Tripartite promotional plan In the grocery industry

No. 356. Tripartite promotional plan In the grocery industry. The Commission issued an advisory opinion with respect to tripartite promotional plan in the grocery field. The applicant proposed to rent space to advertisers on a mechanical device containing a moving message, the purpose of which is to advertise products at the shelf level in retail grocery stores. The applicant would offer retail stores having weekly gross sales of $30 000 or more $3 per 2-week period per device for at least five devices (with an option to install up to 20 devices) as rent for the area necessary for the installation of the advertising devices. Stores having weekly gross sales of less than $30 000 would be furnished signs for them to attach to their shelves or other suitable point-of-sale area of similar size to the mechanical device offered to the larger stores. Stores with weekly gross sales of Jess than $30 000 would also be furnished display materials such as aisle indicators and generic product ads. Stores with weekly gross sales of $20 000 to $30 000 would be paid $1.50 per 2-week period per sign; stores with weekly gross sales of less than $20,000 would be paid 19 cents per 2-week period per sign. The Commission expressed the view that were the proposed promotional assistance plan implemented, the Clayton Act, Section 2 (d) and/or (e), as amended , and/or the Federal Trade Commission Act, Section 5 would probably be violated because neither the payments nor the services under the plan are offered on proportionally equal terms and the 'j alternatives " are not al1 made available to each competing customer. (File No. 693 7077 Released July 11 , 1969)