--- title: "What Are User Groups?" description: "What are user groups? Learn how to set up group-specific shipping, payment, discount and permission rules in e-commerce, and try the cost calculator." url: https://www.faprika.com/en/blog/what-are-user-groups language: en site: Faprika --- # What Are User Groups? > What are user groups? Learn how to set up group-specific shipping, payment, discount and permission rules in e-commerce, and try the cost calculator. Retail customers, wholesale buyers, suppliers and your own staff all sign in to the same e-commerce site. If they all see the same shipping rule, the same payment options and the same campaigns, one group pays more than it should, another is restricted for no reason, and a third has more permissions than it needs. The short answer to **what user groups are**: a management feature that lets you sort members into classes by a shared trait and define separate shipping, payment, tax, discount and permission rules for each class. This guide explains what a user group is, why it matters in e-commerce, which areas you can set rules for, which groups each business should set up, how to create a group step by step, and the mistakes to avoid. Of the two tools in this post, one calculates the cost of a group that gets free shipping, and the other audits your group setup with eight questions. Before making a final decision on financial matters such as tax exemption, consult your accountant; this post gives general information and is not financial advice. Key Takeaway “Applying the same rule to everyone looks fair but is inefficient. Once you know your customers and sort them into groups, you can set the rule for the right person instead of for everyone.” ## What Is a User Group? A user group is a class in which you collect the members of your e-commerce site by a shared trait. A user is assigned to a group, and the shipping, payment, tax, discount and permission rules defined for that group are applied to the user automatically. A group lets you write a rule once and apply it to many people instead of writing rules user by user. So when a new wholesale buyer signs up, you just assign them to the right group instead of setting their perks by hand. ### Is a User Group the Same as a Customer Segment? No. A customer segment is a way of looking at customers to analyze their shopping behavior; a user group is a setting that runs on the site and applies rules. You can turn a customer cluster that comes out of segmentation into a user group and so carry the analysis into practice. | Concept | Purpose | What does it do on the site? | | --- | --- | --- | | Customer segment | Understanding customers by behavior | Gives you a view for analysis and targeting | | Customer group | Applying a rule to a group | Directly changes shipping, payment, tax, discounts and permissions | | User permission | Limiting panel access | Defines which areas staff can manage | Recommended reading What Is Customer Segmentation? How Is Segmentation Done with RFM Analysis in E-Commerce ? ## Why Do User Groups Matter in E-Commerce? Not all customers arrive with the same needs. A retail customer wants a quick, simple checkout; a wholesale buyer wants their own shipping agreement, tax status and special terms; a supplier may have to ship with a specific carrier; and staff should only do their own work in the panel. User groups let you manage these differences on a single site: - **The right perk for the right customer:** You give a costly perk such as free shipping only to the group you target, not to everyone. - **Controlled payment and shipping:** A payment type or carrier that does not suit a group is turned off for it. - **Less manual work:** The rule is written once in the group; when a new member joins the group, the rule applies automatically. - **Safer panel use:** Staff reach only the areas they need, which lowers the risk of touching the wrong setting. - **Personalized communication:** A group-specific campaign or message means more than a general announcement. We recommend reading What Is B2B E-Commerce ? How to Set Up a Wholesale Site: A Step-by-Step Guide ## What Can You Do with User Groups? User groups let you define rules in seven areas: shipping perk, tax exemption, payment restriction, carrier restriction, discount, panel permissions, and content and message separation. The graphic below shows these areas together. *Görsel: What are user groups: defining group-specific rules for shipping, tax, payment, carrier, discount, permission and message areas (The six main areas where rules can be defined for a user group)* ### 1. Shipping Perk If you tick the “free shipping” option when creating a group, members of that group do not pay shipping at checkout. It is a perk for a loyal customer or wholesale buyer group that raises conversion and repeat purchases; but because you bear the cost, you should define its scope deliberately. ### 2. Tax Exemption Some customer types may be tax-exempt. This option is in the group settings, and tax-free pricing applies to the members of the group. Which customer can be exempt is a financial matter; consult your accountant before defining the rule. ### 3. Payment Restriction In the restrictions section of the payment settings, you can turn off a payment type for a specific user group. For example, if you restrict cash on delivery for the admin group, its members cannot shop with that payment type. This way you control risky or unsuitable payment types by group. ### 4. Carrier Restriction In the restrictions section of the shipping settings, you can select a carrier for a user group or turn one off. For example, when a specific carrier is restricted for the supplier group, users in that group cannot choose that carrier when ordering. It is useful when shipping must go through the carrier you specify. We recommend reading What Is Regional Shipping Management? How to Set the Carrier by Region in E-Commerce : Country, City, District, User Group, Category, Brand and Supplier Restrictions, Desi and Flat Rate, Savings Calculator and Setup Audit ### 5. Group-Specific Discount In the discounts section of campaign management, you can tie a campaign to a specific user group. A member-only discount, a group-specific campaign for a certain category, or a seasonal offer is set up this way. The advanced discount module offers the user group among the campaign conditions. ### 6. Panel Permissions In the permissions section of the configuration menu, you define how much of the admin panel a group can access. For example, you can let the staff group reach only order and product management and keep it from touching other settings. ### 7. Content and Message Separation In script management you can define which user group specific code runs for, and in message templates you can also restrict by group. This makes it possible to send one message to wholesale buyers and another to retail customers. Tip Tie the perk to a goal, not to the group Before you say “let shipping be free,” write down why you are giving it: do you want to increase repeat orders, or keep wholesale buyers? A perk with a clear goal is easy to measure and to change when needed. ## Which Groups Should Each Business Set Up? Every business has a different group structure, but most e-commerce sites start with four core groups: retail customer, wholesale buyer, supplier and staff. The graphic below shows a sample setup. *Görsel: Sample user group setup: shipping, payment and permission rules for retail, wholesale buyer, supplier and staff groups (Four core groups and the rules you can set for each (sample))* | Group | Who is in it? | Common rule | | --- | --- | --- | | Retail customer | People who shop individually on the site | Standard shipping and payment options | | Wholesale buyer | Businesses that buy to resell | Group-specific discount, shipping perk | | Supplier | The party that ships for you or supplies you with products | Restriction to a specific carrier | | Staff | Your own team | Limited panel permissions, some payment types turned off | | Loyal customer | Regular, high-spending shoppers | Special discount or shipping perk | Okumanızı öneririz E –Ticaret Bayilik Sistemi Nasıl İşler? ## What Scenarios Can You Build with User Groups? The value of the group feature shows when it solves a real business problem. The three scenarios below show how the same feature is used in different businesses. ### Selling Wholesale and Retail on the Same Site If you sell both to individual customers and to businesses that resell, you do not need two separate sites. You assign wholesale buyers to a separate group and define group-specific discounts, shipping perks and messages for it. Retail customers keep seeing the standard rules. That way you serve two different customer types with a single storefront, one inventory and one admin panel. ### Working with Suppliers and External Teams If you work with a supplier that ships on your behalf or an outside team that supports you, you define a separate group for them. In the supplier group you limit the carrier to the one you specify, so shipping stays within the terms you agreed. For an external team, you limit panel permissions to only the area their work needs. ### Rewarding Regular Customers You can open a special group for customers who shop often and give them a group-specific discount or shipping perk. Because the perk is not open to everyone, its cost stays limited, and regular customers feel they are treated specially. This is a practical way to build a small privilege system without setting up a loyalty program. We recommend reading How to Set Up a Loyalty Program? A Practical Guide to Points Systems, Tier Design and Cost Calculation in E-Commerce ### What to Watch for in Group-Specific Messages When you send messages by group, tailor the content to the group’s needs. Minimum purchase terms, the new product list and order process information mean more to a wholesale buyer; a thank-you and a special offer mean more to a loyal customer. Sending the same text to every group wastes the targeted communication the group feature offers. ## How Do You Create a User Group? To create a user group in the Faprika panel, open user groups, add a new group, type its name and choose which perks you will give. Then you attach rules to the group in the payment, shipping, permission and discount settings. *Görsel: How to create a user group: defining the goal, adding the group, choosing perks, payment and shipping restrictions, permissions and discounts, assigning members (Setting up a user group in six steps)* 1. **Define the goal:** What are you setting the group up for: giving a perk, applying a restriction or limiting permissions? 2. **Add the group:** Give it a clear name. Choose a name that shows who is in it. 3. **Choose the perks:** Tick options such as free shipping or tax exemption for the group. 4. **Add payment and shipping restrictions:** Define the payment types to turn off and the carriers to restrict. 5. **Attach permissions and discounts:** Limit the staff group’s permissions and define group-specific campaigns. 6. **Assign members to the group:** Link existing users to the right group and test the rules with a test order. We recommend reading What Is a Discount Coupon? How to Create a Coupon Code and Use It Profitably in E-Commerce ## What to Consider When Designing a User Group - **Set up few but clear groups:** Many similar groups make management harder. You should be able to explain why each group exists in one sentence. - **Keep the name clear:** Instead of “Group 2,” use a name like “Wholesale buyer” that anyone looking at the panel will understand. - **Write the rule for the group, not the person:** Instead of writing a one-off rule for a special customer, assign that customer to a suitable group. - **Calculate the cost of the perk:** Perks such as free shipping raise your expenses. Look at the group’s order count and shipping cost to know how much you will bear in a year. - **Keep staff permissions narrow:** Open only the area a person needs for their job; widen it as required. - **Test the rule:** After creating the group, go through the cart, shipping and payment steps with a test user in that group. ## Which Metrics Measure Your User Group Setup? After setting up groups, you need to track whether they work. The metrics below show which group is working and which rule needs a review: - **Orders and order value by group:** Are the order frequency and basket size of the group you give a perk to increasing? - **Shipping cost by group:** What is the total cost of the free shipping perk? - **Cancellations and returns by group:** Is the cancellation or return rate different in a particular group? - **Abandonment caused by restrictions:** Is a payment or shipping restriction stopping a customer who should be able to from completing an order? - **Wrong group assignment:** Are there members linked to the wrong group? When reading these metrics, look at the trend over several periods, not a single one. If the order frequency of the group you give a perk to rises for several months in a row, the rule is working; if it does not, you need to narrow the perk or rethink the goal. Likewise, if the abandonment rate rises after a restriction, the restriction may be too strict. A group setup is not a setting you configure once and leave; it is a process you improve by measuring. ## How Do You Calculate the Cost of a Free Shipping Perk? Giving a group free shipping can increase orders, but you bear the cost. The tool below uses the group’s monthly order count and average shipping cost to calculate the monthly and yearly shipping cost you take on and its ratio to the order value. Free shipping perk cost calculator Monthly orders in the group Average shipping cost per order (currency) Average order value (currency) Shipping borne per month (currency)**9.600** Shipping borne per year (currency)**115.200** Shipping as a share of order value (%)**5,3** The shipping cost is equal to or more than the order value: free shipping loses money on every order in this group. Consider setting a minimum order value. The shipping cost is a fraction of the order value. Compare this ratio with your profit margin; keep the perk as long as it raises order frequency and basket size. Calculation: monthly shipping = order count × shipping cost; yearly shipping = monthly shipping × 12; ratio = shipping cost ÷ order value × 100. The values are examples; enter your own numbers. The main lesson of the tool is that the perk should be judged together with the order value, not on its own. The same shipping cost is a small burden on a large basket and a big one on a small basket; so when giving a group free shipping, you should also consider a minimum basket value. We recommend reading How to Make a Shipping Agreement in E-Commerce: A Guide to Getting Quotes, Calculating Shipping Fees and Passing Them to the Customer (2026) ## Common Mistakes When Setting Up User Groups - **Leaving everyone in one group:** If you do not use the group feature, the same rule applies to everyone and perks and restrictions cannot be told apart. - **Opening too many groups:** Dozens of very similar groups make management complicated and error-prone. - **Not calculating the cost of a perk:** A perk such as free shipping can turn into an unexpected expense item as the group grows. - **Not testing a restriction:** A wrongly set payment or shipping restriction stops the right customer from completing an order. - **Giving staff broad permissions:** More permission than needed raises the risk of unwanted setting changes. - **Assigning to the wrong group:** If a member is linked to the wrong group, the wrong perk or restriction applies. - **Defining tax exemption without control:** An exemption is a financial rule; it should not be granted without confirming with your accountant. - **Never reviewing the groups:** As the business grows, the purpose and rules of groups go stale; regular review is needed. ## How Do You Audit Your User Group Setup? Tick the eight questions below for your own site. Based on the items you tick, the tool shows how well settled your group setup is. User group setup audit I have sorted my customer types into groups Each group’s name clearly shows who is in it I have calculated the cost for groups that get perks I have defined payment and shipping restrictions by group I have limited staff panel permissions to their jobs I have group-specific discounts and messages I have tested the rules with a test user I review the groups at regular intervals Items that apply**2 / 8** Your group setup does not seem settled yet. First separate your customer types and give each group a clear name. The basic setup is there but gaps remain. Complete the missing items such as the cost calculation, restriction testing and permission limits. Your group setup is solid. Now track orders and costs by group and keep improving the rules. ## User Groups Checklist | Stage | Check | Done? | | --- | --- | --- | | Planning | Customer types and each group’s goal are written down | Yes / No | | Planning | The cost of perks is calculated | Yes / No | | Setup | Groups are added with clear names | Yes / No | | Setup | Free shipping, tax exemption and other perks are selected | Yes / No | | Rule | Payment and shipping restrictions are defined | Yes / No | | Rule | Staff permissions are limited to their jobs | Yes / No | | Verification | Each group is tested with a test user | Yes / No | | Maintenance | Groups are reviewed at regular intervals | Yes / No | ## How Do You Manage User Groups with Faprika? In the Faprika panel, user groups are the one place where you sort the members of your e-commerce site into groups and define separate perks, restrictions and permissions for each. The same groups are used across different parts of the site, so you write a rule once. *Görsel: Faprika user groups screen: group list, free shipping and tax-exempt perk labels, and the add new group button (User groups screen: groups and their perks in one list (names on screen are examples))* With Faprika, user groups are used in these areas: - **Group perks:** When adding a group, you can tick the free shipping and tax-exempt options. - **Payment restrictions:** Under configuration, payment settings and restrictions, you can turn off a payment type by group. - **Shipping restrictions:** In the restrictions in the shipping settings, you can set the carrier by group. - **Permissions:** In the permissions section of the configuration menu, you can limit a group’s access to the panel. - **Discounts:** In the discounts under campaign management, you can tie a campaign to a specific group. - **Script and message separation:** In script management and message templates, you can restrict by group. You can see which features are in which plan in the [e-commerce plans](https://www.faprika.com/en/pricing) comparison. For group-based shipping rules, see the [Regional Shipping Management](https://www.faprika.com/en/add-ons/regional-shipping-management) add-on; for group-specific campaigns, the [Advanced Discount Management](https://www.faprika.com/en/add-ons/advanced-discount) add-on; and for step-by-step use, the [user groups training page](https://www.faprika.com/en/tutorials/user-groups). We recommend reading What Is Automatic Carrier Assignment? How to Automate Carrier Selection by Order: Scenarios, Priority Order, Cost Calculator and Needs Audit ## Frequently Asked Questions **What are user groups?** A management feature that lets you sort the people who register on an e-commerce site into classes by a shared trait and define separate shipping, payment, tax, discount and permission rules for each class. **Is a user group the same as a customer segment?** No. A customer segment is an analysis used to understand customers by behavior. A user group is a setting that applies rules on the site; it directly changes behavior such as shipping, payment and discounts. **What perks can be given to a user group?** When you create a group, you can tick options such as free shipping and tax-exempt status. You can also define group-specific discount campaigns. **Can payment or shipping be restricted by user group?** Yes. In the payment settings restrictions you can turn off a payment type for a group, and in the shipping settings restrictions you can turn off or select a carrier for a group. **How are staff panel permissions limited with a user group?** In the permissions section you define which areas of the admin panel the group can access. For example, a staff group can be set up to reach only order and product management and no other settings. **What should you check before offering free shipping?** Check the group’s monthly order count, average shipping cost and average order value. If the shipping cost is close to the order value, the perk loses money; in that case you can set a minimum order value. Set up rules specific to your customer groups With Faprika, manage shipping, payment, discount and permission rules for your retail, wholesale, supplier and staff groups from a single panel. Let’s plan your group structure together with our experts. Request a Demo #### You May Also Like - [**What Is B2B E-Commerce? How to Set Up a Wholesale Site: A Step-by-Step Guide**](https://www.faprika.com/en/blog/b2b-e-commerce) - [**What Is Customer Segmentation? How to Segment Customers with RFM Analysis in E-Commerce**](https://www.faprika.com/en/blog/customer-segmentation) - [**What Is Regional Shipping Management? How to Set the Carrier by Region in E-Commerce: Country, City, District, User Group, Category, Brand and Supplier Restrictions, Desi and Flat Rate, Savings Calculator and Setup Audit**](https://www.faprika.com/en/blog/what-is-regional-shipping-management) - [**E –Ticaret Bayilik Sistemi Nasıl İşler?**](https://www.faprika.com/blog/e-ticaret-bayilik-sistemi-nasil-isler)