Reader's Digest axes prize draws

Reader’s Digest is dropping its infamous prize draw mailshots for American subscribers after 41 years of giving away millions in cash awards.

At the same time, Reader’s Digest is trimming its guaranteed US circulation by a million copies to 10 million and promising to keep it at that level for five years.

The company is hoping such a loyal readership will be more attractive to advertisers, spokesman William Adler said.

Among the subscribers who will be “de-emphasised” are those who are in arrears, part of bulk mailings or third-party sales.

Reader’s Digest started using sweepstakes as a magazine promotion in 1962 and made extensive use of them through the end of the century to sell the magazine and other products.

The company was one of the four largest users of sweepstakes in the US.

In all, the Chappaqua-based Reader’s Digest gave away 200 million in cash in the United States and millions more overseas, Mr Adler said.