Fixed Amount Discount — $5 Off Reward Example
Let customers redeem points for a set amount off their order. A worked 500-points-for-$5 example, every field explained, and why a fixed cost is easier to plan.
Points for a set amount off. The reward that costs you exactly what it says, which makes it the easiest one to build a program around.
Where: Settings → Rewards → Create reward → Fixed Amount Discount
What it does
A customer spends points and receives a Shopify discount code for a fixed amount off their order — $5, $10, $25.
Unlike a percentage, the cost to you is known in advance. That’s why most programs use a fixed amount as their anchor reward: it’s the one that establishes what a point is worth, and every other reward gets priced against it.
The fields
| Section | Field | Notes |
|---|---|---|
| Rule Name | Rule Name | Required. E.g. $5 off — 500 points. |
| Reward Configuration | Points to Redeem | Required. |
| Reward Configuration | Discount value | Required. The amount off, in your store’s currency. |
| Reward Configuration | Minimum Order Value | Optional floor. |
| Reward Configuration | Discount Code Prefix | The prefix on generated codes. |
| Discount Scope | Everything / collections / products | Collections or products, never both. |
| Reward Expiration Settings | Coupon Expiry, and whether to return the points | This type has its own expiration section. |
| Redemption Limits | Maximum uses per customer + Frequency | |
| Order Type Eligibility | One-time orders, or subscriptions too | |
| Discount stacking | Order / Product / Free shipping discount | Nothing stacks unless ticked. |
| Rule Status | Active / Disabled |
Worked example: $5 off for 500 points
This is the reward that defines your points economy. Paired with a 1-point-per-dollar earn rule, it sets the exchange rate at 100 points = $1, which is a 1% program.
- Go to Settings → Rewards and click Create reward.
- Choose Fixed Amount Discount.
- Fill in:
| Field | Value |
|---|---|
| Rule Name | $5 off — 500 points |
| Points to Redeem | 500 |
| Discount value | 5 |
| Minimum Order Value | 25 |
| Discount Code Prefix | POINTS5 |
| Discount Scope | Everything in the store |
| Coupon Expiry | 60 days |
| Return points back after expiration | ✅ on |
| Redemption Limits | Maximum uses blank, Frequency Unlimited |
| Discount stacking | (leave all unticked) |
| Rule Status | Active |
- Save.
Why each number is what it is
500 points for $5 fixes the exchange rate at 100 points to the dollar. Every reward you build afterwards should respect it — a $10 reward costs 1,000 points, a $25 reward 2,500. The moment one reward breaks the rate, customers find it and only redeem that one.
Minimum Order Value $25. Five dollars off a $6 item is effectively free product, and it attracts exactly the shopper you don’t want. Setting the floor at five times the discount value is a reasonable rule of thumb.
Coupon Expiry 60 days. Longer than the percentage reward, because a fixed-value code is a known, small liability. Long enough that a customer who redeems just after ordering still gets to use it next time.
Unlimited redemptions. The cost is fixed and predictable, so there’s no need to cap frequency — a customer redeeming ten times has earned 5,000 points, which is $5,000 of spending.
Building the ladder
One reward is a program a customer reaches once. Three is a program they stay in:
| Reward | Points | Effective rate |
|---|---|---|
$5 off — 500 points |
500 | 100 pts = $1 |
$10 off — 1,000 points |
1,000 | 100 pts = $1 |
$25 off — 2,500 points |
2,500 | 100 pts = $1 |
Consistent rate throughout, so nothing is a trap and nothing is a bargain. Customers self-select: some cash out immediately, some save. Both are fine, and the cost to you per point is identical either way.
Some programs deliberately make the top rung slightly better — $25 off for 2,200 points — to encourage saving. That’s a choice, not a mistake, as long as it’s the only inconsistency.
Tips
- Set this reward first. It defines the rate. Percentage rewards, free shipping and free products should all be priced against it.
- Say both halves in the name. “$5 off — 500 points” tells a customer the price and the prize at a glance.
- Keep the ladder’s rate flat unless you’re deliberately rewarding savers.
- Use the prefix to trace redemptions —
POINTS5codes are easy to spot in Shopify’s order list.
FAQ
What’s the difference between this and a Variable Discount?
A Fixed Amount Discount is a set value for a set number of points. A Variable Discount lets the customer choose how many points to spend, scaling the discount with it.
Can the discount exceed the order value?
Set a Minimum Order Value so it can’t be redeemed against a basket smaller than the discount.
Do unused points come back?
Only if Return points back to customer after expiration is ticked in the Reward Expiration Settings.
Can I offer this to one collection only?
Yes, via Discount Scope — but remember it’s collections or products, not both.
Next steps
- Next: Percentage Off Discount — the higher-ceiling alternative.
- Related: Variable Discount · Program setups that work
Common questions
- What's the difference between this and a Variable Discount?
- A Fixed Amount Discount is a set value for a set number of points. A Variable Discount lets the customer choose how many points to spend, scaling the discount with it.
- Can the discount exceed the order value?
- Set a Minimum Order Value so it can't be redeemed against a basket smaller than the discount.
- Do unused points come back?
- Only if Return points back to customer after expiration is ticked in the Reward Expiration Settings.
- Can I offer this to one collection only?
- Yes, via Discount Scope — but remember it's collections or products, not both.