Several retailers have attempted to scam the IQOS rewards programme by falsifying registrations for the device, Philip Morris (PML) has confirmed.
Under the tobacco firm’s loyalty scheme for its heat-not-burn device, retailers are offered financial incentives for every new IQOS user and device they register in their shops.
However, Better Retailing understands there have been various recent incidents where retailers have created fake registrations in attempts to rig the scheme. Several sources close to the tobacco firm confirmed to RN that PML had begun to crackdown on the scam following suspicions of some store owners.
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Asked about the crackdown, a PML spokesperson told RN: “Our IQOS Rewards Program incentivises device registrations by existing adult smokers and has proved very popular with retailers.
“As part of our ongoing due diligence, we regrettably identified a very small number mis-redemptions related to retailers earlier this year. These stores were immediately removed from the scheme.”
The scam comes as the government has written to Sainsbury’s and Morrisons asking them to remove advertisements and promotions for IQOS devices in stores over allegations they are breaking the law. However, according to the BBC, PML has disputed the claims, stating the advertisements comply with advertising laws.
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