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{{Short description|American magazine subscriptions company}} |
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'''American Family Publishing''', a [[Jersey City]], [[New Jersey]] based company that sold magazine subscriptions, was best known for running [[contest]]s in which a large amount of money was offered as the prize, typically several hundred thousand or even larger amounts. The winner was claimed to be chosen at random among all who respond to the contest, regardless of whether a magazine subscription was purchased. |
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{{Infobox company |
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| name = American Family Publishers |
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| logo = |
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| logo_caption = |
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| image = |
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| trading_name = |
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| native_name = |
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| native_name_lang = |
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| romanized_name = |
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| type = |
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| traded_as = |
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| industry = Magazine subscriptions |
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| genre = |
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| fate = Shut down |
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| predecessor = |
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| successor = |
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| defunct = 1999 |
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| area_served = United States |
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| key_people = President: Ms. Terry L. Rupp |
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| production = |
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| services = |
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| revenue = |
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| parent = |
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| subsid = |
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| footnotes = |
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| former type = |
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| foundation = 1977 |
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| location_city = [[Newark, New Jersey]] |
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| location_country = [[United States]] |
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| locations = |
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| homepage = |
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}} |
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'''American Family Publishers''' was an American company that sold magazine subscriptions. Founded in 1977, American Family Publishers (AFP) was one of America's leading marketers of magazine subscriptions. AFP was jointly owned by TAF Holdings, Inc. (a subsidiary of Time Inc.) and a group of private investors. It is best known for running [[sweepstakes]] in which a large amount of money was offered as the grand prize (in a range of several hundred thousand to one or more million dollars). The winner was chosen at random, by a professional auditing company, from among all who responded to the sweepstakes, regardless of whether a magazine subscription was purchased or not.<ref name=Forbes>{{cite news|last=Faw|first=Larissa|title=The Curious Case Of Ed McMahon And The Publishers Clearing House|url=https://www.forbes.com/sites/larissafaw/2012/11/21/the-curious-case-of-ed-mcmahon-and-the-publishers-clearing-house/|accessdate=18 February 2014|newspaper=Forbes}}</ref> |
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The company's tactics attracted controversy, since the mailings that accompanied the contest promotions, which invariably included a form via which the recipient could purchase [[magazine]] subscriptions, frequently included language indicating that the recipient had already won a prize, or was a finalist who had improved chances of winning a prize, when this was not the case. Television exposes have also aired that claim to reveal, through [[garbology]], that the entries of people who did not order magazines were thrown away rather than entered into a random drawing. |
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==History== |
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In a related phenomena connected to the company's promotion tactics, news stories reported cases of [[elderly]] Americans travelling to [[Florida]] in an effort to collect the money (the company, at least for some time, routed their mail through [[St. Petersburg]], Florida), that they believed they had won, because of the promotional language contained in the contest entry forms. |
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Originally based in [[Newark, New Jersey|Newark]], New Jersey, then [[Jersey City, New Jersey|Jersey City]], New Jersey, the company's tactics attracted controversy, since the mailings that accompanied the sweepstakes promotions, which invariably included a form via which the recipient could purchase magazine subscriptions, frequently included language that seemed to indicate that the recipient had already won a prize, or was a finalist who had improved chances of winning a prize, when this was not the case.<ref name="Sun Sentinel winners">{{cite news|last=Belkin|first=Lisa|title=The Bottom Line On Sweepstakes:people Really Win|url=http://articles.sun-sentinel.com/1985-01-29/features/8501030901_1_american-family-publishers-sweepstakes-prize|archive-url=https://web.archive.org/web/20140222045936/http://articles.sun-sentinel.com/1985-01-29/features/8501030901_1_american-family-publishers-sweepstakes-prize|url-status=dead|archive-date=February 22, 2014|accessdate=18 February 2014|newspaper=Sun Sentinel winners}}</ref> |
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In a related phenomenon connected to the company's promotion tactics, news stories reported cases of [[elderly]] Americans traveling to Florida (the company, at least for some time, routed their mail through [[St. Petersburg, Florida]]) in an effort to collect the money that they believed they had won, because of the promotional language contained in the sweepstakes entry forms (for instance, their frequently used phrase '''You may have already won $10,000,000!''', although mitigated by an introductory line that stated "If you have the winning number...," led people to believe that they had already won the major prize).<ref name="Sun Sentinel">{{cite news|last=Frantz|first=Douglas|title=Florida: Sweepstakes Firm Targets Elderly|url=http://articles.sun-sentinel.com/1998-11-08/news/9811070150_1_american-family-publishers-sweepstakes-time-customer-services|archive-url=https://web.archive.org/web/20140222045939/http://articles.sun-sentinel.com/1998-11-08/news/9811070150_1_american-family-publishers-sweepstakes-time-customer-services|url-status=dead|archive-date=February 22, 2014|accessdate=18 February 2014|newspaper=Sun Sentinel}}</ref> |
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These claims eventually led to litigation by several states' attorneys general against the company, resulting in court orders requiring changes in the way the company promotes the contest. This resulted in the company, which was 50% owned by [[Time, Inc.]] filing for [[bankruptcy]]. The parent business of American Family Publishing, [[American Family Enterprises]], has also filed for bankruptcy. |
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Television exposé have also aired that claim to reveal, through [[garbology]], that the entries of people who did not order magazines were thrown away rather than entered into a random drawing; however, AFP claimed that this came from a misunderstanding of how AFP processed entries at that time. Most of AFP's entry envelopes had windows on the back revealing an [[Optical character recognition|OCR]] code to identify the customer and sweepstakes, as well as any magazine subscription stamps on the entry form. If a stamp appeared in the proper window, the envelope was opened for further processing; if not, the envelope was scanned for entry in the sweepstakes, then thrown away unopened. A separate checkbox below the return address also allowed AFP to process address corrections without opening the envelope.<ref name="LA Times (New Yorkers)">{{cite news|last=AP|title=New Yorkers Are Winners in Sweepstakes Case|url=https://www.latimes.com/archives/la-xpm-1998-aug-25-fi-16201-story.html|access-date=18 February 2014|newspaper=LA Times}}</ref> ''[[Star Search]]'' host [[Ed McMahon]] was the original spokesperson for American Family Publishers from its start and starting in 1993, [[Dick Clark]] (who co-hosted ''[[TV's Bloopers & Practical Jokes]]'' on [[NBC]] with McMahon) later became co-spokesperson with McMahon. |
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==Trivia== |
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[[Publishers Clearing House]] is a competitor to American Family Publishing that ran similar sweepstakes. The two companies were often mistaken for each other. |
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These claims eventually led to litigation by the attorney general of several states against the company, resulting in court orders requiring changes in the way the company promoted the sweepstakes.<ref name="Chicago Tribune">{{cite news|title=Sweepstakes Publisher Plans To Clarify Rules|url=https://www.chicagotribune.com/1998/03/15/sweepstakes-publisher-plans-to-clarify-rules/|access-date=18 February 2014|newspaper=Chicago Tribune}}</ref><ref name="Los Angeles Times">{{cite news|title=Sweepstakes Operator Seeks Court Protection|url=https://www.latimes.com/archives/la-xpm-1999-oct-30-fi-27764-story.html|access-date=18 February 2014|newspaper=Los Angeles Times}}</ref> The company complied, but increased lawsuits resulted in the company, which was 50% owned by [[Time, Inc.]], changing its name to [[American Family Enterprises]]. At that time, Time Inc. took a more hands-on role in the business, filing for bankruptcy in 1998. |
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==Competitors== |
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*[http://www.mises.org/freemarket_detail.asp?control=82&sortorder=articledate You (May) Win] |
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[[Publishers Clearing House]] (PCH) was a competitor to American Family Publishers that ran similar sweepstakes. The two companies were often mistaken for each other. Many believe, incorrectly, that Ed McMahon was the spokesperson for PCH. ''[[Star Search]]'' host [[Ed McMahon]] worked for only American Family Publishers according to a 1992 interview<ref>{{Citation |title=Ed McMahon • Interview (Tonight Show/Career) • 1992 [Reelin' In The Years Archive] |url=https://www.youtube.com/watch?v=IY2xlVos3nc |access-date=2024-03-05 |language=en}} (1:05 and 6:16)</ref>.''[[The $25,000 Pyramid]]'' host [[Dick Clark]] was a [[Spokesman|spokesperson]] for AFP as well.<ref name=Forbes /> PCH remains in business and promotes its products by means of sweepstakes. |
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==See also== |
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{{portal|Companies|New Jersey}} |
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==References== |
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{{Reflist}} |
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{{commons category|American Family Publishers}} |
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*[http://directmag.com/news/marketing_american_family_publishers_2/ American Family Publishers Settles Sweepstakes Suits] |
*[http://directmag.com/news/marketing_american_family_publishers_2/ American Family Publishers Settles Sweepstakes Suits] |
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*[http://directmag.com/news/marketing_american_family_publishers/ American Family Publishers Found in Contempt] |
*[http://directmag.com/news/marketing_american_family_publishers/ American Family Publishers Found in Contempt] |
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*[http://www.recordonline.com/1998/03/03-17-98/sweeps.htm 25 states 'newest winners' in AFP contest] |
*[https://web.archive.org/web/20050829200840/http://www.recordonline.com/1998/03/03-17-98/sweeps.htm 25 states 'newest winners' in AFP contest] |
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*[http://www.s-t.com/daily/12-99/12-11-99/a07bu050.htm Sweepstakes company settles lawsuit] |
*[http://www.s-t.com/daily/12-99/12-11-99/a07bu050.htm Sweepstakes company settles lawsuit] |
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*[http://www.lieffcabraser.com/afp.htm American Family Publishers Class Action] |
*[https://web.archive.org/web/20051023004703/http://www.lieffcabraser.com/afp.htm American Family Publishers Class Action] |
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[[Category:Companies based in Jersey City, New Jersey]] |
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[[Category:Companies based in Newark, New Jersey]] |
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[[Category:Defunct companies based in New Jersey]] |
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[[Category:Marketing companies established in 1977]] |
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[[Category:Direct marketing]] |
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[[Category:Companies that filed for Chapter 11 bankruptcy in 1999]] |
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[[Category:Mass media in Hudson County, New Jersey]] |
Latest revision as of 13:51, 8 November 2024
Industry | Magazine subscriptions |
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Founded | 1977 |
Defunct | 1999 |
Fate | Shut down |
Headquarters | , |
Area served | United States |
Key people | President: Ms. Terry L. Rupp |
American Family Publishers was an American company that sold magazine subscriptions. Founded in 1977, American Family Publishers (AFP) was one of America's leading marketers of magazine subscriptions. AFP was jointly owned by TAF Holdings, Inc. (a subsidiary of Time Inc.) and a group of private investors. It is best known for running sweepstakes in which a large amount of money was offered as the grand prize (in a range of several hundred thousand to one or more million dollars). The winner was chosen at random, by a professional auditing company, from among all who responded to the sweepstakes, regardless of whether a magazine subscription was purchased or not.[1]
History
[edit]Originally based in Newark, New Jersey, then Jersey City, New Jersey, the company's tactics attracted controversy, since the mailings that accompanied the sweepstakes promotions, which invariably included a form via which the recipient could purchase magazine subscriptions, frequently included language that seemed to indicate that the recipient had already won a prize, or was a finalist who had improved chances of winning a prize, when this was not the case.[2]
In a related phenomenon connected to the company's promotion tactics, news stories reported cases of elderly Americans traveling to Florida (the company, at least for some time, routed their mail through St. Petersburg, Florida) in an effort to collect the money that they believed they had won, because of the promotional language contained in the sweepstakes entry forms (for instance, their frequently used phrase You may have already won $10,000,000!, although mitigated by an introductory line that stated "If you have the winning number...," led people to believe that they had already won the major prize).[3]
Television exposé have also aired that claim to reveal, through garbology, that the entries of people who did not order magazines were thrown away rather than entered into a random drawing; however, AFP claimed that this came from a misunderstanding of how AFP processed entries at that time. Most of AFP's entry envelopes had windows on the back revealing an OCR code to identify the customer and sweepstakes, as well as any magazine subscription stamps on the entry form. If a stamp appeared in the proper window, the envelope was opened for further processing; if not, the envelope was scanned for entry in the sweepstakes, then thrown away unopened. A separate checkbox below the return address also allowed AFP to process address corrections without opening the envelope.[4] Star Search host Ed McMahon was the original spokesperson for American Family Publishers from its start and starting in 1993, Dick Clark (who co-hosted TV's Bloopers & Practical Jokes on NBC with McMahon) later became co-spokesperson with McMahon.
These claims eventually led to litigation by the attorney general of several states against the company, resulting in court orders requiring changes in the way the company promoted the sweepstakes.[5][6] The company complied, but increased lawsuits resulted in the company, which was 50% owned by Time, Inc., changing its name to American Family Enterprises. At that time, Time Inc. took a more hands-on role in the business, filing for bankruptcy in 1998.
Competitors
[edit]Publishers Clearing House (PCH) was a competitor to American Family Publishers that ran similar sweepstakes. The two companies were often mistaken for each other. Many believe, incorrectly, that Ed McMahon was the spokesperson for PCH. Star Search host Ed McMahon worked for only American Family Publishers according to a 1992 interview[7].The $25,000 Pyramid host Dick Clark was a spokesperson for AFP as well.[1] PCH remains in business and promotes its products by means of sweepstakes.
See also
[edit]References
[edit]- ^ a b Faw, Larissa. "The Curious Case Of Ed McMahon And The Publishers Clearing House". Forbes. Retrieved 18 February 2014.
- ^ Belkin, Lisa. "The Bottom Line On Sweepstakes:people Really Win". Sun Sentinel winners. Archived from the original on February 22, 2014. Retrieved 18 February 2014.
- ^ Frantz, Douglas. "Florida: Sweepstakes Firm Targets Elderly". Sun Sentinel. Archived from the original on February 22, 2014. Retrieved 18 February 2014.
- ^ AP. "New Yorkers Are Winners in Sweepstakes Case". LA Times. Retrieved 18 February 2014.
- ^ "Sweepstakes Publisher Plans To Clarify Rules". Chicago Tribune. Retrieved 18 February 2014.
- ^ "Sweepstakes Operator Seeks Court Protection". Los Angeles Times. Retrieved 18 February 2014.
- ^ Ed McMahon • Interview (Tonight Show/Career) • 1992 [Reelin' In The Years Archive], retrieved 2024-03-05 (1:05 and 6:16)
External links
[edit]- Companies based in Jersey City, New Jersey
- Companies based in Newark, New Jersey
- Defunct companies based in New Jersey
- Defunct mass media companies of the United States
- Marketing companies established in 1977
- Direct marketing
- Companies that filed for Chapter 11 bankruptcy in 1999
- Mass media in Hudson County, New Jersey