Setting Up Discounts for Your Global Markets

Configure specific discounts for your international markets. When selling in local currencies, note that currency conversion may impact the actual discount amount your customers receive. This article provides guidance on setting up discounts for international markets and outlines important considerations regarding currency conversion impacts.

Creating Discounts for Specific Markets

The process of creating discounts for global markets is identical to creating standard discount codes. However, you'll need to assign the specific sales markets for your discount campaign in the Markets section of the settings page. For detailed instructions on creating discounts, refer to the "Guide to Creating Discount Campaigns" article.

Fixed-Amount Discounts and Currency Conversions

Automatic Currency Conversion

Fixed-amount discounts are configured based on your store's currency. If the customer's local currency differs from your store's currency, the discount amount will be converted to the customer's local currency during checkout. As a result, the discount amount fluctuates with the currency exchange rate.

For example, a discount of $2 may be converted to €1.74 on one day and to €1.76 the next day. This variability makes it challenging to maintain a consistent discount amount across multiple local currencies.

Manual Exchange Rate Setup

To address this, you can configure a manual exchange rate. By doing so, the discount will be converted to the customer's local currency based on your specified rate, rather than the current market rate. 

For example, if a $5 discount is applied to a Canadian dollar order and your manual exchange rate is 1.25, the discount will be converted to C$6.25.

Percentage-Based Discounts and Currency Conversions

Percentage-based discounts (e.g., 10% off on a specific order) are independent of currency. They are calculated directly based on the product's price, regardless of the customer's local currency.

For example, if you apply a 10% discount to a T-shirt, the price will be reduced by 10% during checkout, regardless of whether the customer pays in USD, EUR, or another currency. The discount is calculated based on the product's original price and the specified percentage.