As we approach the holiday season, the eCommerce landscape will begin to thrive. Not surprising given last year’s numbers. Notably, Black Friday 2024 emerged as a particularly strong period, with global online sales reaching $74.4 billion, reflecting a 5% growth compared to the previous year. Further, during the entire Black Friday Cyber Monday weekend in 2024, Shopify merchants generated a record-breaking $11.5 billion in sales, a remarkable 24% rise from the preceding year.Â
This surge highlights the importance of capitalising on customers that come to your store during this pivotal time. So, how can you effectively engage shoppers and enhance conversion rates? The key lies in strategically crafted discount promotions. In this article, you’ll explore innovative holiday promotion ideas that leverage Shopify discounts to maximize your sales potential. Let’s dive in!Â
Tried & Tested Holiday Promotion Ideas for Your Shopify StoreÂ
1. Free Gift with Purchase during Holidays
What it is: A “Free Gift with Purchase” (GWP) is a promotional tactic where customers receive a complimentary item when they meet a certain threshold, like buying a specific product or spending a minimum amount. Such a promotion works very well, especially during the Christmas shopping season, when everyone is shopping for gifts.Â
Free Gifts not only enhance the perceived value of the purchase but also serve as a pleasant surprise that strengthens the shopper’s impression of your brand. A survey found that 90% of customers who received a gift with their purchase were more likely to shop with the brand againÂ
Example: Consider a beauty brand offering a travel-sized serum as a free gift when customers spend $75 or more. Shoppers not only feel rewarded, but they may also discover a new product they love, leading to future purchases.Â
Free Gift with Purchase Case Study: PilgrimÂ
Pilgrim, an established DTC beauty brand, integrated the Kite: Discount & Free Gift Shopify app by Skai Lama, into its holiday promotion strategy. The app enabled Pilgrim to automatically include relevant free gifts based on cart triggers, such as product purchases or minimum spend levels.Â
The Result?Â
$1.3 million in revenue generated during the campaign.Â
Over 112,000 free gifts claimed by customers.Â
Higher customer satisfaction, repeat purchases, and enhanced product discovery through the complimentary gifts.Â
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2. Customer Specific Discounts
‍What it is: As part of your holiday promotion ideas, customer specific discounts allow you to connect with niche audiences in a meaningful way. Whether it’s students shopping for gifts or loyal customers looking for seasonal perks, personalized offers make your brand feel more thoughtful and relevant.
Customers who receive offers that match their identity or behavior are more likely to convert and return. Research shows that 56% of customers are more likely to return and shop again when brands offer personalized rewards.
Example: A well-known athleisure brand, Adidas, offers verified student discounts through UNiDAYS, allowing eligible students to unlock up to 30% off their purchases. This helps Adidas build early relationships with younger shoppers who are more likely to become lifetime customers.
Customer Specific Discounts Case Study: Gymshark
Gymshark, a leading global fitness apparel brand, wanted to grow its student customer base and build long-term loyalty. With Gen Z becoming increasingly health-conscious and socially connected, Gymshark identified an opportunity to tap into this high-potential segment. To achieve this, the brand leveraged Skai Lama’s Kite: Discount & Free Gift app to launch a student-specific discount campaign.
First, Gymshark tagged student profiles in Shopify. Then, using Kite’s advanced settings, they set up tiered and volume-based discounts that applied exclusively to those tagged customers.
The Result? Over 9,000 new student users were acquired, customer acquisition costs decreased, and customer lifetime value increased. This campaign proved that well-targeted holiday promotion ideas can drive both short-term growth and long-term brand loyalty.
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3. Holiday Favourite BOGO - Buy X Get Y Offer
‍What it is: If you're compiling holiday promotion ideas that boost cart size and urgency, BOGO should be high on your list. A Buy X, Get Y promotion, commonly known as BOGO, is a holiday favorite that encourages shoppers to purchase more by offering an additional item either for free or at a discount once they buy a certain quantity.Â
This strategy effectively drives sales and helps move inventory quickly, making it especially useful for launching new items or clearing excess stock. BOGO offers are a staple during the Christmas shopping period, especially during Black Friday Cyber Monday.
Example: Imagine a fashion accessories store offering “Buy two scarves, get one free.” Customers feel rewarded and are more inclined to add more products to their cart, boosting both revenue and perceived value.Â
Buy X Get Y Case Study: Topologie
Topologie (Japan), part of a global fashion accessories brand known for its modular Wares System, sought to increase average order value (AOV) on its online store. Initially, customers were only purchasing a single strap per order, limiting AOV and undermining marketing ROI.
To tackle this, Topologie leveraged Skai Lama’s Kite: Discount & Free Gift app to activate a Buy X, Get Y custom discount; a simple yet powerful BOGO setup.Â
The Result? ‍The campaign generated a staggering $2.5 million in order value, demonstrating the immediate revenue impact of well-designed holiday promotion ideas like BOGO.Â
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4. Volume Discounts
What it is: Volume discounts reward customers with a lower price per unit when they purchase larger product quantities. This strategy boosts sales volume and encourages shoppers to try more of your offerings.Â
By allowing customers to mix and match from a selection of products to create their own bundles, you add flexibility and cater to individual preferences. This enhances the overall customer experience while increasing average order value.Â
Example: A skincare brand could offer "Buy any three products and get 40% off.” Customers enjoy the freedom to choose products that fit their needs while feeling rewarded for purchasing more.Â
Volume Discount Case Study: Wellness Brand
Buy Friendly, a wellness brand specializing in detox drinks, implemented a volume discount promotion using Skai Lama’s Kite: Discount & Free Gift App.Â
The setup featured a prominent radial button display allowing customers to easily select their preferred discount tiers, alongside a cross-sell recommendation for a juicing cup offered with an add-on discount. This approach not only incentivized larger purchases but also increased basket diversity by introducing complementary products.‍
The Result? ‍A measurable increase in sales volume, improved customer satisfaction, and stronger loyalty, proving that personalized volume discounts can deliver both immediate revenue gains and long-term brand benefits.Â
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5. Shipping Discount
‍What it is: Shipping rates remain one of the biggest hurdles to online conversions. In fact, 47% of online shoppers abandon their carts due to added shipping costs and taxes. So, if you're brainstorming holiday promotion ideas that directly influence conversion rates, shipping discounts are a must. By offering shipping discounts, particularly at checkout, stores can significantly reduce cart abandonment and encourage customers to complete their purchases.Â
When shoppers perceive shipping as affordable or free, they’re more likely to follow through, making this a high-impact tactic for boosting conversion rates during the holiday rush.Â
Example: A gift retailer could offer a promotion like, "Spend $50 and receive free standard shipping on your entire order." This encourages shoppers to add more items to their carts to meet the threshold for the free shipping incentive.
Shipping Discount Case Study: Evelyn & Bobbie
Evelyn & Bobbie is a DTC intimate apparel brand known for its comfort-first designs. Like many eCommerce stores, they faced high cart abandonment. E&B wanted to reduce their abandoned cart rate and encourage customers to complete purchases without compromising product pricing.
Using the Kite: Discount & Free Gift app, E&B set a $98 free shipping threshold that nudged shoppers toward higher spend. Further, the Shipping Bar acted as a visual motivator, contributing to a noticeable drop in abandoned carts.
The Result? ‍The strategy helped E&B lower cart abandonment and increase Average Order Value. Customers were more inclined to browse and add complementary items to reach the free shipping threshold, leading to stronger conversions and deeper product engagement.
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6. Tiered Discounts
What it is: Tiered discounts are a strategic pricing model that offers customers escalating discounts based on their spending levels. This method encourages shoppers to increase their cart size to unlock better deals, effectively boosting the Average Order Value (AOV). By providing specific incentives at each tier, you can enhance the shopping experience and motivate customers to explore a wider range of products.
Example: Imagine a gourmet food store offering the following tiers during the holidays:
Spend $10: Get a free spice sample
Spend $25: Get a spice sample + a mini recipe book
Spend $50: Get all of the above + free shipping
Customers feel motivated to reach the next tier, and the brand gets to showcase more of its product range.
Tiered Discounts Case Study: Heat Hot Sauce
Heat Hot Sauce aimed to explore strategies to increase Average Order Value (AOV) and encourage customers to add more items to their shopping carts. With a variety of sauce and seasoning SKUs, motivating users to purchase in bulk was crucial. So, they introduced Tiered Product Discounts via the Kite: Discount & Free Gift app to incentivize higher spending.
The Result? This campaign helped Heat Hot Sauce drive higher cart values and boost customer engagement. Shoppers were motivated to unlock better rewards, leading to increased Average Order Value and repeat purchases. The campaign also encouraged deeper product exploration, strengthening long-term loyalty.
Benefits of Holiday-Specific Strategic DiscountsÂ
Discounts are one of the most actionable holiday promotion ideas, helping brands meet seasonal goals with measurable impact. Here are a few of them in detail:
Increases Average Order Value (AOV)Â
Offering discounts can significantly boost the Average Order Value (AOV). When customers are presented with compelling offers, they are more likely to add additional items to reach a discount threshold. For instance, a study found that implementing a "Buy One, Get One" promotion can increase AOV by up to 20%. This strategy not only encourages larger purchases but also enhances customer satisfaction as they feel they are getting more value for their money.Â
Enhance Brand VisibilityÂ
Free gifts can do more than just trigger purchases; they can cultivate loyalty. A survey found that nearly 75% of customers became more loyal after receiving a gift, and 79% shared the experience with friends and family, fueling valuable word-of-mouth marketing. This kind of personal advocacy can amplify brand reach organically.Â
Boosts Repeat PurchasesÂ
Promotional offers can create habits that keep shoppers coming back. Brands offering consistent discounts see up to a 30% rise in repeat purchases during seasonal campaigns. Additionally, customers acquired through promotions have a 33% higher retention rate compared to those acquired through other methods. It’s a reliable way to foster loyalty over time.Â
Creates Urgency & Reduces Cart AbandonmentÂ
Limited-time or tiered discounts tap into psychological triggers such as FOMO (fear of missing out) and scarcity. Flash deals can prompt impulse buys, with urgency-driven strategies significantly increasing conversions. This helps counteract cart abandonment by encouraging shoppers to act fast.Â
Drives Customer Acquisition
Discounts are a powerful hook for attracting new customers, especially when shoppers are open to trying unfamiliar brands. In fact, 86% of online shoppers say they're more likely to try a new brand when offered a discount. This interest in deals opens the door to expanding your customer base with minimal acquisition barriers.Â
Supercharge Your Discount Campaigns with Kite!
Effective implementation of holiday promotion ideas can significantly enhance your sales during the festive season. With apps like Kite: Discount & Free Gift, you can effortlessly automate exciting promotions such as free gifts, tiered discounts, and buy-one-get-one offers.Â
Built for Shopify, Kite seamlessly integrates with your store. From simple to complex discounts, you can set it all up using the all-in-one discount & free gift app. To discover how Skai Lama can elevate your Shopify store and maximize your profits, be sure to book a demo or explore our apps on the Shopify App Store today.
Conclusion
The holidays are a golden opportunity to connect with customers. Whether you're offering exclusive discounts to loyal shoppers or rolling out holiday specific BOGO deals, the key is to align your strategy with the spirit of the season. Thoughtfully designed holiday promotion ideas can boost conversions, increase average order value, and build long-term brand loyalty. From tiered incentives to customer-specific discounts, the possibilities are endless. Let these ideas guide your next standout holiday campaign.
Hurrify customers to buy within a given timeframe with a sales countdown timer & improve conversions
Another popular Shopify checkout app is Checkout Promotions. The app comes with the ability to leverage a collection of highly robust visibility rules that help show customers one-click post purchase upsell promotions after an order payment has been made. Some of its key features include:
Features
AI recommended and manual recommendations for upselling.
Complete branding control.
Checkout Upsell for increasing AOV.
AI recommended and manual recommendations for upselling.
Pricing
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Monthly Plan
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Plus Plan
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FAQs on Holiday Promotion Ideas
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Neetika M
Neetika is the founder of Skai Lama. Passionate about building SaaS, Product Development, and Marketing, she talks about eCommerce Growth, Product Bundling, Gifting, Retention, and Shopify.
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