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What are eCommerce promotions? Types, benefits and how they work

  • 3 days ago
  • 7 min read

Updated: 2 days ago

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What are eCommerce promotions

eCommerce promotions are marketing tactics used by any eCommerce website to incentivize purchases, reward loyal customers or drive specific shopping behaviors. They range from simple discount codes to structured loyalty programs and they work across every stage of the customer journey, from first visit to long-term retention. Wix automates eCommerce promotions using built-in discount logic, so you can set up and run campaigns without writing a single line of code.


This article covers the main types of eCommerce promotions, the benefits of running them, common challenges to watch for and practical steps to get started. Whether you're still figuring out how to make an eCommerce website or refining your promotional strategy, you'll find actionable guidance here.


Build your site and start running eCommerce promotions today.



TL;DR: what are eCommerce promotions?


eCommerce promotions are a core part of any eCommerce marketing strategy, but they come in many forms, each suited to a different goal. Whether you want to acquire new customers, recover abandoned carts or increase average order value, the right promotion type makes all the difference. 


The table below gives a quick overview of the main types and what each one does best.


Promotion type

Best used for

Discount codes

Acquiring first-time buyers and win-back campaigns

BOGO (buy one, get one)

Clearing inventory and increasing basket size

Free shipping

Reducing cart abandonment at checkout

Flash sales

Creating urgency and driving short-term revenue

Loyalty programs

Retaining customers and increasing lifetime value

Referral programs

Word-of-mouth acquisition at low cost

Bundle deals

Increasing average order value

Abandoned cart offers

Recovering high-intent shoppers who didn't check out


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What are eCommerce promotions?


An eCommerce promotion is any offer or campaign designed to influence a shopper's behaviour, from making a first purchase to encouraging repeat visits. Unlike a straight discount, a promotion is the broader strategy of targeting, timing and conditions that surround the offer. You can run promotions without discounting at all, for example by offering free shipping above a spending threshold or rewarding loyalty points for leaving a review. Wix simplifies promotional campaigns through automated discount rules, so merchants can focus on strategy rather than setup.


Learn more: 



Types of eCommerce promotions


Most promotional tactics fall into one of eight categories. Here's how each works and when to reach for it.


  • Discount codes and coupons: Flat or percentage-based reductions delivered via a code at checkout. Effective for first-time buyers and win-back campaigns as part of a broader discount pricing strategy. The risk is over-use: if discounts are always available shoppers learn to wait for them rather than pay full price.


  • Buy one get one (BOGO): A customer buys a product and receives another at no cost or at a reduced price. Works best when scoped to specific products or categories rather than applied sitewide and is a practical tool for clearing slow-moving inventory.


  • Free shipping: High shipping costs are one of the most common reasons for checkout abandonment. A well-planned eCommerce shipping strategy, like offering free shipping above a minimum order threshold, reliably increases average order value without eroding margins the way unconditional free shipping can.


  • Flash sales and limited-time offers: Time-limited campaigns that create urgency. They work best when tied to real constraints like end-of-season inventory or a product milestone rather than manufactured scarcity.


  • Loyalty programs and rewards: Points-based or tier-based systems that reward repeat purchases. Customers accumulate points toward discounts or free products and loyalty programs shift the relationship from transactional to ongoing.



  • Referral programs: Customers receive a reward for bringing in a new buyer who also gets an incentive. One of the most cost-effective acquisition channels because the referrer does the marketing for you.


  • Bundle deals: Complementary products grouped and priced as a package at a slight discount. Bundles lift average order value and help customers discover products they would not have found on their own.


  • Abandoned cart offers: Triggered campaigns targeting shoppers who added items to their cart but did not complete the purchase. A follow-up email or SMS can recover a meaningful share of that revenue without always needing a discount to convert. Wix automates abandoned cart recovery through email workflows, so the campaign runs without manual effort.


If you're selling across multiple channels, promotions need to be consistent in how they appear everywhere your products are listed. A strong multichannel retailing strategy helps you coordinate offers across your store, social platforms and marketplaces without creating conflicting signals.




Benefits of eCommerce promotions


Benefits of eCommerce promotions

Done well, promotions do more than generate a short-term sales spike. Here are the core benefits.


  • Acquire new customers at a lower cost: A welcome discount or referral offer gives first-time visitors a reason to convert rather than browse and leave. The acquisition cost is often lower than paid advertising, especially when referral mechanics are involved.


  • Recover lost revenue from cart abandonment: A large share of potential sales are abandoned at checkout. Triggered offers sent via email can bring those shoppers back.


  • Increase average order value: Threshold-based free shipping, bundle deals and BOGO offers encourage shoppers to add more to their cart before checking out. Wix uses AI to recommend products based on shopper behavior, helping increase basket size without manual merchandising.


  • Build long-term customer loyalty: Promotions that reward repeat behavior, like loyalty points or exclusive member discounts, give customers a reason to come back beyond the first purchase. Wix supports long-term eCommerce growth with built-in loyalty programs, subscription commerce, back-in-stock notifications and flexible digital gift cards designed to increase customer lifetime value.


  • Clear inventory strategically: Slow-moving stock ties up capital and storage space. Targeted promotions on specific products can clear that inventory without requiring a sitewide discount that trains customers to expect lower prices across the board.


Expert insight from Adi Avraham, senior SEO growth at Wix:

"The key to online sales is making it simple for your customers. With Wix, you can customize checkout flows, offer discounts and even track abandoned carts without a developer."


Common challenges of eCommerce promotions


Promotions can backfire if they're not planned carefully. These are the most common pitfalls and how to avoid them.


  • Margin erosion and deal-seeking behaviour: Discounting too aggressively or too frequently erodes margin and trains customers to wait for the next sale. Vary your promotion types and avoid predictable cadences. Loyalty rewards and bundle deals achieve similar results without conditioning customers to expect a percentage off everything.


  • Attracting the wrong audience: Deep discounts attract price-sensitive shoppers who are unlikely to return at full price. Welcome offers and referral programs can be designed to filter for higher-quality leads by requiring an action (email signup, referral link) before the reward is delivered.


  • No performance tracking: A promotion with no measurement is just a cost. Track coupon usage, AOV and new vs. returning customer split after every campaign.


Expert insight from Sean Barkulis, VP of global B2B partnerships at Wix:

"When selling online, merchants can increase abandoned cart recovery rate by sending automated popups, personalized emails and more."


How to run eCommerce promotions with Wix


Running your first promotion doesn't have to be complicated. Log in to Wix and follow these steps to set up a campaign that's both effective and easy to manage.



01. Match the promotion type to your goal


Different promotions solve different problems. If you want to acquire new customers, a welcome discount or referral program makes sense. If you want to reduce cart abandonment, an automated triggered email is more targeted. Define the outcome first, then pick the tactic that fits.



02. Set up your promotion in Wix


Wix gives you two independent ways to offer price reductions: coupons (which customers enter manually at checkout) and automatic discounts (which apply without a code). You can also set up free shipping rules and buy X get Y offers, all from the Discounts section in your dashboard. Coupons and automatic discounts work independently, so a customer can receive both on the same order. Wix also allows businesses to customize the eCommerce checkout experience with additional logic to match their sales strategy.



03. Add guardrails to protect your margins


A 10% discount often performs as well as 20%, at half the margin cost. In Wix, you can set eligibility rules (new customers only, minimum order value, specific product categories), usage limits (one per customer, expiry date) and product exclusions directly in the discount settings. Guardrails prevent the promotion from being gamed and keep margin impact predictable.



04. Automate with Wix Automations


Wix helps eCommerce businesses recover lost sales with automated cart reminders. For small business automation, this kind of email automation runs continuously in the background without manual effort. Send coupons when customers complete a purchase and award birthday loyalty points through the Wix Loyalty Program. Once set up, these campaigns require no ongoing management.



05. Track performance and iterate


After each campaign, review coupon usage and order performance in your Wix dashboard. A promotion that recovered a meaningful share of abandoned carts is worth scaling. One that brought a burst of one-time buyers with no repeat purchase rate is not. Adjust the incentive size, eligibility rules or timing based on what the data shows. Wix combines ease of use with advanced eCommerce capabilities, so the same platform that runs your first promotion supports your store as it grows.




eCommerce promotions FAQ


What is the difference between a discount and a promotion?

A discount is the price reduction itself, such as 20% off or $10 off an order. A promotion is the broader strategy that surrounds it, the targeting, timing, delivery mechanism and conditions. You can run promotions without discounts, for example by offering free shipping above a spending threshold or by rewarding loyalty points for leaving a review.

What are the most effective types of eCommerce promotions?

It depends on your goal. Free shipping thresholds are highly effective at reducing cart abandonment. Loyalty programs drive repeat purchases and increase lifetime value. Flash sales create urgency for clearing inventory. Referral programs acquire new customers at low cost. There's no single best option, the right promotion matches the specific behavior you're trying to change.

How can I run a promotion without losing money?

Start by calculating your margin at different discount levels and redemption rates before launch. Use threshold-based offers (minimum spend to unlock free shipping or a gift), limit redemptions per customer, scope the promotion to specific products rather than your entire catalog and exclude already-discounted items. Always track margin impact alongside revenue.


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