Using coupons in your subscription-based business can attract new customers, increase their loyalty, and drive sales. Use these coupons to offer discounts on your subscription plans. In addition, you have the option to generate special codes that your customers can apply to get a discount on their subscription.

With coupons and their codes, you have flexibility:

• Apply discounts to all invoices (note - invoices automatically generated by a subscription are records that detail the amounts owed to customers and track the status of payments from draft to finalization), a single invoice, or for a predefined period of time.
• Reduce the total amount of an invoice by a fixed amount or by a certain percentage.

Coupon

To facilitate customer savings and promote sales, coupons can be converted into discounts during the payment process.

These coupons can have different configurations such as being a fixed amount or a percentage off, having various durations like once, forever, or limited time, and even having usage limitations based on the number of redemptions or specific expiration dates.

Coupon properties

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Channel

This is an organizational unit in a payment or subscription system that connects an account to multiple shops for various types of transactions. It defines payment methods, environment settings, and rates, serving as a bridge between accounts and shops.

A single channel can host multiple shops, each specializing in a specific type of transaction like card payments, alternative payments, or subscriptions.

Name

In the dashboard, coupons are organized in a list, each identified by a specific name. This name serves as an internal label for easy reference and management, but is not visible to customers. Including a descriptive and meaningful name can streamline the process of managing various coupons.

For example, a coupon offering a discount on a customer’s first purchase could be named “First purchase” to quickly identify its purpose.

Discount

Discounts can be categorized into two main types: percentage and fixed amount discounts. Each type functions differently in how it reduces the invoice amount, and understanding these differences is crucial for effective coupon management.

• Percentage

This type of coupon reduces the invoice by a specific percentage. The discount amount is dynamically calculated based on the total value of the customer’s purchase.

Example: If you offer a 50% discount coupon and a customer applies it to a $200 invoice, the discount will be $100, reducing the invoice to $100.

For promotions such as “20% off on your first purchase,” if a customer opts for an online course costing $50, the coupon would grant them a $10 discount, which is 20% of $50.

• Fixed amount

Unlike percentage discounts, this coupon type subtracts a fixed amount from the invoice. These coupons are usually applicable only once per billing cycle.

Example: If a customer has a $50 fixed amount coupon and their total invoice is $100, the coupon would reduce the invoice to $50.

The fixed amount is set in the currency of your choice, like $25 USD. For instance, a coupon with a fixed amount of $25 would reduce the customer’s invoice by $25, regardless of the total amount.

As of now, there is no option to set a minimum purchase value to apply these discounts, but we are working on it.

Duration

• Once

With this setting, the coupon applies a discount only once and is not usable again after being redeemed. It’s particularly useful for promotions targeting new subscriptions or one-off purchases.

Example: If you offer a $10 once discount, the coupon will reduce the first invoice by $10. After that, the coupon becomes inactive for that subscription.

• Forever

Choosing this duration means the discount will apply continuously for as long as the subscription remains active. This can be an effective way to retain customers over an extended period.

Example: If you have a $5 ‘Forever’ discount on a $20 monthly subscription, the customer will always pay $15 as long as the subscription is active.

• Limited time

The number of billing cycles during which the coupon remains active can be specified. This setting is well-suited for seasonal promotions or limited-time offers.

Example: If you want to offer $5 off for three months of a subscription, you would set the Duration to ‘Limited time’. The discount will apply for the first three months, after which the subscription will revert to its original price.

It’s essential to choose the appropriate Duration type to align with your marketing objectives and customer engagement strategy.

Redemptions limit

The redemption limit sets the maximum number of times a coupon can be used. For example, a limit of 5 means the coupon expires after 5 redemptions. This limit counts redemptions across all customers.

The system tracks each coupon’s usage but does not currently support per-customer redemption limits.

Expires at

The expiration for a coupon can be set to a specific date and time. The coupon becomes active immediately and remains so until the chosen expiration time.

The time zone for the expiration period is determined in relation to the account.

Create coupon

Create coupons in the HUB:

• On the subscription tab, open the Products (new Hub) section
• Open Coupons page
• Click + Create coupon
• Provide the coupon information, including the coupon’s parameters
• Click Create coupon

Delete coupon

When it comes to deleting a coupon, there are certain limitations and considerations to keep in mind:

• No Redemptions
  The coupon can be freely deleted when it has not been redeemed by any customer.
• Irreversible action
  Once a coupon is deleted, it will be removed from the coupon listing and cannot be restored. This makes it unavailable for any future uses. Additionally, deleting a coupon also removes all its associated coupon codes.

It’s important to be certain about your decision before proceeding with the deletion, especially because this action is irreversible and may impact ongoing promotional strategies.

Archive coupon

If a coupon has been redeemed one or more times, the only option available is to archive it, rather than delete it.

• Visibility
  An archived coupon remains visible in the coupon listing for record-keeping purposes.
• Immutability
  Once archived, no further actions or modifications can be performed on the coupon. It becomes a read-only item in your system. Archiving a coupon also archives all its associated coupon codes.

Archiving allows you to retain a history of used coupons while preventing any further redemptions or modifications, thereby safeguarding the integrity of past transactions.

Coupon statuses

Coupon code

Coupon codes are alphanumeric strings designed for customer use at checkout to apply specified discounts. Created within an internal coupon management system, these codes are the customer-facing component that allows for the application of discounts as defined in the coupon’s settings.

Coupon code properties

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Code

The code is an alphanumeric string that serves as a unique identifier for the discount, which customers can enter during the checkout process. While the code should be memorable for easy customer recall, it’s essential to maintain a level of complexity to deter unauthorized use.

Example, instead of using a straightforward code like FIRST20 for a 20% first-time purchase discount, a more secure alternative could be F1RST20XyZ. This adds an extra layer of security while still being relatively easy for genuine customers to remember.

Redemption limit

The redemption limit for coupon codes defines the maximum number of times each individual code can be redeemed.

Example: If a coupon code has a limit of 3, it can be redeemed only three times.

Each coupon code’s limit cannot exceed the coupon’s total redemption limit, but multiple coupon codes can each have their own individual limits, based on your marketing strategy.

The system tracks the usage of each coupon code but, as of now, does not offer the option to set redemption limits per customer for each code.

Expiration date

Each coupon code can have its own expiration date and time, which cannot exceed the overall expiration date set for the parent coupon. Once set, the coupon code becomes active immediately and will expire at the specified date and time, in accordance with the account’s time zone.

Example: Each coupon code can have a distinct expiration date, provided it falls within the validity period of the parent coupon.

Create coupon code

Create coupon code in the HUB:

• In the HUB on the Coupon information page in Codes block, click the + Add code button
• A form will appear. In this form, enter the alphanumeric code you’d like customers to use for redeeming the coupon
  • Optionally, you can set a Redemption limit to control how many times this specific code can be used
  • Optionally, you can also set an Expires at date to specify when this code will no longer be valid
• Once you’ve filled in all the necessary fields, click the Add button to add the code to the coupon

Delete coupon code

If you need to delete a coupon code, be aware that certain limitations apply.

Coupon code statuses

Applying a discount

There are two primary ways to apply discounts to customer subscriptions: the predefined and the direct flow.

Predefined flow

In this method, you can add a coupon directly to a customer’s order. There’s no need for coupon codes; the discount is applied “behind the scenes.”

For information on how to apply the coupon to an order, consult the Guide
In this flow, the coupon ID is embedded and encrypted in the paymentIntent during payment initialization. Once the form is initialized, the applied discount will already be present. documentation available here .

Direct flow

In this approach, customers can redeem coupon codes to get discounts on their subscriptions. They can enter the code at checkout to receive the discount.

Detailed guidance on how to integrate this option into your checkout process is Guide
In this flow, the coupon code is applied after the payment form has been initialized using a special applyCoupon method. available here .

Coupon info

This section provides guidelines on editing coupon details and understanding how discounts interact with trial subscription options.

Editing сoupons

Once a coupon is created, its editable fields are limited to the following:

• Name
• Description

Handling discounts with trial options

For products that feature a trial period, discounts from coupons will not be applied to the trial price. Instead, the discount will take effect on the subsequent recurring payment.

In situations where the coupon’s expiration date precedes the next recurring payment, the system will preserve the discount for that particular payment.