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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

Stanford Center for Research in Disease Prevention, Stanford University School of Medicine, Palo Alto, CA 94304, USA. feighery@scrdp.stanford.edu

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.

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