What started as an incentive to lure customers has now become the reason to worry, Coupons. They were introduced when some excitement was to be created in the market and stir up the sleeping customers.
             However the reasons for a coupon have been made translucent.
             • Coupons provide incentives and motivate consumers to purchase the featured item.
             • Generates awareness and trial of new or improved products
             • Maintain or increase market share
             • Attract new users and builds relationships
             • Reinforces brand-positioning, delivers advertising message and enhances image
             • Increase or decrease brand switching
             • Adds value to offset competitors or private label products
             • Stimulates sales force, retailer and customer action
             • Readily acceptable by retailers
             Before a coupon system is introduced the objectives of such a decision must be assessed. Then also the evaluation of such an action has to be done. In order to evaluate the success of your promotions, you must establish measurable promotional objectives so you will be able to compare the results of your promotions that will present an accurate and comprehensive picture with your initial promotional goals.
             1. Determine the total cost of your coupon promotion. Be sure to include design, distribution, redemption and all other related costs.
             2. Get your per product margin – that is how much you make from each product you sell after subtracting out all the costs to sell the product.
             3. Divide the total coupon promotion cost by your per product margin and you get your breakeven – how many units the coupon promotion has to sell before it covers its own cost.
             4. Lastly, look and see if it was worth it
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