coupon

A coupon is a voucher that entitles the holder to a discount, a free product, or some other consideration when redeemed at the point of sale. Coupons may be issued by manufacturers, retailers, or third-party platforms and can appear as physical paper coupons, digital codes, or mobile wallet offers. They are designed to stimulate sales, reward loyalty, or introduce new products.

The term coupon originated in the 19th century and originally referred to detachable coupons attached to bonds or other financial instruments. Retail promotions using coupons began in the late 19th and early 20th centuries, and one of the earliest famous promotional campaigns involved Coca-Cola offering free drink coupons in 1887.

Coupons fall into several categories. Manufacturer coupons are distributed by product makers and are typically redeemable at any retailer that accepts them and may require the product to be purchased. Retailer coupons are issued by the store itself and may not be valid at competitors. Digital or mobile coupons are delivered via apps, email, or loyalty programs and often require scanning a barcode or entering a code. Print-at-home coupons and mail-in rebates are common variants, each with terms such as expiration dates, product exclusions, and purchase minimums.

Redemption and terms vary by country and retailer. Coupon use can influence consumer behavior, support price competition, and contribute to promotional revenue, while concerns about abuse, fraud, or overuse have led to stricter enforcement and anti-fraud measures.