Redemptions 2.0: POS Discounts

This article explores how POS discounts (in-store offers configured and maintained through the POS system) are applied to the receipt and how this impacts the application of subsequent offers. The use cases below demonstrate how POS discounts are applied as either line items on receipts or as modifiers on specific menu items and how offers configured in the Punchh platform are applied based on the effective price applied by the discount. Each scenario highlights how the POS-configured discount is processed prior to the offer configured through the Punchh platform. 

For use cases involving discount stacking and item qualifier recycling, see Deep Dive into Discount Stacking and Item Qualifier Recycling.

POS Discounting Examples

Use Case One: Guest purchases 1 Chicken Sandwich and Fries

This use case demonstrates how POS discounts can be applied as a separate line item on the receipt and how offers are applied based on the effective price created by the POS discount. Use this example if your POS system configures POS discounts as a separate line item (typically restaurants).

POS Discount of $2 is applied on the receipt (as a separate line item)

Offer 1: 1 Chicken Sandwich and Fries Priced at $8

• Target Price: $8
• Discounting Condition: If a guest purchases 1 Chicken Sandwich and 1 Fries, then it will be priced at $8

Use Case Two: Guest purchases 1 Chicken Sandwich and Fries

This use case shows how POS discounts can be applied as a modifier against an individual line item and how offers are applied based on the effective price created by the POS discount. Use this example if your POS system configures POS discounts as a modifier (typically C-stores).

POS Discount of $1 is applied on the receipt (received as modifier against an individual line item)

Offer 1: 1 Chicken Sandwich and Fries Priced at $8

• Target Price: $8
• Discounting Condition: If a guest purchases 1 Chicken Sandwich and 1 Fries, then it will be priced at $8