Volume Discount Pricing Strategy to Improve Your AOV

Every store owner dreams of increasing sales without constantly chasing new customers. But what if you could earn more from the shoppers you already have? That's where volume discount pricing comes in. It's one of the most effective strategies to boost Average Order Value (AOV) on Shopify or any eCommerce store.

Think about it, instead of buying one item, your customer gets a deal, encouraging them to grab two, three, or even more. This simple tactic improves revenue and keeps your customers happy because they feel they're saving money.

In this blog, we'll explore volume discount pricing, why it works, and how you can use it to increase AOV with practical examples and tips, plus how a Shopify app like Wizio can help you implement it seamlessly.

What is a Volume Discount Pricing?

At its core, volume discount pricing means offering discounts when customers purchase more than one unit of the same product or spend over a certain amount.

It’s like saying:

  • Buy 1 for $20, or
  • Buy 3 for $ 50

Shoppers instantly see the value in purchasing more. They save on cost per unit, and you make a bigger sale — a win-win.

There are different types of volume discounts:

  1. Quantity-based discounts – The more units someone buys, the lower the price per unit.
  2. Spend-based discounts – Discounts when customers spend a minimum amount, e.g., “Get 10% off orders above $100.”
  3. Tiered discounts – Bigger discounts as customers buy more, e.g., 5% off 2 items, 10% off 4, 15% off 6+.

Also read: Maximising Profit with Volume Discount

How Volume Discounts Improve Average Order Value?

Your Average Order Value (AOV) is the average amount a customer spends per purchase. Increasing it means you earn more revenue without necessarily attracting more traffic.

Here’s how volume discounts help:

  • Upselling Without Pressure
    Customers don’t feel like you’re forcing them to buy more. Instead, they see it as a smart choice.
  • Increases Customer Lifetime Value
    If they buy in bulk once and love your product, chances are they’ll return for another bigger purchase.
  • Encourages Brand Loyalty
    Shoppers love brands that give value. Discounts that actually save them money make them want to stick with you.

Setting Up Volume Discounts: Easy Step-by-Step Guide

Now that you know the benefits of volume discounts and how Wizio can help, let’s go through how to set it up on your Shopify store:

  1. Install the Wizio Bundle: Quantity Breaks app from the Shopify App Store.
  2. Open the app’s simple dashboard and create your first quantity break offer.
  3. Select the products you want the discount on and set how many items customers need to buy to unlock each discount tier.
  4. Add extra offers like Buy One Get One (BOGO) or bundle upsells to make your deals even more attractive.
  5. Use the app’s built-in analytics and A/B testing to track results and keep improving your offers.

By following these quick steps, you’ll be able to launch effective volume discounts that boost sales and keep your customers happy.

Volume Discount Pricing Strategy

To get the most out of your volume discount pricing strategy, follow these tips:

1. Keep It Simple

Don’t confuse customers with too many tiers or rules. Make sure the discount is easy to understand at first glance.

2. Display Savings Clearly

Show both the original and discounted prices. Example: “Was $60, now $50 when you buy 3.” This makes savings feel more tangible.

3. Use Apps to Automate Discounts

On Shopify, apps like Wizio Bundle make setting up volume discounts effortless. They let you design discounts that match your store’s branding and track performance.

4. Promote Your Offers Everywhere

Don’t just set discounts and forget them. Promote them on product pages, banners, checkout pages, email marketing, and even WhatsApp campaigns to maximize reach.

5. Test and Optimize

Start small and test different discount levels. Maybe your audience responds better to “Buy 2, get 1 free” rather than “10% off 3 items.” Use A/B testing to see what works best.

Also read: Shopify App Compatibility: Does your Bundle App Works with everything else?

Common Mistakes to Avoid

While volume discount pricing is powerful, some mistakes can reduce its impact:

  • Offering Discounts Too High – This eats into profit margins. Always calculate before setting a deal.
  • Applying to All Products – Some products don’t need volume discounts (like one-time purchases). Focus on items customers naturally buy in multiples.
  • Not Highlighting the Offer Enough – If customers can’t see your discount easily, they won’t take advantage of it.

Volume Discount Pricing Examples

Let’s look at a few examples you can implement today:

Buy More, Save More

  • 1 item = $20
  • 2 items = $36 (10% off)
  • 3 items = $50 (15% off)

Customers see clear savings at each level.

Spend Threshold Discounts

  • Spend $50, get 10% off
  • Spend $100, get 20% off

This works great for fashion and lifestyle stores where customers often add multiple products to cart.

Bundled Volume Offers

  • Buy 1 skincare product = $25
  • Buy the full skincare kit (4 products) = $80 (instead of $100)

This helps sell multiple related items together while offering customers value.

Conclusion

Volume discount pricing is more than just a sales tactic — it’s a smart strategy to increase Average Order Value while giving real value to your customers. By encouraging shoppers to buy more, you’re not only boosting sales but also building long-term customer loyalty.

The key is to keep your discounts simple, clear, and visible across your store. Start by testing small offers, monitor how customers respond, and then optimize. With the right setup, this strategy can help you maximize profits without spending extra on ads.

So, if you want to grow your Shopify store sustainably, volume discount pricing is one of the easiest and most effective ways to do it.

Frequently Asked Questions

1. What is volume discount pricing?

Ans: Volume discount pricing is when customers get lower prices if they buy more items. It encourages bulk purchases and increases your average order value.

2. How does volume discount help Shopify stores?

Ans: It motivates customers to buy extra units to save money, which raises your overall revenue and improves customer satisfaction.

3. Can I set different discount tiers for different products?

Ans: Yes, with apps like Wizio Bundle, you can create custom tiers for each product and decide how the discounts apply.

4. What’s the difference between volume discounts and BOGO offers?

Ans: Volume discounts lower the unit price for bulk purchases, while BOGO (Buy One Get One) offers give customers free or extra items.

5. Do volume discounts work for both new and repeat customers?

Ans: Absolutely. They encourage first-time buyers to add more to their cart and give repeat customers a reason to come back.

6. How can I track the performance of my discount strategy?

Ans: Most apps provide built-in analytics and A/B testing so you can measure sales, track conversions, and adjust your offers.