Butters polled 17 out of a possible 20 votes in the last two rounds to take out the Coaches' Association champion-player award.
Daicos led the voting on 99, seven ahead of Butters, after round 22.
The Magpies utility missed the last three games because of his knee fracture and is in a race against time to be part of Collingwood's finals series.
Butters, 22, ended on 109 votes after polling in 16 of his 23 games and earning a maximum 10 votes in seven matches, including round 23.
Western Bulldogs captain Marcus Bontempelli also moved past Daicos to finish second on 102, while Melbourne star Christian Petracca was fourth on 98 and Brisbane captain Lachie Neale fifth with 91 votes.
But Daicos, the Brownlow Medal favourite before the injury, was recognised for his outstanding season as he won the Coaches' Association best young-player award.
He polled a whopping 129 votes, with Essendon's Nick Martin next on 50.
Butters has been a key reason for Port Adelaide finishing in the top four, averaging career-best statistics for disposals, marks and clearances.
"Zak is an exceptional person and the ultimate professional, and we are seeing the rewards this season of all the work he puts in," said his coach Ken Hinkley.
"Considering his size, he is fearless with the way he attacks the ball, and he's got this amazing ability to make special things happen for our team and to influence a game like not many others can.
"I believe that being voted by the coaches as the league's champion player is one of the highest honours a player can receive, and I could not be prouder that Zak has been recognised with this award."
Other awards to be announced at a Melbourne function on Wednesday night are the AFL Players' Association honours, the Rising Star and the All Australian team.
35°C