Why Are Coupons Worth 1/100th of a Cent?

iStock / WendellandCarolyn
iStock / WendellandCarolyn

The next time a coupon shows up in your mail, take a look at the fine print. There’s a pretty good chance it will read something to the effect of “Cash Value 1/100th of a cent.” Why in the world is that writing on there? And are 10,000 copies of this coupon really worth a whole dollar? Let’s take a look at this coupon quirk.

Putting a Stamp on Customer Loyalty

Before we can answer the coupon-value question, we need to take a peek into a seemingly unrelated footnote in the history of commerce. Let’s talk about the mostly forgotten practice of businesses handing out trading stamps with purchases.

Trading stamps first found their way into merchants’ registers in the 1890s. When customers made a purchase, stores would given them stamps that reflected how much they had spent; a common exchange rate was one stamp for every dime spent on merchandise. Once a customer had saved up enough stamps – often over a thousand – they could swap them for something from the stamp company’s catalog, like a toaster or a clock.

The trading stamps were a runaway success. Supermarkets, gas stations, and department stores would advertise that they gave away a certain brand of stamps to help lure customers in, and the customers could then lick and paste their saved stamps to get “free” merchandise. Everyone was happy, and the system flourished. At one point in the 1960s, S&H Green Stamps printed more stamps each year than the Postal Service did. The circulation of the company’s catalog topped 30 million. The big stamp makers like S&H even built brick-and-mortar “redemption center” stores around the country.

As any economist worth his cost function can tell you, though, the toasters and vacuum cleaners that customers got weren’t free at all. Merchants had to pay for the stamps they gave away, and the cost of the stamp obviously got passed along to the customer in the form of higher prices.

Even in the early days, it didn’t take long for customers to figure out that the system wasn’t quite as rosy as merchants made it out to be. By 1904 New York had enacted laws that forced stamp makers to put a cash face value on each stamp that would enable consumers to bypass catalog redemptions and get money back for their stamps. Other states followed suit.

As one might guess, the individual stamps didn’t get princely face values. A 1904 New York Times piece noted that most stamp makers were given the value of “one mill,” or 1/10th of a cent. That valuation meant that a customer with a full book of 1,000 stamps could redeem it for a dollar. The same piece noted, though, that a customer who used the stamp makers’ catalogs could probably get an item worth three or four dollars for the same number of stamps, so the cash-redemption idea never really took off with most shoppers.

What happened to trading stamps? Their popularity peaked in the 1960s when nearly 80 percent of American households saved stamps, but within a decade the craze had died. Manufacturer coupons that shaved money off of items’ prices became more popular as inducements to get shoppers into stores, and the fuel crisis of the early 1970s sapped away the stamps’ large market at gas stations.

So What Does All This Have to Do With Coupons?

At first glance, coupons and trade stamps wouldn’t seem to have all that much in common. After all, coupons lower the price of an item, while the beef with trade stamps was that they passed a hidden (and often unwanted) cost along to consumers. But some states legally lump trade stamps and coupons in together, so coupons distributed in these states have to bear some printed cash redemption value.

According to the Association of Coupon Professions, only three states require this declaration of redemption value: Indiana, Utah, and Washington. Since many coupons are designed for national distribution, though, the redemption value ends up printed on all of them. As with the old trade stamps, it doesn’t really matter how infinitesimal the stated value is as long as it’s not zero. Thus, you see coupons that are worth 1/10th, 1/20th, or 1/100th of a cent.

So Can I Round Up 20 Coupons and Get a Penny?

In theory, yes. It’s hard to find reliable, concrete examples of someone schlepping in a hundred coupons to swap them out for a penny, but the web is full of anecdotes in which people “test the fine print” by trading in a giant stack of coupons for their face value at the supermarket. In all likelihood, though, you’d need to mail the coupons to the issuing company, which is a pretty lousy financial proposition given the price of stamps.

If you’re sitting on a big pile of Shake N Bake coupons, you might as well give it a try; your supermarket will probably gladly surrender a penny to ensure you don’t make a scene.

Why Do Fruitcakes Last So Long?

iStock
iStock

Fruitcake is a shelf-stable food unlike any other. One Ohio family has kept the same fruitcake uneaten (except for periodic taste tests) since it was baked in 1878. In Antarctica, a century-old fruitcake discovered in artifacts left by explorer Robert Falcon Scott’s 1910 expedition remains “almost edible,” according to the researchers who found it. So what is it that makes fruitcake so freakishly hardy?

It comes down to the ingredients. Fruitcake is notoriously dense. Unlike almost any other cake, it’s packed chock-full of already-preserved foods, like dried and candied nuts and fruit. All those dry ingredients don’t give microorganisms enough moisture to reproduce, as Ben Chapman, a food safety specialist at North Carolina State University, explained in 2014. That keeps bacteria from developing on the cake.

Oh, and the booze helps. A good fruitcake involves plenty of alcohol to help it stay shelf-stable for years on end. Immediately after a fruitcake cools, most bakers will wrap it in a cheesecloth soaked in liquor and store it in an airtight container. This keeps mold and yeast from developing on the surface. It also keeps the cake deliciously moist.

In fact, fruitcakes aren’t just capable of surviving unspoiled for months on end; some people contend they’re better that way. Fruitcake fans swear by the aging process, letting their cakes sit for months or even years at a stretch. Like what happens to a wine with age, this allows the tannins in the fruit to mellow, according to the Wisconsin bakery Swiss Colony, which has been selling fruitcakes since the 1960s. As it ages, it becomes even more flavorful, bringing out complex notes that a young fruitcake (or wine) lacks.

If you want your fruitcake to age gracefully, you’ll have to give it a little more hooch every once in a while. If you’re keeping it on the counter in advance of a holiday feast a few weeks away, the King Arthur Flour Company recommends unwrapping it and brushing it with whatever alcohol you’ve chosen (brandy and rum are popular choices) every few days. This is called “feeding” the cake, and should happen every week or so.

The aging process is built into our traditions around fruitcakes. In Great Britain, one wedding tradition calls for the bride and groom to save the top tier of a three-tier fruitcake to eat until the christening of the couple’s first child—presumably at least a year later, if not more.

Though true fruitcake aficionados argue over exactly how long you should be marinating your fruitcake in the fridge, The Spruce says that “it's generally recommended that soaked fruitcake should be consumed within two years.” Which isn't to say that the cake couldn’t last longer, as our century-old Antarctic fruitcake proves. Honestly, it would probably taste OK if you let it sit in brandy for a few days.

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What’s the Difference Between Crocheting and Knitting?

djedzura/iStock via Getty Images
djedzura/iStock via Getty Images

With blustery days officially upon us, the most pressing question about your sweaters, scarves, hats, and mittens is probably: “Are these keeping me warm?” If you’re a DIY enthusiast, or just a detail-oriented person in general, your next question might be: “Were these knitted or crocheted?”

Knitting and crocheting are both calming crafts that involve yarn, produce cozy garments and other items, and can even boost your mental well-being. Having said that, they do have a few specific differences.

To knit, you need needles. The size, material, and number of those needles depends on the project; though most traditional garments are made using two needles, it’s also possible to knit with just one needle, or as many as five. But regardless of the other variables, one or both ends of your knitting needles will always be pointed.

While crocheting calls for a similar long, thin tool that varies in size and material, it has a hooked end—and you only ever need one. According to The Spruce Crafts, even if you hear people refer to the tool as a crochet needle, they’re really talking about a crochet hook.

crotchet hook and garment
jessicacasetorres/iStock via Getty Images

Part of the reason you only use one hook brings us to the next difference between crocheting and knitting: When crocheting, there’s only one “active loop” on your hook at any given time, whereas knitting entails lining up loops down the length of your needles and passing them between needles. The blog Darn Good Yarn explains that since each loop is attached to a long row of stitches, accidentally “dropping” one off the end of your needle might unravel the entire row.

Of course, you have a better chance of avoiding that type of manual error if you’re using a knitting machine or loom, which both exist. Crocheting, on the other hand, has to be done by hand. Since machines can create garments with extremely small stitches, some knit clothes can be much more lightweight or close-fitting than anything you’d be able to crochet—and knitted clothes can also be mass-produced.

When it comes to what the items actually look like, crochet stitches characteristically look more like knots, while knit stitches seem flatter and less bulky. However, materials and techniques have come a long way over the years, and now there’s more crossover between what you’re able to knit and crochet. According to The Spruce Crafts, socks and T-shirts—traditionally both garments that would be knitted—can now technically be crocheted.

knitting needles and garment
Sedan504/iStock via Getty Images

And, believe it or not, knitting and crocheting can even be used to depict complicated mathematical concepts: see what a crocheted hyperbolic plane, Lorenz manifold, and more look like here.

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