Expert Answer • 2 min read

How do I identify which products sell best with discounts?

As an e-commerce manager, I'm struggling to understand which products in my store perform best when discounted. I want to make strategic decisions about promotions that maximize revenue and clear inventory without unnecessarily reducing margins. I need a systematic approach to analyze product performance during sales, identify high-potential discount candidates, and develop a data-driven promotional strategy that boosts overall store performance.
Muhammed Tüfekyapan

Muhammed Tüfekyapan

Founder & CEO

2 min

TL;DR - Quick Answer

Analyze product sales data by comparing pre-discount and post-discount performance, tracking metrics like conversion rate, total revenue, profit margin, and sell-through rate. Use advanced analytics to identify products with high discount elasticity and strategic inventory needs.

Complete Expert Analysis

Strategic Product Discount Performance Analysis

Identifying top-performing discountable products requires a multi-dimensional analytical approach that goes beyond simple sales volume.

Key Performance Metrics for Discount Analysis

MetricCalculationSignificance
Discount Conversion Lift(Discounted Conversion Rate / Standard Conversion Rate) - 1Measures conversion rate improvement during discount
Margin Impact Ratio(Discounted Revenue - Discount Cost) / Original RevenueEvaluates net financial benefit of discount
Inventory VelocityUnits Sold During Discount / Average Monthly SalesIndicates discount's effectiveness in moving inventory

Systematic Discount Performance Evaluation Process

1. Data Collection Phase

  • Gather 6-12 months of historical sales data
  • Segment products by category, price point, and historical performance
  • Track pre-discount and post-discount metrics

2. Performance Scoring Framework

  • Assign weighted scores across multiple dimensions
  • Consider conversion lift, margin preservation, and inventory movement
  • Develop a composite discount performance index

Discount Performance Scoring Matrix

High Potential Products

  • Conversion Lift > 50%
  • Margin Impact > 0.8
  • Inventory Velocity > 2x

Moderate Potential Products

  • Conversion Lift 20-50%
  • Margin Impact 0.5-0.8
  • Inventory Velocity 1-2x

Low Potential Products

  • Conversion Lift < 20%
  • Margin Impact < 0.5
  • Inventory Velocity < 1x

Advanced Discount Strategy Recommendations

Strategic Discount Targeting

  • Focus on high and moderate potential products
  • Create tiered discount strategies
  • Rotate discount candidates quarterly

Risk Mitigation

  • Set maximum discount thresholds
  • Monitor margin erosion
  • Implement dynamic pricing controls

Automate Discount Performance Tracking with Growth Suite

Growth Suite provides comprehensive behavioral tracking and advanced analytics that automatically identify your most discount-responsive products. By monitoring visitor interactions, purchase intent, and real-time conversion metrics, the platform generates intelligent recommendations for targeted, personalized discount strategies. Its dynamic offer generation ensures you're presenting the right discount to the right visitor at the right time, maximizing both conversion rates and profit margins.

New Strategy For Your Shopify Store

Turn This Knowledge Into Real Revenue Growth

Growth Suite transforms your Shopify store with AI-powered conversion optimization. See results in minutes with intelligent behavior tracking and personalized offers.

+32% Conversion Rate

Average increase after 30 days

60-Second Setup

No coding or technical skills needed

14-Day Free Trial

No credit card required to start

GDPR Compliant
24/7 Support
Cancel Anytime
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

Continue Learning

Discover more expert insights to accelerate your e-commerce growth