Free Shipping – Not Working

So for any local pick up orders, we offer a free shipping discount. But its taking the discount off the PRODUCT itself not the shipping when I am testing it. (private mode)

I set up the shipping method for free shipping in the shipping zone, its set to “requires – a valid free shipping coupon” then created the free shipping coupon of PICKUP, with percentage discount of 100% and clicked off the box for grants free shipping. no restrictions, etc. But when that coupon code is applied, its taking the 100% off the product NOT the shipping like its supposed to. Any suggestions?

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