A system and method publish, distribute and redeem coupons on a network system. The system and method utilize a merchant server and a commerce server. The merchant server provides the merchant the ability to transmit requests to create a coupon, and transmit coupon data regarding the coupon creation. The commerce server receives the requests to create a coupon, and receives the coupon creation data. The commerce server saves the coupon data to a coupon database, and provides access to the coupon to customers on the network. A merchant server further provides the merchant the ability to receive a request for purchasing an item, and a request for redeeming a coupon for that purchase from a consumer. The merchant server verifies the coupon is a valid coupon, and allows the coupon to be redeemed in the purchase of the item if the coupon is valid. The merchant server upon redemption of the coupon, updates a coupon database to record that the coupon has been redeemed by the customer.