Many individuals nowadays find the coupon business to be a lucrative venture. The thought of purchasing one book to cut expense from different necessities (and little luxuries) make this money-making endeavor enticing to customers. However, like all other businesses, starting it is not an easy thing to do.

To avoid failure, these mistakes have to be avoided:

1. No Proper Research

Most entrepreneurs do not succeed in this venture because they miss doing thorough research about the business. These people fail to:

• Identify their target markets
• Put a specific budget to start the business
• Explore and study the service businesses and merchants in their locality
• Distinguish their possible competitors
• Come up with a time-table to get things done

2. Unattractive Coupons

The coupons are the very heart of the business, therefore, refusing to invest in them will only give an unfavorable outcome. Thus, the following must be avoided:

• Designing coupons without the proper software and/or lacking the skill to operate it
• Printing all the coupons without doing an initial copy to check for quality
• Producing the coupons in a poor paper and low-quality printer
• Distributing coupon books without showing it to partner merchants for approval

3. Weak Relationship with Partnering Establishments

This particular business will be of no value without a strong relationship with business partners. Therefore, to achieve this, you must avoid the following:

• Entering into an arrangement without a contract
• Using ambiguous terms and conditions in the agreement
• Partnering with an establishment without a clear understanding of what to and what not to expect from each party

4. Unconvinced and Unsatisfied Customers

The main objective of venturing into a coupon business is to convince the target customers that coupons would be to their advantage as far as cutting expense is concerned. Failing to do so would defeat the purpose of your business. To persuade customers and ensure their satisfaction, the following should not be done:

• Assume that people will buy coupon books just because it makes sense to you
• Mislead customers with non-existent sales or super huge discounts with many qualifying conditions
• Deceive target customers with coupons not properly stating what is included and what is not included in the deal
• Distribute coupons without indicating the expiration date

5. Poor Campaigning

The secret that many successful businesses know is how to run an effective campaign or marketing strategy. The same holds true for the coupon business. Promotions will not only attract customers, but will also help build a sense of business identity (i.e. your coupons will become recognized and better accepted). To establish an effective marketing campaign, you must avoid:

• Scrapping a budget for marketing
• Promoting without identifying target clients
• Moving on with the promotion without a specific strategy and positioning
• Concentrating on only one medium

Deciding to start a coupon business requires proper planning; taking these mistakes into account, backed with enthusiasm and interest toward the business, will help to ensure success.