Select the best approach

In this module, we explored three scenarios with increased complexity and demonstrated how to achieve each using the Free above option on Shipping Methods and Cart Discounts targeted at shipping costs.

We can make the following observations based on the three scenarios:

• Setup:
  • Free above is generally easier to set up, requiring only a threshold value on the Shipping Method.
  • Cart Discounts require more complex predicate setups and careful Rank (sortOrder) and Stacking Mode planning.
• Management:
  • Free above is easier to manage as it is tied to Shipping Methods, which remain separate from the Cart Discount list.
  • Cart Discounts can become complex as the discount list grows, reaching the soft limit of 100 active discounts.
• Application:
  • Free above is predictable, always applying based on the total value of the Cart after discounts.
  • Cart Discounts require strategic planning of Rank (sortOrder) and Stacking Modes to avoid conflicts and unintended results.

Additional factors to consider

Although defining the Free above value on the Shipping Methods has its advantages, there are cases where using Free above is not an option:

• When using tiered shipping rates, for example, to calculate the shipping cost based on cart weight or shipping distance, Cart Discounts must be used.
• Free above values are used with fixed Shipping Method pricing only.

• Free above only enables free shipping at a specific threshold.
• For cases where a partial discount on shipping is offered (for example: 50% off shipping rate), or a fixed value shipping discount (for example: 50 USD off shipping rates), Cart Discounts must be used.

• Free above automatically adjusts the shipping cost to 0 when the threshold is reached and can’t be applied as a Discount Code.
• Cart Discounts that target shipping costs can be applied using Discount Codes.

In these cases, the Free above value on the Shipping Methods is not a viable option and Cart Discounts must be used to implement your shipping discount strategy.

Presentation on Cart and Order objectives

One major difference between using Free above on Shipping Methods and Cart Discounts is how they are reflected on the Cart and Order objects:

• Adjusts the shipping cost to 0 without appearing as a separate discount.
• The original shipping cost is not presented.

• Displays the original shipping price, discounted price, and the specific discount applied.
• This breakdown data is beneficial for integration with external systems like Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), and Business Intelligence (BI) tools to support requirements such as:
  • Discount analysis: analyzing discounts at the Line Item, Cart, and shipping cost levels provides valuable insights into promotional effectiveness and customer behavior.
  • Promotional effectiveness evaluation: tracking the usage and impact of different discount types to determine which promotions drive the most sales and revenue.
  • Assess discount impact on margins: assessing how discounts affect profit margins helps optimize pricing and promotional strategies.
  • Analyze customer discount sensitivity: analyzing how different customer segments respond to various discount types helps tailor promotions.

Strategic considerations

Switching from using Free above on Shipping Methods to Cart Discounts at a later stage is complex and requires careful planning and execution. We recommend that you:

• Evaluate your mid- and long-term shipping pricing and discount strategies.
• Anticipate scalability and integration needs early.
• Plan adequately to minimize administrative burdens.

Choosing the right implementation approach during the planning phase of your project can save significant effort and costs in later stages.

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