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Create Discounts and Coupons for Square Online Items

Discounts are a great way to incentivise your customers to buy the items on your website. With Square, you can create and customise discounts and coupons your customers can use to purchase items from Square Online.

To create items for your website first, check out how to create items and categories in Square Online.

Create Discounts from Square Item Library

You can access and apply automatic discounts you create from your online Square Dashboard to the items you offer on your Square Online website. To do so:

  1. From your Square Item Library, go to Discounts.

  2. Select Create a Discount to enter discount details including a discount name, amount (either a percentage or whole amount), and applicable locations.

  3. From the “Automatic discount” section, toggle on Discount rules and select a discount type. Note: Customer group discounts and Square category discounts won’t apply to Square Online sites.

  4. In the “Apply automatic discount” section, check the Square Online option to automatically apply the discount to all Square Online sites.

  5. Save to apply the changes.

The discounts you create will be available on your live Square Online website. Learn more about how to create and manage discounts.

Item Library Discounts for Square Online FAQ

Can I create category-based discounts from my Item Library for Square Online?

Not at this time. Due to Square Online item sync, Square Online categories can’t be selected in category-based discounts in the Item Library. Item Library categories are meant for Square Point of Sale, while Square Online categories are meant for your website.

Can I apply discounts after taxes?

No. Square Online discounts can only be applied before taxes.

Can I offer discounts in Square Online if I have set sale prices for my items in Square Online?

Yes. However, the discount will be applied to the promotional price of the item. It isn’t currently possible to apply discounts to the full sale price. For example, if your item costs $100 and you’re offering a 20% discount, the item price in your Square Item Library will be $80. If you create a 50% discount for Square Online, it will be calculated as 50% of $80 and the final price will be $40.

How do discounts work with coupons?

On Square Online, coupons can’t be used with discounts. If your customer adds a discounted item to their cart, they won’t be able to add a coupon at checkout. However, on your Square Point of Sale, coupons can be combined with discounts in the order that gives your customer the best value.

Can my customers use Loyalty rewards with discounts on Square Online?

While your customers can use Loyalty rewards for discounted items on Square Point of Sale, it isn’t possible on Square Online. If your customer adds a discounted item to their cart, they won’t be able to add a loyalty reward to the cart at checkout. They will still be able to accrue loyalty points from that purchase.

Create Coupons from Square Marketing

With Square Marketing, you can create coupons for your Square Online site and share them with customers in multiple ways. To start:

  1. From your Square Marketing Overview page, go to Coupons.

  2. Select Create Coupon.

  3. Enter details like a coupon name (code), type, the items it applies to, and active dates.

  4. Select Activate.

  5. Share the code with customers by selecting ••• and choosing your share option.

From your Square Online site, customers will enter the coupon code at checkout, so choose a code that makes sense with the kind of discount you’re offering. You can use any combination of letters, numbers, and special characters. Codes aren’t case-sensitive, which means the coupon codes of “SAVE10” and “save10” will both apply the same discount.

Note: Square Marketing coupons that are redeemed online won't appear in reporting until the corresponding order is marked Complete. Customers can only use one online coupon code at a time during checkout.

Learn more about getting started with Square Marketing for details on signing up, campaigns, scheduling, reports, and more.

Migration to Marketing Coupons

The current Square Online coupons feature will be going away later in 2024 so you can manage all of your coupons from one place in Square Marketing. More information will be shared soon.


Disclaimer: Nothing in this article constitutes legal advice. The Federal Trade Commission (FTC) prohibits misleading “former price comparisons.” If you advertise or promote item(s) at a discounted price, it’s your responsibility to ensure you’re meeting the FTC’s guidelines. We recommend you reach out to a legal expert if you have questions about the FTC’s guidelines.