What are volume and progressive discounts?

In this article we explain the difference between volume and progressive discounts, and when you would use them

There are two types of discounts, volume discounts and progressive discounts:

Volume Discounts

The discount is applied on the total of all the purchased items e.g. £50 off the total if 5 items are purchased.

Progressive Discounts

The discount is applied step by step, according to your sequence e.g. The second person receives a £5 discount, and the third person pays £2.50.

Volume Discounts

In this example, the admin wants a discount on their T-Shirts, where:

• if a customer buys 2 items, they receive a 10% discount off their total bill
• if they buy 3 or more items, they get 20% off their total bill
  
  

Progressive Discounts

In this example, the admin wants a discount on their T-Shirts where the discount does not affect all items equally:

• If a customer buys two items:
  • item one remains full price
  •  item two receives a 10% discount
• If a customer buys three or more items:
  • items one remains full price
  •  item two receives a 10% discount
  • item three and on get a 20% discount

As you can see, the set up is the exact same in both cases, but with a volume or progressive discount type, depending on how the discount will be applied.