For use in a retail store point-of-sale system having a plurality of terminals at customer checkout locations, each with means for reading manufacturers' source product codes on purchased items in a customer order, and a store controller with which the terminals can communicate, the store controller having access to an item record file containing price and other information for each product item, a method for automatically generating a customer coupon advising the customer of a product discount, solely in response to the purchase of one or more preselected items, the method comprising the steps of:
- preselecting at least one triggering product, the purchase of which is intended to initiate an automatic discount;
- storing the terms of at least one discount deal relating to the discount to be automatically applied;
- identifying the triggering product in the customer order by the source code of the product;
- associating the triggering product with the previously stored terms of the discount deal;
- and
- automatically generating the customer coupon without operator intervention, and without the intervention or participation of the customer other than in purchasing the triggering product.