DETERMINING A VALUE FOR A COUPON

Techniques are provided for determining, by a coupon distributor, a value for a coupon of a product or service that will be provided by a coupon provider. The coupon provider provides, to the coupon distributor, one or both of a budget value that indicates an amount the coupon provider is willing to pay the coupon distributor for distributing the coupon, and a redemption rate that indicates one or more target redemption rates. The coupon provider uses a coupon value equation to calculate the coupon value based on a budget value and a redemption rate. The coupon provider might estimate that no coupon value will allow the coupon provider to stay within the budget and ensure that the actual redemption rate will be close to a particular redemption rate, which may or may not be specified by the coupon distributor.