ELI5: Explain Like I'm 5

Trading stamp

Trading stamps are tiny stickers that stores give as a reward to customers who make purchases. You can gather these stickers into books, sort of like sticker albums. Once you have a full book, you can trade it in for a present, like toys or even bigger things like bicycles.

You can stick the trading stamps in a special book. Each page can hold a certain number of stamps, and there are spaces on the page for different kinds of stamps. You need to collect a certain number of each kind of stamp to complete the book, and then you can trade it in for a prize.

Stores used to give out trading stamps as an incentive for people to keep coming back to them. When you went shopping at that store, you got a few stamps for each dollar you spent. Customers who were frequent were able to collect a lot of stamps, and then get the prize they wanted.

These days, you don’t hear much about trading stamps because many stores have different ways to reward loyal customers, such as frequent shopper points or special store club cards. But they used to be a big deal, and a lot of people were very excited about collecting enough stamps to get their dream present.