Discounts | Understanding Discount Stacking and Calculation Rules

Setting up thoughtful discount stacking rules helps create flexible promotional offers that encourage purchases while preventing excessive discounts. This guide explains the types of discounts, how they interact, and how they are calculated during checkout.

Discount types

Discounts are grouped based on what part of the order they affect. Understanding each type helps you apply them more effectively across your campaigns.

• Product discounts: Applied to individual items. Examples include single product price reductions, buy-more-save-more offers, and time-limited promotions.
• Order discounts: Applied to the total value of the cart. Examples include “$10 off when you spend $100” or storewide percentage discounts.
• Shipping discounts: Applied to shipping costs. Examples include free shipping codes or automatic free shipping above a certain order value.

Stacking rule settings

For multiple discounts to work together, stacking permissions must be enabled correctly. This section explains how to set up same-type and cross-type stacking behavior.

• Same-type stacking: All discounts of the same type must have stacking enabled.
  • Example: If two product discounts should stack, both must allow “product discount stacking.”
• Different-type stacking: Discounts of different types must be configured to allow cross-type stacking.
  • Example: To stack a product discount with an order discount, the product discount must allow “order discount stacking,” and the order discount must allow “product discount stacking.”

Discount stacking rules

The table below shows which discount types can be used together, how they behave, and what customers will experience at checkout.

How the system chooses discounts

The system automatically applies the most favorable combination of discounts for the customer.

• The system automatically applies the combination that offers the largest discount.
• Shipping discounts are evaluated last, after the best product and order discounts have been determined.

Allowed discount combinations

The following examples show how different types of discounts interact in real scenarios. Each table breaks down the original price, discounts applied, and final totals.

Example 1: Multiple product discounts + shipping discount

This example shows how two product-level discounts and a shipping discount combine on a single order.

Discount setup:

• Product A: 10% off (limited-time offer)
• Products B & C: $10 off when buying any two
• Free shipping on orders over $100

Example 2: Multiple product discounts + multiple order discounts

This example includes product discounts and two stacked order-level discounts, showing how discount values are distributed across eligible items.

Discount setup:

• Product A: 10% off
• Products B & C: $10 off when buying any two
• Discount code: 10% off orders over $100
• Auto discount: $10 off when buying any 2 products

Example 3: Multiple order discounts + shipping discount

Here, only order-level and shipping discounts are used. This demonstrates how discounts are spread across items and how free shipping is added at checkout.

Discount setup:

• Discount code: 10% off orders over $100
• Auto discount: $10 off when buying any 2 products
• Free shipping on orders over $100

Example 4: Product + order + shipping discounts

This example combines all three types of discounts at once: product-level, order-level, and shipping-level. It represents the most complex stacking scenario.

Discount setup:

• Product A: 10% off
• Products B & C: $10 off when buying 2
• Discount code: 10% off orders over $100
• Auto discount: $10 off any 2 products
• Free shipping on orders over $100

Important notes

Keep the following rules in mind when setting up stacking conditions:

• Product discount priority: When multiple product discounts apply, only the best one will be used.
• Order discount stacking: Multiple order discounts can apply together if allowed.
• Shipping discount rule: Only one shipping discount can apply to an order.
• Promo code requirement: If a discount requires a code, it won’t be applied unless entered during checkout.
• Auto discount limit: A maximum of 25 automatic discount campaigns can be active at the same time.
• Compatibility with other offers: Coupons, gift-with-purchase, and bundle promotions can be stacked with the best available discount by default.

What customers will see

Your customers will clearly see all relevant pricing information in their cart and at checkout.

• In the cart:
  • Product lines show both the regular (strikethrough) price and the promotional price.
  • Discounts are clearly labeled to show the savings applied.
• At checkout:
  • A full breakdown of all discounts is displayed.
  • Shipping discounts are shown as a separate line item.
• Promo code behavior: If entering a promo code results in a lower total discount, the system won’t apply it. It always chooses the option that gives the most savings.