Online coupons, often called e-coupons, are offered by both online and offline stores. For online stores, e-coupons provide discounts to customers who buy product contained in the Web site. Offline stores, on the other hand, utilize printable e-coupons for use at the real-world stores. These e-coupons must be printed by the customer and then physically brought to the store.

E-coupons provide several advantages for both the buyer and seller. Since customers rarely tend to use e-coupons unless the merchandise is needed, it is generally not necessary for sellers to advertise coupons in newspapers and magazines. Typically the demand for these products is not constant and customers tend to look for e-coupons only when they need to purchase the product. From the seller's perspective, e-coupons serve as near-permanent advertisements for their products. Since they are not subject to publishing schedules or costs, and are easily changed as needed, e-coupons represent a low-cost and highly flexible solution for businesses. E-coupons can be offered around the clock, every single day for as long as desired. It's also possible for sellers to offer their e-coupons to a specific target market. The customer's online contact details like email or Web sites can be used to send the offer. Since, like ordinary published coupons, e-coupons have an expiry date the business can set those dates such that there is no pressure to honor all the e-coupons.

A bit advantage to buying from an online store using e-coupons is that the customer can dispense with the hassle of clipping and saving coupons. All that is required now is a simple click of the mouse on the e-coupons section of the Web site.

E-coupons are a great way for sellers to do business on the Internet, promote their products and generate demand for them. It can help businesses keep their Web sites and offline shops supplied with a steady flow of online customers. Many businesses offer e-coupons on a daily basis through their Web sites. Businesses in this case will offer discounts through e-coupons on different products each day. E-coupons also serve to increase the number of new customers coming to offline stores with printed coupons to redeem the discount on products. Seasonal e-coupons, offered at times such as Christmas or Halloween, are also quite common. E-coupons are offered on virtually every imaginable item, including those that people use daily such as toiletries, groceries and household products.

E-coupons help advertise the products of a business online. They represent a powerful marketing venue to help businesses use the Internet to increase their sales by reaching a wider range of customers.