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The Reasons Why The Manufacturers and the Retailers Use Coupons in Their Businesses.

Coupons are business certificates which allow the consumers with discounts on the purchased goods, certificates which are offered by the manufacturers and the retailers. The coupons are mainly offered by the manufacturers as business tools which are mainly used in the in the accomplishment of particular sales and marketing activities.They are particularly used with small business owners because they are cheap in their dissemination, in addition to their effectiveness.The coupons are mainly beneficial to the consumers as they save them a great deal of money.The proliferation of distribution of coupon based programs has however led to the increased production of trade centers.Increased number of coupons has mainly been beneficial in falling the rates of redemption in the past few years.

Unlike the trade allowances which are given to the retailers by the manufacturers, the coupons allow some savings to the consumers on the products that are being sold.The consumers mainly view the coupons as a non-permanent special offer than a reduction in the price of an item.Withdrawal of the coupons does not cause any major or harmful changes to the sales, hence proving to be very beneficial to the manufacturers.The coupons have the advantage of creating additional tariff for the retailers, who have the ability to double or triple the original value of the coupons offered by the manufacturers at their own personal expenses in the creation of extra store traffic.Additionally, most are the times when the retailers receive extra compensation from the producers for the purpose of handling the coupons.

The manufacturing industries mainly five out coupons to allow them the ability to run certain marketing strategies and objectives.The coupons are mostly used with new items that have been introduced into the market to encourage the consumers to try the new items without necessarily having to worry that they may lose their money in the process.This is achievable through reduction of the of the risks which may be as a result of trying new products that have been introduced in the market.Coupons are also important in turning the potential customers into committed and regular customers.

The coupons are not only used in the encouragement of customers to try out new products but also to try different flavors and products that have not yet manifested themselves in the market.They are also used by the manufacturers to reduce major competitions in the business field for the same goods by reducing their prices.They are also frequently used by the manufacturers to keep their customers from purchasing their goods in a competitive brand.

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