Monday, Nov. 17, 1947
Spiff Spiked
For years, Philco Corp. has offered retail clerks special incentives to push its radios. Under Philco's latest "Sell'n Win" plan, the clerks accumulated points for each Philco set sold and high scorers got "spiffs" (prizes) ranging from fountain pens to electric washing machines. Recently Philco tried a new twist: salesmen were to get chances in a drawing for cash spiffs. When the U.S. Post Office objected that Philco was conducting a lottery, Philco canceled the drawing.
But that did not stop the Federal Trade Commission. Last week it charged Philco with running "a lottery . . . stifling and suppressing competition in the manufacture and sale of radios." The spiff system would probably be tested in court.
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