What do coupons represent in sales promotion?

Coupons represent a price discount on specific items, which is a direct financial incentive designed to encourage consumers to make a purchase. By offering coupons, businesses effectively reduce the price of a product, making it more appealing to potential buyers. This promotional tool can help stimulate sales, increase customer traffic, and enhance brand loyalty by offering consumers immediate savings on their purchases.

The allure of coupons lies in their ability to motivate shoppers to choose a particular product over others, as the perceived value increases when consumers feel they are getting a better deal. Additionally, coupons can be strategically used to clear inventory, introduce new products, or target specific market segments, thus reinforcing their role in sales promotions.

In contrast, options like contests, exclusive access, or free services do not directly provide price reductions on products, which is the core function of coupons in a sales promotion framework.