Retail trade incentives: How tobacco industry practices compare with those of other industries

E.C. Feighery, K.M. Ribisl, D.D. Achabal and T. Tyebjee

American Journal of Public Health, 1999, vol. 89, issue 10, 1564-1566

Abstract: Objectives. This study compared the incentive payments for premium shelf space and discounts on volume purchases paid to retailers by 5 types of companies. Methods. Merchants were interviewed at 108 randomly selected small retail outlets that sell tobacco in Santa Clara County, California. Results. Significantly more retailers reported receiving slotting/display allowances for tobacco (62.4%) than for any other product type. An average store participating in a retailer incentive program received approximately $3157 annually from all sampled product types, of which approximately $2462 (78%) came from tobacco companies. Conclusions. Future research should assess the impact of tobacco industry incentive programs on the in-store marketing and sales practices of retailers.

Date: 1999
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Persistent link: https://EconPapers.repec.org/RePEc:aph:ajpbhl:1999:89:10:1564-1566_5

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