Discount Calculator: Calculate
Sale Prices & Savings
Use our free discount calculator to instantly calculate sale prices, discount percentages, and verify your profit margins remain healthy.
Discount Calculator
Calculate sale prices, discount percentages, and profit margins
Input Values
The original price before discount
The percentage off the original price
Enter to see profit margin after discount
Results
Enter price and discount details
Results will appear here
Track Coupon Performance Automatically
StoreRadar tracks every coupon in your WooCommerce store—showing usage counts, total discounts given, and revenue generated from each code.
Types of Discounts
Understanding different discount strategies and when to use them
Percentage Discounts
The most common discount type. Works best for higher-priced items where the perceived savings feel substantial. "20% off" on a $200 item ($40 savings) feels bigger than on a $20 item ($4 savings).
High-ticket items, clearance sales, loyalty rewards
20% off all winter jackets
Fixed Amount Discounts
A set dollar amount off the purchase. Works better for lower-priced items where percentages seem small. "$10 off" on a $30 item (33% off) sounds better than "$10 off" on a $200 item (5% off).
Low-priced items, minimum purchase thresholds, gift cards
$15 off orders over $75
BOGO Deals
Buy One Get One free (or discounted). Effectively a 50% discount spread across two items. Increases units per order and helps clear inventory.
Inventory clearance, consumables, introducing new products
Buy one shirt, get the second 50% off
How to Calculate Discounts (Step-by-Step)
Follow these steps to calculate discounts while protecting your margins
Start with Your Original Price
Enter the regular price of your product before any discounts are applied. This is typically your MSRP or standard retail price.
Choose Your Discount Type
Decide whether you want to offer a percentage discount (e.g., 20% off), a fixed dollar discount (e.g., $15 off), or calculate what discount reaches a target sale price.
Calculate Your Sale Price
Apply the discount to see your final sale price. Our calculator handles the math whether you're working with percentages or fixed amounts.
Verify Your Profit Margin
Enter your cost of goods to ensure you're still profitable after the discount. The calculator shows your remaining margin and warns if you're going below cost.
Discount Formulas Reference
Key formulas for calculating discounts and margins
| Metric | Definition | Formula | Example |
|---|---|---|---|
| Percentage Off | Discount expressed as a percentage of original price | (Original - Sale) / Original × 100 | 25% off |
| Discount Amount | The dollar amount saved from the discount | Original Price × (Discount % / 100) | $25 off |
| Sale Price | The final price after discount is applied | Original × (1 - Discount % / 100) | $75 |
| Gross Profit | Revenue minus cost of goods at sale price | Sale Price - COGS | $35 |
| Margin After Discount | Gross profit as a percentage of sale price | (Sale Price - COGS) / Sale Price × 100 | 46.7% |
Smart Discount Strategies
Four proven approaches to discounting that protect your margins
Tiered Discounts
Offer increasing discounts based on order value: 10% off $50+, 15% off $100+, 20% off $150+. This incentivizes larger purchases while maintaining margins on smaller orders.
First-Time Buyer Discounts
Offer 10-15% off first orders to reduce purchase friction. The discount cost is offset by customer lifetime value—but track conversion to ensure it's working.
Seasonal & Holiday Sales
Plan discounts around key shopping events (Black Friday, holidays). Customers expect deals, so you can offer modest discounts while still driving volume.
Bundle Discounts
Discount products when purchased together: "Buy 2 get 10% off" or "Complete the set and save 15%." Bundles increase AOV while making the discount feel earned.
Why Tracking Coupon Performance Matters
Understanding the real impact of your discount strategy
Calculating discounts is just the first step. The real value comes from tracking how your coupons and discounts perform over time. Without data, you're guessing whether your discount strategy is actually driving profitable growth.
StoreRadar automatically tracks all your WooCommerce coupons, showing you which codes are driving real revenue versus which are just giving away margin. See usage counts, total discounts given, and sales generated—all filterable by date range.
Common Discount Mistakes to Avoid
Four errors that can hurt your profitability
Discounting Without Knowing Your Margin
Offering 30% off feels generous, but if your margin is only 35%, you're left with 5% profit—less than your operating costs. Always calculate profit after discount.
Training Customers to Wait for Sales
Constant discounts teach customers never to pay full price. Use discounts strategically and sparingly. Consider alternatives like free shipping or bundled value.
Ignoring the Psychology of Pricing
$79.99 feels significantly cheaper than $80. A 25% discount sounds bigger than $20 off (even if they're the same). Use the framing that appears more valuable to customers.
Not Tracking Coupon Performance
Running discounts without measuring their impact is flying blind. Track redemption rates, revenue generated, and whether discount customers become repeat buyers.
Frequently Asked Questions
Common questions about calculating discounts
To calculate a discount percentage, subtract the sale price from the original price, divide by the original price, then multiply by 100. Formula: ((Original Price - Sale Price) / Original Price) × 100. For example, if a $100 item is on sale for $75, the discount is (($100 - $75) / $100) × 100 = 25% off.
Multiply the original price by (1 - discount percentage / 100). For example, a 20% discount on a $100 item: $100 × (1 - 20/100) = $100 × 0.80 = $80. Alternatively, calculate the discount amount ($100 × 20% = $20) and subtract it from the original price ($100 - $20 = $80).
A percentage discount (like 20% off) scales with the product price—higher-priced items get larger absolute discounts. A fixed discount (like $10 off) is the same regardless of price. Fixed discounts work better for low-priced items, while percentage discounts are more impactful for expensive products.
Subtract your cost of goods (COGS) from the discounted sale price, then divide by the sale price and multiply by 100. Formula: ((Sale Price - COGS) / Sale Price) × 100. For example, if you sell an item for $80 (after discount) and it costs you $50: (($80 - $50) / $80) × 100 = 37.5% margin.
Any discount that takes your margin below your operating costs is too aggressive. Calculate your break-even point by knowing your COGS and operating expenses. For most ecommerce businesses, discounts over 40-50% should be rare and strategic. Always verify you're still profitable after the discount using our calculator's COGS feature.
Stacked discounts are applied sequentially, not additively. A 20% off + 10% off doesn't equal 30% off. Instead, first apply 20% to get a new price, then apply 10% to that. For a $100 item: $100 × 0.80 = $80, then $80 × 0.90 = $72. The total discount is 28%, not 30%.
Track Every Coupon in Your WooCommerce Store
Stop guessing which discounts are working. StoreRadar tracks coupon usage, total discounts given, and revenue generated—automatically.
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