SimplyCodes Research · 2026

The Downside of Promo Codes

87.2 million codes tested reveal structural friction — failure rates, hidden restrictions, spend gates, and a shift away from straightforward discounts.

🔬 National code success rate — 87.2M codes tested

75.2% succeed
24.8% fail
75.2% succeed at checkout
24.8% fail — nearly 1 in 4
Failure rate
24.8%
1 in 4 codes entered at checkout does not work
Restricted codes
31.4%
Members only, out of 8.3M active codes
Vague restrictions
61.4%
Of restricted codes fall in "Other / Unspecified" — no clear eligibility
Median min. spend
$100
Threshold required for ~2.1% of codes to activate

Restriction types

8.3M active codes
Members only 31.4%
New customers 5.9%
App only 1.1%
Other / Unspecified 61.4%

Why codes fail

24.8% fail rate
Eligibility rules ~55%
Expired codes ~25%
Min. spend not met ~12%
Technical / other ~8%

Failure breakdown is illustrative based on described drivers; exact splits not in source data.

Restriction type Share of active codes Impact
Members only 31.4% High — excludes most shoppers
New customers only 5.9% Medium — one-time use only
App purchase required 1.1% Medium — requires install
Other / Unspecified ⓘ 61.4% Unknown — vague eligibility

About 2.1% of all promo codes carry a minimum spend requirement. While that sounds small, the thresholds are substantial — and they change shopper behavior.

Median
$100
Average
$132.50
75th percentile
$150
90th percentile
$300
Scenario Cart value Discount Savings Total outlay
Lower discount, low cart $90 15% $13.50 $76.50
Higher discount, gated cart $150 20% $30.00 $120.00
The 20% deal looks better — but costs $43.50 more out-of-pocket. Percentage alone doesn't tell the full story.

Behavioral note: Minimum thresholds nudge shoppers to spend more to unlock a discount — often spending more total than they would have without the code. The discount percentage alone does not determine net financial benefit.

📊

1 in 4 Codes Fails

Across 87.2M codes, the national failure rate is 24.8% — adding friction, eroding confidence, and driving checkout abandonment.

🔒

Restrictions Are the Norm

31.4% of active codes are members-only. 61.4% of restricted codes have vague "Other" eligibility — shoppers often can't tell why they don't qualify.

🛒

Spend Gates Distort Savings

Median min. spend is $100; 90th percentile is $300. Higher discounts often cost shoppers more total, not less.

📦

Free Shipping Is Rising Fast

Free shipping codes up +59% since 2024. Free gifts up +119%. Both are harder to evaluate than a clean percentage discount.

🧩

Technically Valid ≠ Usable

Many codes are active in the system but narrowly applicable. The headline discount is real — the eligibility window is very small.

📉

Clarity Is Declining

As non-percentage offers grow, financial impact becomes less consistent — value depends on shipping costs, gift desirability, and hidden thresholds.

Source: SimplyCodes internal data, 8.3M active codes + 87.2M tested codes, 2024–2026. Failure-cause breakdown is illustrative.