What's wrong with just simply using a single, simple UPDATE
statement??
UPDATE dbo.Coupon
SET NoofUses = (SELECT COUNT(*) FROM dbo.CouponUse WHERE Couponid = dbo.Coupon.ID)
That's all that's needed ! No messy and complicated cursor, no looping, no RBAR (row-by-agonizing-row) processing ..... just a nice, simple, clean set-based SQL statement.