off).
Maximum Discount Cap (optional) Limit the maximum discount amount. Protects margins on large orders.
Voucher: 20% off, max $50
Order: $400.00
Calculated: $80.00 (20%)
Capped: $50.00
Customer Pays: $350.00
When to Use
- General promotions — "Summer Sale: 20% off everything"
- Member rewards — "Gold members get 15% off"
- Flash sales — "Today only: 25% off"
Considerations
Pros:
- Scales with order size (bigger orders = bigger savings)
- Easy for customers to understand
- Feels like a better deal on larger purchases
Cons:
- Can get expensive on very large orders (use cap)
- Smaller orders = smaller discounts (may not feel significant)
Examples
| Voucher | Order Total | Discount | Final |
|---|---|---|---|
| 10% off | $30 | $3.00 | $27.00 |
| 20% off | $50 | $10.00 | $40.00 |
| 25% off (max $20) | $100 | $20.00 | $80.00 |
| 25% off (max $20) | $50 | $12.50 | $37.50 |
Fixed Amount Discount
Subtract a fixed dollar amount from the order total.
How It Works
Order Total: $65.00
Voucher: $15 off
Discount: $15.00
Customer Pays: $50.00
Configuration
Discount Value Enter the amount in the smallest currency unit (cents for USD).
Example: For $10 off, enter 1000 (1000 cents = $10).
Minimum Purchase (recommended) Set a threshold to ensure profitability.
Voucher: $10 off orders over $40
Order: $55.00 ✓ (meets minimum)
Discount: $10.00
Customer Pays: $45.00
Order: $35.00 ✗ (below minimum)
Discount: $0.00 (voucher doesn't apply)
When to Use
- Minimum purchase incentives — "$10 off when you spend $50"
- Clear value propositions — "$25 off your next visit"
- Budget-controlled promotions — Fixed cost per redemption
Considerations
Pros:
- Predictable cost per redemption
- Clear value proposition for customers
- Works well with minimum purchase requirements
Cons:
- Less exciting on large orders (20% of $200 = $40, but $10 off = $10)
- May not incentivize larger baskets
Examples
| Voucher | Minimum | Order Total | Discount | Final |
|---|---|---|---|---|
| $5 off | None | $25 | $5.00 | $20.00 |
| $10 off | $30 | $45 | $10.00 | $35.00 |
| $10 off | $30 | $25 | $0.00 | $25.00 |
| $25 off | $75 | $100 | $25.00 | $75.00 |
Free Product Discount
Give a specific product free with purchase.
How It Works
Order: Burger + Fries
Voucher: Free medium drink
Result: Burger + Fries + FREE Medium Drink
The product is added to the order at no charge. Staff selects the free item during redemption.
Configuration
Free Product Name Enter what the customer receives. This appears on the voucher.
Examples:
- "Free Medium Coffee"
- "Free Appetizer"
- "Free Dessert of Choice"
- "Free Regular Fries"
💡 Tip: Be specific enough to prevent confusion but flexible enough for staff to apply.
Minimum Purchase (optional) Require a minimum spend to get the free item.
Voucher: Free dessert with $20 purchase
Order: $25.00 ✓
Result: Order + free dessert
When to Use
- Product sampling — "Try our new latte free"
- Add-on promotions — "Free fries with any burger"
- Surprise & delight — "Free birthday dessert"
Considerations
Pros:
- Introduces customers to new products
- Creates memorable experiences
- Cost is the item's cost price (often minimal)
Cons:
- No monetary discount shown (some customers prefer $X off)
- Staff must know how to apply
- Product availability required
Examples
| Voucher | Minimum | Result |
|---|---|---|
| Free coffee | None | Any purchase includes free coffee |
| Free appetizer | $30 | $30+ orders include free appetizer |
| Free dessert | $25 | $25+ orders include free dessert |
Choosing the Right Type
Use Percentage Off When:
- Running general "sale" promotions
- Rewarding loyalty tiers with better discounts
- You want discounts to scale with spending
- Marketing message is "X% off"
Use Fixed Amount When:
- You have specific cost budgets per voucher
- Driving minimum purchase thresholds
- Marketing message is "$X off"
- Want predictable redemption costs
Use Free Product When:
- Launching or promoting specific products
- Creating memorable experiences
- The free item has low cost but high perceived value
- Marketing message is "Free [product]"
Combined Strategies
Different discount types serve different goals in your marketing mix:
| Campaign Goal | Recommended Type |
|---|---|
| Clear inventory | Percentage off |
| Increase average order | Fixed amount with minimum |
| Product awareness | Free product |
| VIP rewards | Percentage off (higher %) |
| New customer acquisition | Fixed amount |
| Seasonal promotions | Percentage off |
| Birthday/milestone | Free product |
Impact on Analytics
All discount types track:
- Total discount given
- Redemption count
- Average discount per redemption
- Redemption by time period
This helps you compare which type performs best for your business.
Related Topics
- Creating Vouchers — Set up your voucher
- Advanced Targeting — Who can use the voucher
- Voucher Analytics — Measure performance