Gift Code Types
Gift Card
Definition: A digital instrument loaded with a specific initial cash balance issued to a customer.
Mechanism: Functions as a form of payment rather than a price reduction. If an order total is $30 and a customer uses a $50 gift card, $30 is deducted, and a $20 balance remains on the gift code.
Best Use Case: Gifting as a loyalty reward. i.e.: Ambassadors
Promo Code Fixed
Definition: A promotional coupon that deducts a set monetary amount (e.g., $15 off) from the total order value when specific conditions are met.
Mechanism: Reduces the order subtotal before payment. If an order is $10 and the customer uses a $15 promo code, the total becomes $0, but the extra $5 is forfeited—it does not carry over.
Best Use Case: Driving conversions on minimum order thresholds (e.g., "$20 off orders over $100"), customer win-back campaigns, or high-margin, single-item incentives.
Promo Code Percentage
Definition: A promotional coupon that reduces the total cost of eligible items by a specified percentage (e.g., 20% off).
Mechanism: Scales directly with the order size. A 20% code saves $10 on a $50 cart, but $40 on a $200 cart.
Best Use Case: Encouraging higher basket sizes (upselling), site-wide seasonal sales (e.g., Black Friday), etc.
Creating a Gift Code