The Johnson City comet. (Johnson City, Tenn.) 1916-1917, 1916-08-10
SAYS TRADING COUPONS
THE WRONG PRINCIPLE
ATLANTA Constitution

MdISndll rlelu q w. Sdlu III q iS-
cent public letter:
Coupons packed with merchandise
do not in any way add to the value
of such merchandise. We have, there
fore, decided that after our present
stocks containing profit-sharing cou-
pons are exhausted that our retail
and wholesale business will not carry
any merchandise that would involve
us in the distribution of profit-shar-
ing coupons, as the principle would
be contrary to the long-established
policies and ideals that have built up
our institution"
John Wanamaker's personal opin-
ion is.
Il have never believed in profit
sharing coupons of any kind to pro-
mote the sale of specialties, because
the expense must be borne by some
one, and the probability is that it will
be added TO the price of the manu-
featured article before the retailer
gets it in hand. The Wanamaker
stores long since issued Instructions
that no goods containing trading
stamps or coupons will be placed on
sale"
Filenes, the big Boston store, has
thrown out every line of merchandise
carrying coupons or premiums of any
kind.
Trading stamps, profit-sharing cou-
pons etc, do not create new business
They are not capable of creating a
demand for specific product on its
merits. or to stir up the desire to
buy. They do not lower the selling
cost, because, irrespective of any
value, there still remains the same
standing coupon-charge of each ar
ticle sold Trading stamps and cou-
pons encourage scheme merchandis-
ing" rather than the sales based upon
quality and fair price. Full value
should be placed on the goods them
selves rather than on the coupons re-
ceived with the goods. This is i'm
possible as long as trading stamps
and coupons are prominently featur-
ed. The merchant or the manufac-
turer or the jobber who gives trading
stamps or profit-sharing coupons
with his products must do one of two
things-either hold up and increase
the price of his goods or lower the
quality or quantity of same while pre-
tending to keep up their standard.
One of the largest firms in America
giving coupons in connection with
purchases has stated that only 40 to
so per cent of the premium value of
its coupons is redeemed. Investiga-
ton has shown that premiums listed
in premium catalogs are worth in
some instances less than so per cent
of the value claimed for them. If
the state of Georgia had shipped into
it last year $5,000O00 worth of prem
ium goods, as stated by one of the
premium companies representatives, |
this means that the buying public of
Georgia spent from $10,0O0,000 to $12.-
100000 during 1915, of which amount
SIS, 10000 to 100000 was absolutely |
lost by Georgia and Georgia's peo-
pie.
Think of the immense benefit that |
would be derived by the people of
Georgia if that 100000 or $4,000 600 |
were spent in building new schools
and putting modern improvements IL
the old schools of Georgia, or build
ing good roads, developing water
power, or put into circulation within
the state.
If the people of Georgia and this
includes the head of every family in
to be fairly forced to
pay all UNNECESSARY anu TAX VI
$4,000, 900 to $12,OO0,0O0 every year,
for which they get in return articles
of questionable service and value
worth approximately 50. 100000 to 49,
100000, making deficit of $5,000,000
to $7,0G0,000 then it would be better
If this tax was levied in such way
that it would remain within the state
Of Georgia and be used in the upbuild-
ing of Georgia.
Stop this needless waste. which not
only means the waste of the actual I
dollars sent out of the state, but is 1
doubled on account of this unfair 4
forcing Georgia industry 4
ito the bankruptcy court. II is time I
o act, and the people of Georgia are =
this Georgia legislature to 4
eliminate the trading stamp and cou- \
ION evil from Georgia. =
J. P. ALLEN. =
]. P. Allen & Co, Atlanta, Ga. =