How to Show Shipping Discounts as “Discounts” in Shopify Order Reports?

We’re currently using the Shopify Functions (Migrated Shopify Function) for shipping discounts to offer free or reduced shipping rates on customer orders. However, we’ve noticed that when shipping profiles are changed or shipping discounts applied via these functions, Shopify’s order reports do not show these shipping reductions as “discounts.” Instead, the discounted or free shipping amounts only appear in the shipping charge field, not in the discount field within reports.

We’re looking for advice or possible solutions on:

  • How can we show shipping discounts as actual “discounts” in Shopify order reports? For example, so that accounting or marketing teams can clearly see how much we’re subsidizing shipping as part of order discounts.

  • Is there a way through Shopify’s native reporting, a third-party app, or customizing CSV exports?

  • Has anyone implemented a workaround or custom report to highlight shipping discounts?

Any guidance, best practices, or app recommendations would be greatly appreciated!

Hi @Shrutika_Lokhande

Shopify’s reporting system treats product/order discounts and shipping discounts differently. Shipping discounts applied via Functions reduce the shipping charge, but do not create a line item or field in the order’s “discounts” section. As a result, accounting and marketing teams cannot see the amount subsidized for shipping as a “discount” in standard reports.

There is currently no native way to show shipping discounts as “discounts” in order reports. One workaround could be to use Shopify Flow or a post-purchase webhook to tag orders where a shipping discount was applied, and then add a metafield to the order where the shipping discount amount is stored and used in a custom report.