When it comes to ecommerce, applying discount strategies correctly is a big deal because it could make the difference between increasing your conversion rate or diminishing your brands’ value.
So, how can you avoid setting up the wrong discount strategy?
Rootstack offers you a quick guide to set up discount strategies in Magento 2 for your ecommerce platform. If you learn how to set it up correctly, you will automatically attract more customers, boost your sales, and lead to better conversion rates. Are you interested now?
Well then, let's begin with the basics. To start creating discount rules for your catalog page, go to the left sidebar of your Admin Panel. In the Promotions section, you can choose which type of rule you want to start setting up.
Magento 2 Promotions Feature provides its users with different pricing rules, such as Catalog Price Rules and Cart Price Rules.
Catalog Price Rules
In this section, you can define, create, or edit your discount strategies’ conditions. Route: Marketing > Promotions > Catalog Price Rules.
1. Add New Rules: To create new conditions, press the button Add New Rules. The first section of this Panel will show you Rules Information.
Add New Rule
Rule Information Once you enter this section you can define the rules general descriptions. Here, we will begin the setup of your discount strategy by choosing stores and customers that will benefit from the discount.
The Rule Information section includes expandable options to add Conditions and Actions.
When creating your Rule Name and filling the Description field, try to use the content for internal reference. For example, 20% Discount All Shoes.
After the rule is created, update the status by changing it to Active or Inactive. If you don’t adjust it the status is Active by Default.
If we want to apply your Discount Strategy to a certain group of customers, choose the Customer Groups to which this rule will apply. (Route > Customers > Customers Group).
When your discount strategy is Active, you can set dates in the calendar and prioritize the rules (the highest is 1). If you leave these fields empty the rule will be enabled once the discount and price are saved.
Condition - 1° Panel If you want to expand your conditions sections click the Add button and choose the necessary conditions from the expandable list.
To choose an attribute press the three dots sign (...) and then choose an option. (The word IS is also clickable).
Conditions - 2° Panel
In the Action section, you can choose the type of discount and set the pricing. There are 4 types of pricing structures for discounts.
Apply as a percentage of original > Subtract % of the regular price. Example: Original Price $20 Discount Amount -10 Final Price $18
Apply as fixed amount > Subtract fixed amount from the regular price. Original Price $20 Discount Amount -10 Final Price $10
Adjust final price to this percentage > Adjust the final price by the percentage of the regular price. Original Price $20 Discount Amount 10% Final Price $2*
Adjust final price to discount value > Set the final price to a fixed, discounted amount. Original Price - Discount Amount 20 Final Price $20.00
The discount will be applied to all the products that meet the selected conditions.
Once you created your new Rules press the button save and see the results.
Save button Last Result
Difference Between Regular Price and Final Price
-Regular prices refer to the base products without any advanced pricing or promotional discounts.
-Final prices refer to the discount price that appears in the shopping cart after you decide to buy the product.
Cart Price Rules
In this section, you can define, create or edit rules that apply to the discounts for the products in the shipping carts. Route: Marketing > Promotions > Cart Price Rules.
Cart price Rules are perfect if your discount strategy is based on trying to promote your products by seasons or valid code coupons.
Cart Price Example
To start the setup press Cart Price Rules:
1. Add new Rule: The first panels from this feature are almost the same as the previous one. There are only a few differences:
Add New Rule
2. Coupons Setup:
With this feature, you can create coupon codes. First Select Specific Coupons in the Coupons section. Once you are done, the Coupons Code will appear. Here you can add the coupons needed to obtain the discount. In the field below you may also specify the number of uses per coupon and per customer. Coupons - 1° Panel
In the Manage Coupons Code section, you can enter the general description of your code coupons. Such as quantity of coupons, limits of signs in the created codes, code’s format, prefix, suffix, and number of signs separated by a dash.
Coupons - 2° Panel
Finally, press the button Generate. Once generated, you will be able to see the coupons on your panel.
3. Differences in the Action section Setup
Here you will find a Buy X Free X GET section. With this discount strategy, your customers can get a number of items for free if they buy a quantity of product. To set up this promotion you need to specify the following: number of products the customer will get for free, limit of discount when the conditions are met, number of products the customer needs to buy to get the discount.
Action - Cart Prices Rules 4. New Label Section:
In this section, you can specify the name of the discount that will appear in the cart once a customer purchases the product.
Label - Panel
If you want to learn more about Magento's setup Discount Strategies, stay tuned for our Magento 101 articles, you will find the answers that you need!
At Rootstack, we have years of experience working with Magento and helping our clients develop amazing ecommerce solutions. Contact us today and let's get started!