Tiered Pricing

Tiered pricing rewards customers for spending more with increasingly better discounts. This proven strategy increases average order value while creating clear incentives for customers to add more to their cart.

AOV Booster

Tiered discounts are one of the most effective tactics for increasing AOV. Customers frequently add items just to reach the next discount tier.

Tier Types

Spend-Based Tiers

Discounts based on cart value:

Spend-Based Tiers

{
  "tiered_discount": {
    "name": "Spend More Save More",
    "tier_type": "cart_value",
    "currency": "USD",
    "tiers": [
      {
        "threshold": 50,
        "discount_type": "percentage",
        "discount_value": 10,
        "label": "Spend $50+, Save 10%"
      },
      {
        "threshold": 100,
        "discount_type": "percentage",
        "discount_value": 15,
        "label": "Spend $100+, Save 15%"
      },
      {
        "threshold": 200,
        "discount_type": "percentage",
        "discount_value": 20,
        "label": "Spend $200+, Save 20%"
      }
    ]
  }
}

Quantity-Based Tiers

Discounts based on number of items:

Quantity-Based Tiers

{
  "tiered_discount": {
    "name": "Buy More Save More",
    "tier_type": "quantity",
    "scope": "cart",
    "tiers": [
      {
        "threshold": 2,
        "discount_type": "percentage",
        "discount_value": 10,
        "label": "Buy 2+, Save 10%"
      },
      {
        "threshold": 4,
        "discount_type": "percentage",
        "discount_value": 15,
        "label": "Buy 4+, Save 15%"
      },
      {
        "threshold": 6,
        "discount_type": "percentage",
        "discount_value": 20,
        "label": "Buy 6+, Save 20%"
      }
    ]
  }
}

Product-Specific Tiers

Tiered pricing on specific products or collections:

Product-Specific Tiers

{
  "tiered_discount": {
    "name": "T-Shirt Volume Discount",
    "tier_type": "quantity",
    "scope": {
      "type": "collection",
      "collection": "t-shirts"
    },
    "tiers": [
      { "threshold": 3, "discount_value": 15 },
      { "threshold": 5, "discount_value": 20 },
      { "threshold": 10, "discount_value": 25 }
    ],
    "apply_to": "qualifying_products_only"
  }
}

Discount Value Types

Discount Options

Percentage off — Most common, scales with cart
Fixed amount off — Dollar amount discount
Fixed unit price — Set price per item at tier
Free shipping — Tier unlocks free shipping

Mixed Discount Types

{
  "tiers": [
    {
      "threshold": 50,
      "discount_type": "percentage",
      "discount_value": 10
    },
    {
      "threshold": 100,
      "discount_type": "percentage",
      "discount_value": 15,
      "bonus": { "type": "free_shipping" }
    },
    {
      "threshold": 200,
      "discount_type": "percentage",
      "discount_value": 20,
      "bonus": { "type": "free_gift", "product": "sample-set" }
    }
  ]
}

Progress Display

Show customers their progress toward the next tier:

Progress Display

{
  "display": {
    "show_progress_bar": true,
    "show_current_tier": true,
    "show_next_tier": true,
    "messages": {
      "below_first_tier": "Spend ${{remaining}} to save 10%",
      "at_tier": "You're saving {{discount}}%!",
      "next_tier": "Add ${{remaining}} more to save {{next_discount}}%",
      "max_tier": "You've unlocked maximum savings!"
    },
    "display_locations": ["cart", "mini_cart", "checkout"]
  }
}

Show the Path

Progress indicators showing distance to next tier are extremely effective. Customers will often add a $5 item to save $20.

Wholesale/B2B Tiers

Create aggressive tiers for wholesale customers:

Wholesale Tiers

{
  "tiered_discount": {
    "name": "Wholesale Pricing",
    "conditions": {
      "customer_tag": "wholesale"
    },
    "tier_type": "quantity",
    "tiers": [
      { "threshold": 12, "discount_value": 30 },
      { "threshold": 24, "discount_value": 35 },
      { "threshold": 48, "discount_value": 40 },
      { "threshold": 96, "discount_value": 45 }
    ],
    "display": {
      "show_unit_price": true,
      "show_bulk_savings": true
    }
  }
}

Tier Stacking

Control how tiered discounts interact with other offers:

Stacking Rules

{
  "stacking": {
    "with_discount_codes": false,
    "with_automatic_discounts": false,
    "with_sale_prices": true,
    "with_subscriptions": true,
    "priority": 1
  }
}

Margin Protection

Margin Safeguards

{
  "margin_protection": {
    "enabled": true,
    "minimum_margin": 0.20,
    "excluded_products": {
      "tags": ["low-margin", "already-discounted"]
    },
    "cap_at_tier": {
      "enabled": true,
      "max_discount": 25
    }
  }
}

Tier Analytics

Track tiered discount performance:

Tier distribution — Which tiers customers reach
Upgrade rate — How many move to higher tiers
AOV by tier — Average order value at each level
Margin impact — Profitability analysis

Best Practices

Tier Strategy

3-4 tiers maximum — Too many creates confusion
Meaningful jumps — 5% increments feel insignificant
Achievable first tier — Many should reach it
Stretch last tier — Aspirational for most
Show progress constantly — Drive tier upgrades

AOV Booster

Tier Types

Spend-Based Tiers

Quantity-Based Tiers

Product-Specific Tiers

Discount Value Types

Discount Options

Progress Display

Show the Path

Wholesale/B2B Tiers

Tier Stacking

Margin Protection

Tier Analytics

Best Practices

Tier Strategy

Related Topics

Automatic Discounts

BOGO Offers