Percentage discount rewards let your customers exchange their points for a coupon that takes a percentage off their order. This guide covers how to add a percentage discount reward, configure its settings, and explains how it differs from fixed discount rewards.
Add a percentage discount
To create a percentage discount reward, navigate to RewardsWP » Settings » Points and scroll to the Ways to Redeem section. Click Add ways to redeem and select Percentage discount.
This adds a new reward to the list, ready for you to configure.
Configure the reward settings
Click on the newly added Percentage discount reward to expand its settings. You’ll see the following options:
Points required
The number of points a customer must spend to claim this reward. The default is 1,000. Since percentage discounts can be more valuable on larger orders, you may want to set a higher point cost than your fixed discount rewards.
Discount value
The percentage value of the discount. The default is 10, meaning a 10% discount. You can set this to any whole number.
Reward expiry
How long the coupon remains valid after generation. The options are the same as fixed discount rewards:
- Never expires (default)
- 30 days
- 3 months
- 6 months
- 1 year
- 2 years
Once you’ve configured the settings, click Save Changes.
How percentage discount work
The percentage discount is applied to the cart total at checkout, just like any standard WooCommerce percentage coupon. Here’s what happens when a customer redeems:
- Points are deducted – The required points are immediately subtracted from the customer’s balance.
- A WooCommerce coupon is created – RewardsWP generates a unique percentage coupon assigned to the customer’s account.
- The discount is calculated at checkout – When the customer applies the coupon, WooCommerce calculates the percentage off the eligible cart total.
For example, a customer who redeems a 10% coupon and has a $80 cart would receive an $8 discount, paying $72.
Unlike fixed discounts, the actual dollar value of a percentage coupon varies with the order size. A 10% coupon is worth $5 on a $50 order but $20 on a $200 order.
The customer redemption experience
The redemption flow for percentage discounts is the same as fixed discounts:
- The customer opens the rewards widget and views available rewards.
- They see the percentage discount reward with the points cost and percentage value.
- They click to redeem, and the coupon code is generated immediately.
- The coupon code appears in the widget and can be copied with one click.
- At checkout, they apply the code, and the percentage is deducted from their order total.
Percentage vs. fixed discount reward
Both reward types generate WooCommerce coupons, but they work best in different scenarios:
| Fixed discount | Percentage discount | |
|---|---|---|
| Discount value | Same dollar amount regardless of order size | Scales with order size |
| Best for | Encouraging repeat purchases with a predictable reward | Rewarding larger orders and high-value customers |
| Margin impact | Predictable – you always know the exact cost | Variable – larger orders mean larger discounts |
| Customer perception | Feels tangible (“$5 off”) | Feels proportional (“10% off everything”) |
| Plan availability | All plans | Basic and above |
Many stores offer both types, giving customers the choice between a smaller guaranteed discount and a percentage-based reward that pays off more on bigger orders.
Frequently asked questions
Is there a maximum discount cap for percentage coupons?
There’s no built-in cap in the reward settings. The percentage applies to the full eligible cart total. If you need to limit the maximum discount value, you can set a minimum spend requirement to control the range of possible discount amounts.
Can I create multiple percentage rewards at different levels?
Yes. You can add several percentage discount rewards with different point costs and percentages. For example, you might offer 5% off for 500 points, 10% off for 1,000 points, and 20% off for 2,500 points.
What happens if a customer combines a percentage coupon with another discount?
This depends on your WooCommerce coupon settings. By default, WooCommerce allows coupon stacking, so a customer could apply a percentage loyalty coupon alongside other promotions. You can control this behavior in your WooCommerce coupon settings.
What happens to points if the coupon expires unused?
Points are deducted when the customer redeems the reward, not when the coupon is used. If the coupon expires without being applied to an order, the points are not automatically returned. You can manually adjust the customer’s balance if needed.
That’s it! Percentage discount rewards give your customers a flexible way to save more as they spend more.