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I am confused about whether this discount type is applied to the entire order or to each product category.

On the coupon generation page in admin, the type of coupon is only listed as "Discount by an amount based on the quantity". However, on your website http://www.foxycart.com/features/feature/discounts/coupons is states "Discount by an amount based on the quantity

If I generate a coupon selecting "Discount by an amount based on the quantity" and using "1-25" as the discount, would this apply a €25 discount once to the overall order even if products are selected from several categories, or will the €25 discount be applied once per category?

Thanks for the clarification!

So it will apply the discount to all products inside the categories that the coupon applies to. A coupon can be applied to 1 or many different categories - so the coupon will apply to the products that it is set to affect via their respective categories.

Make sense?

Example: If I set the coupon to apply to All Categories and the customer buys a product from category A at 140.00 and one from category B at €160, will the final cost be €250 or €275?

I want it to be a single discount applied once for the full order, no matter what the categories, ie. €275 in the above scenario.

Thanks!

So the subtotal for the products will be $300. The discount of 1-25 in the coupon applied to all categories will discount by $25 and the order total will be $275.