> For the complete documentation index, see [llms.txt](https://developer.paddle.com/llms.txt).

# Recover abandoned checkouts

Checkouts that don't result in a purchase are considered abandoned. Recover these checkouts with automated emails and discounts to incentivize purchases and increase conversion rates.

---

Customers often start purchasing products and leave without completing the transaction. This is known as an incomplete or abandoned checkout.

Paddle tracks abandoned transactions and can automatically send emails to customers to incentivize them to return and finish their purchase. This helps you convert more sales and recapture lost revenue so you leave no money on the table.

{% callout type="note" %}
Checkout recovery is enabled by default if it's enabled in Paddle Classic or if you joined Paddle after May 2, 2025. If you signed up for Paddle before this date, you need to manually turn it on.
{% /callout %}

## How it works

When a customer opens a checkout, Paddle creates a [transaction](https://developer.paddle.com/api-reference/transactions/overview.md). If a customer doesn't make a purchase, the transaction is considered abandoned.

Customers can enter their email address during the checkout flow. If they do, Paddle uses this address to send a [recovery email](https://developer.paddle.com/concepts/sell/checkout-recovery.md) 60 minutes after the transaction was created. Only one email is sent per transaction.

Emails contain predefined content which our team have optimized to best encourage customers to return. When a customer clicks the link in the email and completes the checkout, the transaction is considered recovered.

### Discounts

[Discounts](https://developer.paddle.com/api-reference/discounts/overview.md) let you reduce the amount a customer pays when purchasing. As part of checkout recovery, you can offer a one-time, percentage-based discount to encourage customers to complete their abandoned transactions.

These discounts apply to the full value of the transaction and are only tied to the transaction being recovered. This means customers can't apply the discount to other checkouts and transactions.

We recommend offering a 10-20% discount as testing has found this range to be most effective.

If you choose to offer a discount, Paddle includes it in all checkout recovery emails. When customers click the link in the email, the checkout opens with the discount automatically applied.

Paddle doesn't send discounts to customers who:

- **Have already applied a discount**  
  If a discount was already applied during the original checkout, the recovery discount isn't included in the email.
- **Haven't agreed to Paddle's marketing consent**  
  Customers must agree to receive marketing emails from Paddle to receive a recovery discount.

If these conditions aren't met, customers still receive emails but without the discount offer.

{% callout type="info" %}
Discounts can't be stacked. If a customer adds a different discount to the checkout, it replaces the recovery discount.
{% /callout %}

You can update the value of the discount value through the dashboard when [configuring checkout recovery](#configure-checkout-recovery). This can't be updated through the API.

### Migration from Paddle Classic

If you're [migrating from Paddle Classic to Paddle Billing](https://developer.paddle.com/migrate/overview.md), checkout recovery is automatically configured based on your existing Paddle Classic setup, including any discounts you've already configured.

Unlike Paddle Classic, Paddle Billing doesn't charge an additional fee for recovered transactions.

## Before you begin

You'll need to set up either an [overlay checkout](https://developer.paddle.com/build/checkout/build-overlay-checkout.md) or an [inline checkout](https://developer.paddle.com/build/checkout/build-branded-inline-checkout.md).

Paddle only sends emails to recover [automatically-collected transactions](https://developer.paddle.com/build/transactions/change-collection-mode-transaction.md) created by a checkout.

{% callout type="info" %}
You don't need to create a discount to offer one. The discount you add when configuring checkout recovery is automatically created and separate from your existing discounts.
{% /callout %}

## Configure checkout recovery

{% instruction-steps %}

1. Go to **Paddle > Checkout > Checkout Settings**.
2. Click the **Recovery** tab.
3. Toggle the **Checkout recovery** slider on if it isn't already.
4. To offer a discount, toggle the **Apply a discount** slider on and enter the percentage amount in the field.
5. Click {% mock-button %}Save when you're done.

{% /instruction-steps %}

{% /dashboard-instructions %}

## Preview an email

After you've [enabled checkout recovery](https://developer.paddle.com/build/checkout/checkout-recovery#configure-checkout-recovery.md), you can preview the email that Paddle sends to customers who abandon their checkout.

{% instruction-steps %}

1. Go to **Paddle > Checkout > Checkout Settings**.
2. Click the **Recovery** tab.
3. Click {% mock-button %}Preview email

{% /instruction-steps %}

{% /dashboard-instructions %}