Shopify Sales by Discount Code Report

Analyze discount performance in Shopify with the Sales by Discount Code Report. Track campaigns, boost profits, and optimize your discount strategy

Running discounts is one of the most powerful tools for Shopify merchants. Whether you’re launching a new product, clearing seasonal inventory, or rewarding loyal customers, discounts can boost sales and keep customers coming back.

But there’s a fine line between a successful discount and one that erodes your profits. Offer too little, and customers ignore it. Offer too much, and your margins shrink. Worse yet, without proper reporting, you may never know which discounts truly help your business and which ones hurt.

That’s where the Shopify Sales by Discount Code Report comes in — giving merchants the clarity they need to run promotions profitably.

Why Track Discount Code Performance?

Discount codes are more than just marketing gimmicks — they’re strategic levers for your business. You might use them to:

• Move slow-moving inventory
  
  
• Generate buzz around new product launches
  
  
• Reward loyal customers
  
  
• Re-engage inactive shoppers
  
  
• Win sales during competitive seasons
  
  

However, running discounts without data is risky. Many merchants end up guessing which promotions drive real revenue. The Sales by Discount Code Report helps eliminate that guesswork.

Challenges with Shopify’s Native Discount Reports

Shopify’s default reports provide a basic view of discounts, but they fall short in several critical areas. Merchants often struggle because they:

• Can’t see detailed views of discount performance across all metrics
  
  
• Lack line-item level visibility into how discounts affect individual products
  
  
• Have no clear record of when discounts were created, who created them, or start/expiry dates
  
  
• Can’t distinguish manual discounts from automatic discounts in their reports
  
  
• Must piece together discount insights manually by checking different tabs and sections in Shopify
  
  

For store owners and marketers, these limitations make it difficult to measure discount success, plan future promotions, and protect profit margins.

How the Sales by Discount Code Report Helps

This is where Report Pundit changes the game. The Sales by Discount Code Report goes far beyond Shopify’s built-in tools by delivering:

• Comprehensive data views for each discount code
  
  
• Clear separation between automatic and manual discounts
  
  
• Insights into which discount codes drive the most sales
  
  
• Financial clarity by factoring in refunds, taxes, and shipping costs tied to discounted sales
  
  
• The ability to cross-analyze discount performance with customer segments, helping merchants personalize future offers
  
  

With this level of reporting, merchants can make strategic decisions that increase revenue without sacrificing margins.

Standard Data Fields in the Report

The Sales by Discount Code Report typically includes:

• Discount Code: The code customers apply during checkout. This includes codes entered by staff for POS orders.
  
  
• Order Count: The number of orders placed using each discount code within a specific time period.
  
  
• Gross Sales: Revenue generated before applying discounts and refunds, calculated as product price × order quantity.
  
  
• Discounts: Total dollar amount reduced from sales due to the discount code.
  
  
• Refunds: Total amount refunded for orders where the discount code was used.
  
  
• Net Sales: Gross sales minus discounts and refunds, representing the true revenue from discount-driven orders.
  
  
• Tax: Total tax collected for orders associated with a specific discount code.
  
  
• Shipping: Shipping fees collected for orders placed with the discount code.
  
  
• Total Sales: The complete financial outcome from each discount code, including taxes, shipping, discounts, and refunds.
  
  

This level of detail allows merchants to evaluate each discount campaign’s real impact on profitability.

Understanding Discount Types in Shopify

Shopify supports two main discount types:

Fixed Amount Discounts
These offer a set dollar value off the total order or specific products.
Example: $20 off orders above $100.

Percentage Discounts
These apply a percentage reduction to the total purchase amount.
Example: A 20% discount on a $150 order results in $30 off.

The Sales by Discount Code Report helps merchants determine which type of discount works best for their products and audience.

Benefits of Using the Discount Report

Analyzing your Sales by Discount Code Report unlocks valuable benefits:

• Assess Discount Effectiveness: Understand how different discount rates influence sales volume and profit margins.
  
  
• Improve Offer Strategies: Identify whether percentage-based or flat-rate discounts perform better.
  
  
• Spot Best-Selling Discounted Products: Discover which discounted items generate the highest revenue.
  
  
• Clear Inventory Strategically: Use discounts to move surplus stock without harming profits.
  
  
• Plan Future Promotions: Leverage historical data to perfect seasonal campaigns.
  
  
• Ensure Accurate Tax Reporting: Maintain compliance even when running promotions.
  
  
• Monitor Refund Trends: Learn if specific discounts correlate with higher return rates.
  
  

With these insights, you’re equipped to run smarter, more profitable discount campaigns.

Case Study: Real-Life Impact of Custom Discount Reporting

Consider one merchant’s experience:

“A Shopify merchant needed to export invoiced products line by line into a CSV file, including original net prices, discounts applied per product, net purchase prices after discounts, and a recalculated VAT always set at 20%, regardless of the original VAT rate. They also wanted to proportionally allocate global discounts across individual products. Report Pundit solved the challenge by creating a custom report with calculated fields for VAT, discount distribution, and gross totals per product. The team built and shared the report, ensuring it matched the merchant’s precise accounting needs and data structure.”

Highlights:

• Implemented custom VAT calculations fixed at 20%
  
  
• Built detailed product-level reports showing discounts and gross totals
  
  
• Distributed global discounts proportionally across products
  
  
• Enabled easy CSV export for accounting workflows
  
  

This is the power of custom discount reporting, transforming scattered discount data into actionable insights that drive smarter business decisions.

Interested in exploring related reports? Check out our guide on the Shopify Sales by Customer Report for insights into customer-specific sales trends.

Frequently Asked Questions (FAQs)

1. Can I see which customers used specific discount codes?
Yes! Custom reports can connect discount codes to customer details, enabling targeted marketing and loyalty strategies.

2. Can I track discount code usage by sales channel?
Absolutely. You can analyze whether discounts perform better online, in your POS store, or via specific sales channels.

3. Can I separate manual and automatic discounts in reports?
Yes. Tools like Report Pundit allow you to distinguish between manual discounts and automatic promotions for precise analysis.