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I want to add a product to cart when a coupon is applied. I created an observer on event controller_action_predispatch_checkout_cart_couponPost. But I don't get the applied coupon code in observer.

Can anyone tell me how to get it? Any help will be greatly appreciated..

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In your execute() method of your observer you can call the following code to get the coupon code:

$controller = $observer->getControllerAction();
$couponCode = $controller->getRequest()->getParam('coupon_code');

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