diff --git a/src/ApiGateways/Web.Bff.Shopping/aggregator/Controllers/BasketController.cs b/src/ApiGateways/Web.Bff.Shopping/aggregator/Controllers/BasketController.cs
index 9471c6e09..952968490 100644
--- a/src/ApiGateways/Web.Bff.Shopping/aggregator/Controllers/BasketController.cs
+++ b/src/ApiGateways/Web.Bff.Shopping/aggregator/Controllers/BasketController.cs
@@ -66,8 +66,9 @@ namespace Microsoft.eShopOnContainers.Web.Shopping.HttpAggregator.Controllers
                         ProductId = catalogItem.Id,
                         ProductName = catalogItem.Name,
                         PictureUrl = catalogItem.PictureUri,
-                        UnitPrice = catalogItem.Price,
-                        Quantity = bitem.Quantity
+                        UnitPrice = itemInBasket.UnitPrice,
+                        Quantity = bitem.Quantity,
+                        isDiscounted = false
                     });
                 }
                 else
diff --git a/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/BasketDataItem.cs b/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/BasketDataItem.cs
index 05fed054e..016a46b1f 100644
--- a/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/BasketDataItem.cs
+++ b/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/BasketDataItem.cs
@@ -16,6 +16,7 @@
         public int Quantity { get; set; }
 
         public string PictureUrl { get; set; }
+        public bool isDiscounted { get; internal set; }
     }
 
 }
diff --git a/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/UpdateBasketRequestItemData.cs b/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/UpdateBasketRequestItemData.cs
index 90800374d..a06be3aa2 100644
--- a/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/UpdateBasketRequestItemData.cs
+++ b/src/ApiGateways/Web.Bff.Shopping/aggregator/Models/UpdateBasketRequestItemData.cs
@@ -7,5 +7,7 @@
         public int ProductId { get; set; }      // Catalog item id
 
         public int Quantity { get; set; }       // Quantity
+
+        public bool isDiscounted { get; set; }  // Discount applied
     }
 }
diff --git a/src/ApiGateways/Web.Bff.Shopping/aggregator/Services/BasketService.cs b/src/ApiGateways/Web.Bff.Shopping/aggregator/Services/BasketService.cs
index 648a386c8..0f00334c5 100644
--- a/src/ApiGateways/Web.Bff.Shopping/aggregator/Services/BasketService.cs
+++ b/src/ApiGateways/Web.Bff.Shopping/aggregator/Services/BasketService.cs
@@ -60,7 +60,8 @@ namespace Microsoft.eShopOnContainers.Web.Shopping.HttpAggregator.Services
                         ProductId = item.Productid,
                         ProductName = item.Productname,
                         Quantity = item.Quantity,
-                        UnitPrice = (decimal)item.Unitprice
+                        UnitPrice = (decimal)item.Unitprice,
+                        isDiscounted = item.Isdiscounted
                     });
                 }
             });
@@ -92,7 +93,8 @@ namespace Microsoft.eShopOnContainers.Web.Shopping.HttpAggregator.Services
                         Productid = item.ProductId,
                         Productname = item.ProductName,
                         Quantity = item.Quantity,
-                        Unitprice = (double)item.UnitPrice
+                        Unitprice = (double)item.UnitPrice,
+                        Isdiscounted = item.isDiscounted
                     });
                 }
             });
diff --git a/src/Services/Basket/Basket.API/Grpc/BasketService.cs b/src/Services/Basket/Basket.API/Grpc/BasketService.cs
index 51633b326..556c8a97e 100644
--- a/src/Services/Basket/Basket.API/Grpc/BasketService.cs
+++ b/src/Services/Basket/Basket.API/Grpc/BasketService.cs
@@ -72,7 +72,8 @@ namespace GrpcBasket
                 Productid = item.ProductId,
                 Productname = item.ProductName,
                 Quantity = item.Quantity,
-                Unitprice = (double)item.UnitPrice
+                Unitprice = (double)item.UnitPrice,
+                Isdiscounted = item.isDiscounted
             }));
 
             return response;
@@ -93,7 +94,8 @@ namespace GrpcBasket
                 ProductId = item.Productid,
                 ProductName = item.Productname,
                 Quantity = item.Quantity,
-                UnitPrice = (decimal)item.Unitprice
+                UnitPrice = (decimal)item.Unitprice,
+                isDiscounted = item.Isdiscounted
             }));
 
             return response;
diff --git a/src/Services/Basket/Basket.API/Model/BasketItem.cs b/src/Services/Basket/Basket.API/Model/BasketItem.cs
index f781d5a60..e0cf26f2d 100644
--- a/src/Services/Basket/Basket.API/Model/BasketItem.cs
+++ b/src/Services/Basket/Basket.API/Model/BasketItem.cs
@@ -12,6 +12,7 @@ namespace Microsoft.eShopOnContainers.Services.Basket.API.Model
         public decimal OldUnitPrice { get; set; }
         public int Quantity { get; set; }
         public string PictureUrl { get; set; }
+        public bool isDiscounted { get; set; }
         public IEnumerable<ValidationResult> Validate(ValidationContext validationContext)
         {
             var results = new List<ValidationResult>();
diff --git a/src/Services/Basket/Basket.API/Proto/basket.proto b/src/Services/Basket/Basket.API/Proto/basket.proto
index 76ad33912..821c73e5d 100644
--- a/src/Services/Basket/Basket.API/Proto/basket.proto
+++ b/src/Services/Basket/Basket.API/Proto/basket.proto
@@ -31,4 +31,5 @@ message BasketItemResponse {
 	double oldunitprice = 5;
 	int32 quantity = 6;
 	string pictureurl = 7;
+	bool isdiscounted = 8;
 }
diff --git a/src/Services/Basket/Basket.UnitTests/Application/CartControllerTest.cs b/src/Services/Basket/Basket.UnitTests/Application/CartControllerTest.cs
index bdbf8afd4..212d7d66d 100644
--- a/src/Services/Basket/Basket.UnitTests/Application/CartControllerTest.cs
+++ b/src/Services/Basket/Basket.UnitTests/Application/CartControllerTest.cs
@@ -17,6 +17,7 @@ namespace UnitTest.Basket.Application
         private readonly Mock<ICatalogService> _catalogServiceMock;
         private readonly Mock<IBasketService> _basketServiceMock;
         private readonly Mock<IIdentityParser<ApplicationUser>> _identityParserMock;
+        private readonly Mock<ICouponService> _couponServiceMock;
         private readonly Mock<HttpContext> _contextMock;
 
         public CartControllerTest()
@@ -24,6 +25,7 @@ namespace UnitTest.Basket.Application
             _catalogServiceMock = new Mock<ICatalogService>();
             _basketServiceMock = new Mock<IBasketService>();
             _identityParserMock = new Mock<IIdentityParser<ApplicationUser>>();
+            _couponServiceMock = new Mock<ICouponService>;
             _contextMock = new Mock<HttpContext>();
         }
 
@@ -33,6 +35,7 @@ namespace UnitTest.Basket.Application
             //Arrange
             var fakeBuyerId = "1";
             var action = string.Empty;
+            var couponCode = string.Empty;
             var fakeBasket = GetFakeBasket(fakeBuyerId);
             var fakeQuantities = new Dictionary<string, int>()
             {
@@ -47,9 +50,9 @@ namespace UnitTest.Basket.Application
                 .Returns(Task.FromResult(fakeBasket));
 
             //Act
-            var cartController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object);
+            var cartController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object, _couponServiceMock.Object);
             cartController.ControllerContext.HttpContext = _contextMock.Object;
-            var actionResult = await cartController.Index(fakeQuantities, action);
+            var actionResult = await cartController.Index(fakeQuantities, couponCode, action);
 
             //Assert
             var viewResult = Assert.IsType<ViewResult>(actionResult);
@@ -61,6 +64,7 @@ namespace UnitTest.Basket.Application
             //Arrange
             var fakeBuyerId = "1";
             var action = "[ Checkout ]";
+            var couponCode = string.Empty;
             var fakeBasket = GetFakeBasket(fakeBuyerId);
             var fakeQuantities = new Dictionary<string, int>()
             {
@@ -75,9 +79,9 @@ namespace UnitTest.Basket.Application
                 .Returns(Task.FromResult(fakeBasket));
 
             //Act
-            var orderController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object);
+            var orderController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object, _couponServiceMock.Object);
             orderController.ControllerContext.HttpContext = _contextMock.Object;
-            var actionResult = await orderController.Index(fakeQuantities, action);
+            var actionResult = await orderController.Index(fakeQuantities, couponCode, action);
 
             //Assert
             var redirectToActionResult = Assert.IsType<RedirectToActionResult>(actionResult);
@@ -95,7 +99,7 @@ namespace UnitTest.Basket.Application
                 .Returns(Task.FromResult(1));
 
             //Act
-            var orderController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object);
+            var orderController = new CartController(_basketServiceMock.Object, _catalogServiceMock.Object, _identityParserMock.Object, _couponServiceMock.Object);
             orderController.ControllerContext.HttpContext = _contextMock.Object;
             var actionResult = await orderController.AddToCart(fakeCatalogItem);
 
diff --git a/src/Web/WebMVC/Controllers/CartController.cs b/src/Web/WebMVC/Controllers/CartController.cs
index d7e577c25..963ca5e6a 100644
--- a/src/Web/WebMVC/Controllers/CartController.cs
+++ b/src/Web/WebMVC/Controllers/CartController.cs
@@ -14,13 +14,15 @@ namespace Microsoft.eShopOnContainers.WebMVC.Controllers
     {
         private readonly IBasketService _basketSvc;
         private readonly ICatalogService _catalogSvc;
+        private readonly ICouponService _couponSvc;
         private readonly IIdentityParser<ApplicationUser> _appUserParser;
 
-        public CartController(IBasketService basketSvc, ICatalogService catalogSvc, IIdentityParser<ApplicationUser> appUserParser)
+        public CartController(IBasketService basketSvc, ICatalogService catalogSvc, IIdentityParser<ApplicationUser> appUserParser, ICouponService couponService)
         {
             _basketSvc = basketSvc;
             _catalogSvc = catalogSvc;
             _appUserParser = appUserParser;
+            _couponSvc = couponService;
         }
 
         public async Task<IActionResult> Index()
@@ -40,14 +42,24 @@ namespace Microsoft.eShopOnContainers.WebMVC.Controllers
             return View();
         }
 
-
         [HttpPost]
-        public async Task<IActionResult> Index(Dictionary<string, int> quantities, string action)
+        public async Task<IActionResult> Index(Dictionary<string, int> quantities, string couponCode, string action)
         {
             try
             {
                 var user = _appUserParser.Parse(HttpContext.User);
-                var basket = await _basketSvc.SetQuantities(user, quantities);
+
+                var vm = await _basketSvc.GetBasket(user);
+                if (action == "[ Submit Coupon ]")
+                {
+                    var updatedBasket = await _couponSvc.Apply(vm, couponCode);
+                    await _basketSvc.ApplyCoupon(updatedBasket);
+                }
+                if (action == "[ Update ]")
+                {
+                    var basket = await _basketSvc.SetQuantities(user, quantities);
+                }
+
                 if (action == "[ Checkout ]")
                 {
                     return RedirectToAction("Create", "Order");
@@ -60,7 +72,6 @@ namespace Microsoft.eShopOnContainers.WebMVC.Controllers
 
             return View();
         }
-
         public async Task<IActionResult> AddToCart(CatalogItem productDetails)
         {
             try
diff --git a/src/Web/WebMVC/Services/BasketService.cs b/src/Web/WebMVC/Services/BasketService.cs
index ec0afb456..d89350ef8 100644
--- a/src/Web/WebMVC/Services/BasketService.cs
+++ b/src/Web/WebMVC/Services/BasketService.cs
@@ -57,22 +57,7 @@ namespace Microsoft.eShopOnContainers.WebMVC.Services
         {
             var uri = API.Basket.UpdateBasket(_basketByPassUrl);
 
-            var basketUpdate = new 
-            {
-                BuyerId = basket.BuyerId,
-                Items = basket.Items.Select(item => new
-                {
-                    Id = item.Id,
-                    ProductId = item.ProductId,
-                    ProductName = item.ProductName,
-                    UnitPrice = item.UnitPrice * (decimal)0.10,
-                    OldUnitPrice = item.UnitPrice,
-                    Quantity = item.Quantity,
-                    PictureUrl = item.PictureUrl
-                }).ToArray()
-            };
-
-            var basketContent = new StringContent(JsonConvert.SerializeObject(basketUpdate), System.Text.Encoding.UTF8, "application/json");
+            var basketContent = new StringContent(JsonConvert.SerializeObject(basket), System.Text.Encoding.UTF8, "application/json");
 
             var response = await _apiClient.PostAsync(uri, basketContent);
 
@@ -137,7 +122,8 @@ namespace Microsoft.eShopOnContainers.WebMVC.Services
             {
                 CatalogItemId = productId,
                 BasketId = user.Id,
-                Quantity = 1
+                Quantity = 1,
+                isDiscounted = false
             };
 
             var basketContent = new StringContent(JsonConvert.SerializeObject(newItem), System.Text.Encoding.UTF8, "application/json");
diff --git a/src/Web/WebMVC/Services/CouponService.cs b/src/Web/WebMVC/Services/CouponService.cs
index 3f6c9673c..4b8741c1c 100644
--- a/src/Web/WebMVC/Services/CouponService.cs
+++ b/src/Web/WebMVC/Services/CouponService.cs
@@ -5,6 +5,7 @@ using Microsoft.Extensions.Options;
 using Newtonsoft.Json;
 using Newtonsoft.Json.Linq;
 using System.Collections.Generic;
+using System.Linq;
 using System.Net.Http;
 using System.Threading.Tasks;
 using WebMVC.Infrastructure;
@@ -14,23 +15,69 @@ namespace Microsoft.eShopOnContainers.WebMVC.Services
 {
     public class CouponService : ICouponService
     {
-        public Basket Apply(Basket basket)
+        private readonly IOptions<AppSettings> _settings;
+        private readonly HttpClient _apiClient;
+        private readonly ILogger<CouponService> _logger;
+
+        public CouponService(HttpClient httpClient, IOptions<AppSettings> settings, ILogger<CouponService> logger)
+        {
+            _apiClient = httpClient;
+            _settings = settings;
+            _logger = logger;
+        }
+        public async Task<Basket> Apply(Basket basket, string couponCode)
         {
-            //Basket updatedBasket = new Basket();
-            //updatedBasket.BuyerId = basket.BuyerId;
-            //// Todo: Stub for now, should reach out to a coupon microservice
-            //if (basket.CouponCode == "SM360")
-            //{
-            //    foreach (BasketItem item in basket.Items)
-            //    {
-            //        item.UnitPrice = item.UnitPrice - (item.UnitPrice * (decimal)0.1);
-            //    }
-            //}
-            //else
-            //{ 
-                throw new System.NotImplementedException(); 
-            //}
-            //return basket;
+            decimal discount = 0;
+
+            List<BasketItem> Items = new List<BasketItem>();
+            // Todo: Stub for now, should reach out to a coupon microservice
+            // Coupon for smart hotel 360 provides a 10% discount
+            if (couponCode == "SH360")
+            {
+                foreach (BasketItem Item in basket.Items.Select(item => item).ToList())
+                {
+                    if (Item.isDiscounted == false)
+                    {
+                        Items.Add(
+                        new BasketItem
+                        {
+                            Id = Item.Id,
+                            ProductId = Item.ProductId,
+                            ProductName = Item.ProductName,
+                            UnitPrice = Item.UnitPrice * (decimal)(1 - 0.1),
+                            OldUnitPrice = Item.UnitPrice,
+                            Quantity = Item.Quantity,
+                            PictureUrl = Item.PictureUrl,
+                            isDiscounted = true
+                        });
+
+                    }
+                }
+            }
+            else
+            {
+                foreach (BasketItem Item in basket.Items.Select(item => item).ToList())
+                {
+                    Items.Add(
+                        new BasketItem
+                        {
+                            Id = Item.Id,
+                            ProductId = Item.ProductId,
+                            ProductName = Item.ProductName,
+                            UnitPrice = Item.UnitPrice,
+                            OldUnitPrice = Item.OldUnitPrice,
+                            Quantity = Item.Quantity,
+                            PictureUrl = Item.PictureUrl,
+                            isDiscounted = Item.isDiscounted
+                        });
+                }
+            }
+            Basket basketUpdate = new Basket
+            {
+                BuyerId = basket.BuyerId,
+                Items = Items
+            };
+            return basketUpdate;
         }
     }
 }
diff --git a/src/Web/WebMVC/Services/ICouponService.cs b/src/Web/WebMVC/Services/ICouponService.cs
index fefeaa02e..ec4bcb846 100644
--- a/src/Web/WebMVC/Services/ICouponService.cs
+++ b/src/Web/WebMVC/Services/ICouponService.cs
@@ -8,6 +8,6 @@ namespace Microsoft.eShopOnContainers.WebMVC.Services
 {
     public interface ICouponService
     {
-        Basket Apply(Basket basket);
+        Task<Basket> Apply(Basket basket, string couponCode);
     }
 }
diff --git a/src/Web/WebMVC/Startup.cs b/src/Web/WebMVC/Startup.cs
index 427e234c7..694e2a7a9 100644
--- a/src/Web/WebMVC/Startup.cs
+++ b/src/Web/WebMVC/Startup.cs
@@ -160,6 +160,9 @@ namespace Microsoft.eShopOnContainers.WebMVC
             services.AddHttpClient<ICatalogService, CatalogService>()
                    .AddDevspacesSupport();
 
+            services.AddHttpClient<ICouponService, CouponService>()
+                 .AddDevspacesSupport();
+
             services.AddHttpClient<IOrderingService, OrderingService>()
                  .AddHttpMessageHandler<HttpClientAuthorizationDelegatingHandler>()
                  .AddHttpMessageHandler<HttpClientRequestIdDelegatingHandler>()
diff --git a/src/Web/WebMVC/ViewModels/BasketItem.cs b/src/Web/WebMVC/ViewModels/BasketItem.cs
index 115871f96..2117cebe9 100644
--- a/src/Web/WebMVC/ViewModels/BasketItem.cs
+++ b/src/Web/WebMVC/ViewModels/BasketItem.cs
@@ -7,6 +7,7 @@
         public string ProductName { get; init; }
         public decimal UnitPrice { get; init; }
         public decimal OldUnitPrice { get; init; }
+        public bool isDiscounted { get; set; }
         public int Quantity { get; init; }
         public string PictureUrl { get; init; }
     }
diff --git a/src/Web/WebMVC/Views/Shared/Components/CartList/Default.cshtml b/src/Web/WebMVC/Views/Shared/Components/CartList/Default.cshtml
index 19e1bd9b1..cf37304ee 100644
--- a/src/Web/WebMVC/Views/Shared/Components/CartList/Default.cshtml
+++ b/src/Web/WebMVC/Views/Shared/Components/CartList/Default.cshtml
@@ -34,23 +34,27 @@
         {
             var item = Model.Items[i];
 
-        <article class="esh-basket-items  row">
-            <section class="esh-basket-item esh-basket-item--middle col-lg-3 hidden-lg-down">
-                <img class="esh-basket-image" src="@item.PictureUrl" />
-            </section>
-            <section class="esh-basket-item esh-basket-item--middle col-3">@item.ProductName</section>
-            <section class="esh-basket-item esh-basket-item--middle col-2">$ @item.UnitPrice.ToString("N2")</section>
-            <section class="esh-basket-item esh-basket-item--middle col-2">
-                <input type="hidden" name="@("quantities[" + i +"].Key")" value="@item.Id" />
-                <input type="number" class="esh-basket-input" min="1" name="@("quantities[" + i +"].Value")" value="@item.Quantity" />
-            </section>
-            <section class="esh-basket-item esh-basket-item--middle esh-basket-item--mark col-2">$ @Math.Round(item.Quantity * item.UnitPrice, 2).ToString("N2")</section>
-        </article>
+            <article class="esh-basket-items  row">
+                <section class="esh-basket-item esh-basket-item--middle col-lg-3 hidden-lg-down">
+                    <img class="esh-basket-image" src="@item.PictureUrl" />
+                </section>
+                <section class="esh-basket-item esh-basket-item--middle col-3">@item.ProductName</section>
+                <section class="esh-basket-item esh-basket-item--middle col-2">$ @item.UnitPrice.ToString("N2")</section>
+                <section class="esh-basket-item esh-basket-item--middle col-2">
+                    <input type="hidden" name="@("quantities[" + i +"].Key")" value="@item.Id" />
+                    <input type="number" class="esh-basket-input" min="1" name="@("quantities[" + i +"].Value")" value="@item.Quantity" />
+                </section>
+                <section class="esh-basket-item esh-basket-item--middle esh-basket-item--mark col-2">$ @Math.Round(item.Quantity * item.UnitPrice, 2).ToString("N2")</section>
+            </article>
 
             <div class="esh-basket-items--border row">
-                @if (item.OldUnitPrice != 0)
+                @if (item.OldUnitPrice != 0 && item.isDiscounted == false)
+                {
+                    <div class="alert alert-warning esh-basket-margin12" role="alert">&nbsp;Coupon code was not valid.</div>
+                }
+                @if (item.OldUnitPrice != 0 && item.isDiscounted == true)
                 {
-                    <div class="alert alert-warning esh-basket-margin12" role="alert">&nbsp;Note that the price of this article changed in our Catalog. The old price when you originally added it to the basket was $ @item.OldUnitPrice </div>
+                    <div class="alert alert-warning esh-basket-margin12" role="alert">&nbsp;Coupon Applied Original Price $ @item.OldUnitPrice; New Price @item.UnitPrice </div>
                 }
             </div>
             <br />
@@ -68,9 +72,20 @@
             </article>
 
             <article class="esh-basket-items row">
-                <section class="esh-basket-item col-7"></section>
+                <section class="esh-basket-item col-7">
+                    <section class="esh-basket-item col-1">
+                        <input type="text"
+                               class="form-input form-input-medium"
+                               value="Coupon Code" name="couponCode"  />
+                        <input type="submit"
+                               class="btn esh-basket-checkout"
+                               value="[ Submit Coupon ]" name="action" />
+                    </section>
+                </section>
                 <section class="esh-basket-item col-2">
-                    <button class="btn esh-basket-checkout" name="name" value="" type="submit">[ Update ]</button>
+                    <input type="submit"
+                           class="btn esh-basket-checkout"
+                           value="[ Update ]" name="action" />
                 </section>
                 <section class="esh-basket-item col-3">
                     <input type="submit"
@@ -80,7 +95,7 @@
             </article>
         </div>
     }
-    
+
 </div>
 
-    
+
diff --git a/src/Web/WebSPA/Client/modules/basket/basket.component.html b/src/Web/WebSPA/Client/modules/basket/basket.component.html
index 72edb9ace..e45a1bbd3 100644
--- a/src/Web/WebSPA/Client/modules/basket/basket.component.html
+++ b/src/Web/WebSPA/Client/modules/basket/basket.component.html
@@ -36,7 +36,9 @@
             </article>
             <br/>
             <div class="esh-basket-items-margin-left1 row">
-                <div class="alert alert-warning" role="alert" *ngIf="item.oldUnitPrice > 0">&nbsp;Note that the price of this article changed in our Catalog. The old price when you originally added it to the basket was $ {{item.oldUnitPrice}} </div>
+                <div class="alert alert-warning" role="alert" *ngIf="item.oldUnitPrice > 0 && item.isDiscounted == false">&nbsp;Note that the application is jacked... added it to the basket was $ {{item.oldUnitPrice}} </div>
+                <div class="alert alert-warning" role="alert" *ngIf="item.oldUnitPrice > 0 && item.isDiscounted == true">&nbsp;Coupon was applied. New price: $ {{item.UnitPrice}} Old Price: $ {{item.oldUnitPrice}} </div>
+
             </div>
         </div>
     </div>