Running promotions on Shopify can be a double-edged sword—done right, they drive conversions and increase average order value (AOV); done wrong, they erode your margins and attract only discount-driven shoppers.
I recently sat down with Jay Myers on his podcast Shopify1Percent to dive into how to optimize promotions for maximum impact without sacrificing profitability.
What We Covered in the Podcast
In this conversation, we explored:
Why Better UX = Higher Conversion. Improving the shopping experience, leading to a 20-30% increase in conversion rates. Eliminating coupon codes reduces friction and makes promotions more effective.
Gift with Purchase vs. Traditional Discounts. Offering a free gift can be a more compelling incentive than a percentage-off discount, increasing perceived value and AOV.
What I Learned As An Early Product Manager at Shopify. Certain problems are easier to solve outside the company rather than inside. What we learned and how it led to starting Abra.
How Dynamic Discounting Unlocks Personalization. Abra allows Shopify merchants to display real-time discounted prices directly on the storefront, boosting trust and reducing cart abandonment but also unlocks new strategies.
VIP and Exclusive Offers. Giving special access to high-value customers drives loyalty and retention better than blanket promotions.
The Power of Personalized Promotions. Instead of applying sitewide discounts, strategic tiered discounts and product-specific promotions maximize revenue while maintaining margins.
Using Mobile and Affiliate Promotions to Scale. Integrations with platforms like Tapcart and Social Snowball make it easy to run exclusive mobile and influencer-driven promotions.
Why the Best Promotions Feel Exclusive. Time-sensitive and personalized deals create urgency, leading to higher engagement and sales.
Listen to the Full Episode
Curious to learn more? Check out the full podcast episode below to get actionable insights on smarter discounting strategies.
See Abra in action
Learn how Abra’s dynamic discounting and strategic promotions can boost conversions and AOV while protecting profitability.