Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-07-29
TWO SCORE OR MORE VICTIMS
HERE "S0LD" AN ADVERTISING
SCHEME--PROMOTERS INDICTED

The Waterville- Winslow Chamber
OF Commerce is of the opinion after
making a careful investigation that
between 40 and 45 local business men
have been victimized by Point of
Purchase Advertising association,
which was recently indicted by the
Federal Grand Jury. This was a
flash sign company. which operated
according TO the following plan. The
Advertising Co. was to furnish two
electric signs. One a small one for
the buyers individual use. was a
sort Of premium. which was to ac-
company a membe rship card which
cost $500. The other was a large
sign in which was to be displayed
signs from national advertisers.
whose products are on sale in every
city. There were TO be ten of these
latter signs and for the service rem
dered By the store keeper in display
ing these he was TO receive a dollar
a month for each sign, but he was to
IIaV a ten dollar rental fee upon re
ccipt Of the big sign. AS matter
OF fact. after the victims paid their
81 90 membership fee the small
signs arrived by parcel post as {. ..
ID. parcel post packages. and it WAS
required to pay $1,000 TO get them.
r'aklug $1,000 in all. Some OF the
victims refused to pay the SlOOo
| G.. q. -. charge in spite OF the fact 1t
appeared that they would receive
$1,000 month from the company.
! The manager for this district was
one |. Bernstein OF Portland. 1t is
not known whether or not he is
named in the indictments.
The Point OF Purchase scheme bids
! fair to reap a golden harvest for Its
/ promoters due to the fact that II
sounded feasible to retailers. The
very name Point of Purchase" has
! an appeal 1t possesses advertising
! value. Retailers were easily sold on
the idea that manufacturers were
anxious to reach the customer right
| in the store-at the actual point OF
purchase where their trade name
| or sales message could be impressed
: 20 advantage.
Add to this the assurance that a
sufficient number OF reputable man
uracturcrs were ready to purchase
space nj tie terms of the contract
and II became easy in most cases &c
( secure the retailers signature. The
J scheme had several points of telling
: sl &c "a ne. monthly revenue. adNer-
! ts!us at negligible cost. and close
! u.-tip with national advertisers. All
| triaIIrts are familiar with dealer
helps. but here was a plan that Went
| further Il would not only help him
,to y the manufacturers goods al
A profit hut Il was actually supposed
30 nav him a Hat rate per month. The
( idea OF getting a revenue for the dis
PLAY OF advertising which would
gladly have been used in any event
/ was n powerful appeal that was res
ponslble for getting many "jolners
10 the so-Callcd association.
There was one big outstanding
weakness. however, and it did more
10 bring the scheme to its day OF
reckoning than anything else. The
enthusiasm of national advertisers
] for the plan was lacking. They were
NOT inclined TO spend their money Tor
This particular type of advertising
When TINS condition was disclosed
ltic house OF cards began to totter
| SAT iraUy the retailers focused thelr
attention on the revenue from ma
fional adv ertising For one thing II