> For the complete documentation index, see [llms.txt](https://responsive-media.gitbook.io/advanced-free-shipping/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://responsive-media.gitbook.io/advanced-free-shipping/building-rules/how-rules-work.md).

# How rules work

Conditions, rule groups (AND/OR) and delivery discounts explained.

A shipping discount answers two questions: **when** does it apply, and **what** gets discounted?

## Conditions: when it applies

Conditions sit inside a **rule group**.

* **Every condition in a rule group must be true (AND).** For example, "Cart total is at least $100" AND "Shipping country is one of Australia" means a $120 order to Australia qualifies, but a $120 order to New Zealand doesn't.
* **No conditions means the discount applies to every order.**

## Rule groups: alternative ways to qualify (OR)

To add another way to qualify, open the **⋯** menu on the Conditions card and choose **Add rule group**. The groups are joined with **OR**: **any one group** being true triggers the discount.

Example:

* **Rule group 1**: Customer tag contains VIP
* **OR Rule group 2**: Cart total is at least $100 AND Shipping country is one of Australia

VIP customers get free shipping on any order, and everyone else gets it on orders over $100 shipped to Australia.

![The Conditions card with two rule groups: AND joins conditions inside a group, OR joins the groups](https://staticfiles.us.gleap.ai/p6ad4251a43e13d5e6030fd91/FSWDFjYo36xoDgQ0riXrYI33e3sMznUTgScipcX6Jbn4TyHaG4QJJF8hHegQdBPZ3QycyD107eq.png)

**All rule groups share the same delivery discounts.** If you want different rewards (for example free shipping over $100 but $10 off over $50), create separate discounts. When a customer qualifies for several, Shopify gives them the one that saves the most.

## Delivery discounts: what gets discounted

In **Discount setup**, each **delivery discount** sets:

* **Delivery type**: Shipping or Local delivery.
* **Which rates**: all, the cheapest, or specific rates. See [Choose which rates to discount](/advanced-free-shipping/building-rules/choose-which-rates.md).
* **Discount value**: Free, Percentage, Fixed Amount Off or Fixed Price. See [Discount types](/advanced-free-shipping/building-rules/discount-types.md).

To discount different rates differently in one discount, use the **⋯** menu on Discount setup and choose **Add delivery discount**. For example, make Standard free and take $10 off Express. Every delivery discount uses the same conditions.

Don't point two delivery discounts at the same rate. Only one discount can apply to a rate, and you can't control which one wins.

## Tips

* **"Product A and Product B"** fits in one condition: use **Product in cart** with **Contains (all)**.
* **Location conditions need the shipping address**, so they're checked once the customer has entered it.