Stamp of approval for return of stamps

Oct. 30—It's been 40 some years, but we're again collecting trading stamps and it brings back fond memories of Gold Bond and S&H Green stamps.

Everyone collected the sheets of stamps, which they got from grocers, gas stations and other retailers, with the number of stamps based on the amount of their purchase.

Unlike past stamps, which could be redeemed for a wide variety of items, this promotion started recently at a local grocery store and is done by just one company that lets you redeem them for different-size glass-storage containers with lids.

Every $10 bucks in spending gets you a stamp that you attach to a card. Three cards of 10 stamps gets you a small container with more cards scoring you larger containers or a baking dish.

If you're younger than age 50, you probably don't remember the trading stamps that were ubiquitous at retailers across the country. After collecting a stack of stamp sheets, people would sit at their kitchen table at night and lick or wet the stamps on a rag and paste them into books — the more books filled, the bigger the item they could be redeemed for.

While the Schuster department store in Milwaukee is credited with introducing the first trading stamps in 1891, it was a Minnesota business legend who created his first business empire from stamps.

Minneapolis businessman Curt Carlson founded the Gold Bond Stamp Company in 1938, in the midst of the Great Depression. He sold the first stamps to some small grocers in Minneapolis, with his wife going to stores, dressed in a gold costume, and setting up a table to explain to customers how to collect and redeem the stamps for cash or merchandise, from mops to toasters to mink stoles.

After World War II, Carlson's Gold Bond Stamp company grew to a national powerhouse and helped launch his future business endeavors, including hotel chains, restaurants and travel companies.

Red Owl, Piggly Wiggly, department stores and other retailers all got on the bandwagon, using Gold Bond or S&H stamps, or creating their own stamps.

While the stamps were a huge hit with the public, they were much maligned and under almost constant legal attack. Many store chains saw the program as a costly stunt. The A&P grocery chain president said the stamps were "a drag on civilization." He refused to use them — until he had to relent.

State and federal agencies filed suits accusing the stamp programs of being a violation of fair commerce laws that led to higher prices. States tried to place heavy taxes and fees on the stamps. Some retail associations sued.

The battle made it all the way to the U.S. Supreme Court, where one justice called trading stamps "an appeal to stupidity."

But the wild public appeal of trading stamps always won out.

In the end, trading stamps were done in by high inflation in the 1970s and a changing retail landscape. Consumers went to gas stations that had lower gas prices, but no stamp program, and big discounters like Kmart didn't have stamp programs but built loyalty through low prices and in-store promotions.

I'm not sure if there will be a resurgence of trading stamps, but there could be if manufacturers and retailers see it catch on.

Heck, Amazon could even send out stamps with people's orders.

I, for one, am glad to see the idea resurrected in a small way. When we drop $100 at the grocery store, I now have the satisfaction of knowing I just got a card full of stamps.

Never mind the card's only worth a few bucks toward a glass container. The joy is in the journey of collecting the stamps, not necessarily the destination.

Tim Krohn can be contacted at tkrohn@mankatofreepress.com or 507-720-1300.