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What is the difference between Discounts and Coupons in Zoho Billing?

Both discounts and coupons let you reduce the amount charged on a subscription, but they are built for different purposes.

Coupons under Product Catalog are associated with specific plans and addons. They are used for promotions and standard offers, like a seasonal campaign or an onboarding deal. A coupon is applied using a unique code (at checkout or manually on a subscription) and can be reused across multiple subscriptions, subject to the redemption limits you set.

Discounts are applied directly on a subscription when creating or editing it — no code needed. They are meant for personalised, salesperson-driven pricing for a specific customer, such as negotiating a custom rate for a high-value account. A discount stays with that subscription and is not shared across others.

Here is how the two compare:

CouponsDiscounts
Where it is set upProduct Catalog > CouponsSubscription creation or edit page
How it is appliedVia a coupon code or manually to a subscriptionDirectly on the subscription; no code needed
ScopeSpecific plans and/or addons (defined at coupon creation)Item-level or transaction-level
ReusabilityYes, one coupon can be applied to multiple subscriptionsNo, it applies to a single subscription only
Redemption TypeOne Time, Limited Cycles, or UnlimitedOnce (first billing cycle only) or Every Renewal
Expiration and limitsCan set an expiration date and a maximum redemption countNo expiration or usage limit

When to Use Them

Use Coupons when:

  • You are running a time-bound promotion for multiple customers, such as a seasonal sale or a product launch offer.
  • You want customers to self-apply a discount at checkout using a code.
  • You need to limit usage with a redemption count or expiration date.
  • The same offer applies to a defined set of plans or addons.

Scenario: Zylker is launching a new project management plan and wants to offer early adopters 20% off for the first three months. They create a coupon code LAUNCH20, associate it to that plan, and set a redemption limit of 200. Any new customer can enter the code at checkout or Zylker’s team can apply it manually to a subscription.

Use Discounts when:

  • You are negotiating a custom rate with a specific customer.
  • A salesperson needs to adjust the price on a single subscription without creating a public coupon code.
  • You want to apply a reduction at the line-item level on a particular plan or addon within a subscription.

Scenario: Brandon, a key customer at Zylker, is renewing his enterprise subscription and negotiates a 25% reduction on one of the addons. Zylker’s sales team applies a line-item discount directly on Brandon’s subscription. No coupon code is created and the offer is private to that account.

Note:

  • Coupons and Discounts cannot be used together on the same subscription. If a discount is active, a coupon cannot be applied, and vice versa.

To learn more, refer to Discounts and Understanding Coupons.


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