Expert Answer • 2 min read

How do I analyze which products perform best with discounts?

As an e-commerce manager, I'm struggling to understand which products in my store respond best to discounts. I want to make data-driven decisions about promotional strategies, avoid unnecessary margin reduction, and identify which items drive the most revenue when discounted. My current approach feels like guesswork, and I need a systematic method to analyze product performance during sales and promotions to optimize my discount strategy effectively.
Muhammed Tüfekyapan

Muhammed Tüfekyapan

Founder & CEO

2 min

TL;DR - Quick Answer

Identify top discount-performing products by comparing discount conversion rate uplift (conversion with discount vs. without) not just redemption volume. High conversion uplift + maintained AOV indicates genuine price-sensitive demand; high redemption but low AOV indicates customers are minimizing purchase to use the code.

Complete Expert Analysis

Analyzing Which Products Perform Best with Discounts

Not all products benefit equally from discounting. Some convert dramatically better with a small discount; others see minimal uplift regardless of offer depth. Product-level analysis reveals where discounting actually earns its cost.

Key Product-Level Discount Metrics

MetricFormulaWhat It Shows
Discount conversion upliftConversion rate with discount / Baseline conversion rateHow much the discount actually drives this product's sales
Discount margin per unit(Price x (1 - discount %)) - COGSWhether product remains profitable at discount price
Attach rate% of discount orders that include this productWhether product drives full cart or single-item purchases
Repeat purchase after discount% of discount buyers of this product who repurchaseWhether discount trial leads to loyal product fans

Product Category Performance Patterns

Product TypeTypical Discount ResponseImplication
High-consideration itemsLarge uplift from small discount (5-10%)Discount resolves hesitation, not price concern
Commodity/consumablesModerate uplift, requires 15-20% minimumPrice-competitive category needs meaningful savings
Premium/luxury itemsMinimal uplift; discount may reduce appealDiscount signals value problem, not opportunity
New launchesHigh trial conversion with even small discountRisk removal for unknown products drives uptake

How to Identify Top Performers

  1. Run the same discount on 5-10 products for 2 weeks
  2. Record pre-campaign conversion rate for each product (baseline)
  3. Record conversion rate during campaign for each product
  4. Calculate uplift: campaign rate / baseline rate
  5. Rank by uplift - highest uplift products are your best discount candidates

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Muhammed Tüfekyapan

Muhammed Tüfekyapan

Founder & CEO of Growth Suite

With over a decade of experience in e-commerce optimization, Muhammed founded Growth Suite to help Shopify merchants maximize their conversion rates through intelligent behavior tracking and personalized offers. His expertise in growth strategies and conversion optimization has helped thousands of online stores increase their revenue.

E-commerce Expert Shopify Partner Growth Strategist

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