Automatic Age

Issue: 1937 May

AUTOMATIC AGE
M ay, 1937
13
Now is the Time to Assert Our Industry
By Arthur W. Luchs
HOUSE divided against itself
cannot stand.” It was Abraham
Lincoln who spoke those words in the
trying period of Civil W ar days. It
was the rallying cry of the times and
the focal point of his plan to main­
tain the Union at all costs. Lincoln
was far sighted enough to see that
disruption and dismemberment would
be the inevitable outcome for the
Union, unless all factions cooperated
and pulled together for the common
good.
The coin-operated machine indus­
try today is in a similar position to
this country during the stress and
strife of the pre-Civil W ar and the
Civil W ar period of history. It is
being assailed on many sides by fac­
tions, who in many cases are moti­
vated entirely by selfish interests, by
unscrupulous politicians, and the
usual run of limelight seeking
preachers and club members. These
groups are always alert to point a
finger at the entire coin-operated ma­
chine industry and direct propaganda
and the press against it. They dis­
tort facts and create fanciful tales
of fiction about fabulous wealth which
is now being garnered by coin ma­
chine operators. They call us robbers
and people who prey upon children,
while they allow gambling in all
forms to flourish around these same
children in convenient stores and
gathering places in practically every
well populated city block. It is be­
cause many of these same “holier
than thou” propagandists have their
finger in the gambling pie, that they
wish to divert attention away from
their own nefarious practices, to our
industry. They endeavor to build up
and hide behind a wall of camouflage
by throwing mud at the coin machine
industry, directing public attention to
it, so that they themselves might con­
duct their own illicit business prac­
tices without interruption.
Industry Is Unjustly Attacked
It appears as though people who
want public approbation and approval
deem it their “duty” to attack or “ex­
pose” something or somebody that
is going along doing its own work,
molesting no one and endeavoring to
make a living for its members and
their families. Something established
and doing a good constructive busi­
ness, is usually the object of these
eloquent spell binders, whose fre­
quent mouthings are heard by us
from all sides — press, radio and
speeches. It is always their purpose
to clean up this terrible menace
which confronts “our children.” They
create malicious propaganda and en­
deavor to sway public opinion. The
usual motive is not their zeal to de­
fend the children and public from
menacing practices, but to advance
their own cause, either political or
public, for their own personal aggran­
dizement.
It is about time for the entire coin­
operated machine industry to do an
about face in regard to absorbing all
of these unfair methods which are
being used to sway public opinion
and legislation against us. We have
been more or less content to sit back
and allow the malicious attacks to be
continued against us without retaliat­
ing in kind, or educating the public
to the correct facts of the situation.
Are we going to continue turning the
other cheek, or are we going to stand
up on our own feet and fight for our
rights and recognition? There is no
time better than the present for the
entire industry to get together and
put in some constructive licks for it­
self, which will offset, if not remove
the attacks directed upon us.
We Must Stand Together
We must continue to bear in mind
that if we pull together we will stand
and make headway, but if we are
divided in our thoughts and actions,
we will lose the fight. There is the
old adage that it takes fire to fight
fire. Let us fight our attackers with
their own weapons, the printed word
and the spoken word. W hat is needed
is a nationwide educational policy,
which will present all of the facts
pertaining to the industry, and its
place in business. We should inform
the public of the amount of money
invested in the coin machine industry,
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the number of people employed, the
number of direct and indirect wage
earners, the value of the products
used annually and the amount of
taxes paid to our already harassed
government. This can only be done
by cooperation and unification of the
entire industry. Not just the manu­
facturers alone, or the operators
alone, or the jobbers alone. Every­
body must do their part and keep
plugging along day by day, fighting
lies with facts, educating the public
to the fact that the majority of coin­
operated machines are strictly legal
and that the industry is one of the
major one’s of the entire country.
We Are Besieged with Rackets
It is time to attack the penny
raffles, grab bags, bank nights and
the many hundreds of other devices
which are flaunted in our faces on
all sides, endeavoring to entice
money from our pockets and our
childrens’ pockets. They cater en­
tirely to the gambling element, the
“take a chance” element, and give
nothing in return. Strong of will in­
deed is the young child who leaves
the corner store without succumbing
to the many prizes of cheap candy
or merchandise offered to him if he
picks the correct colored piece of
candy from a box, at one ccnt a
selection. The merchant withholds
some of the prize-winning candies,
putting a few in each layer, because
the children will not play them un­
less there are some of the big prizes
remaining. This is going on all about
us and nothing is being said or done
about it.
The industry should step out bold­
ly and expose the many gambling
rackets that are in operation, but in
addition they should begin a con­
structive educational policy to present
the facts about the coin machine in ­
dustry to the general public. The
best media for this purpose is the
press and the radio. All of this costs
money, yes, but it takes money to
fight money. Much money is being
spent to sway opinion against us, so
{Continued on page 23)
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M ay , 1937
AUTOMATIC AGE
14
MR. R E T A IL M ERCH AN T
G U A R D Y O U R P R O F IT S!
By Leo J. Kelly
Sales Manager , Exhibit Supply Company
TN this message we ask you for some­
thing that is above price—yet you
can give it freely without a penny of
cost to yourself— the thing we ask,
Mr. Retail Merchant, is your coopera­
tion.
Cooperation with a local business
man of your community—your opera­
tor of coin machines—the man who
places coin operated amusement de­
vices in your establishment without
any cost of any kind to you. This
operator who has been ever eager to
serve you with the best equipment
money could buy— who is ever at your
call day or night— winter or summer
— needs your help.
By helping him you help yourself
most. Unless you do help him—un­
less you lend him your political and
moral support, you are in grave dan­
ger of losing the most profitable
department in your place of business,
namely your amusement department.
If you have not considered your
amusement department seriously, let’s
stop just a minute and think over
these facts. The average pin ball ma­
chine occupies less than six square
feet of your floor space. If this pin
ball game earns you $10.00 per week
it means that much space makes you
a profit of $520.00 per year. Inasmuch
as this profit of $520.00 per year is
made from only six square feet, it
follows that each square foot of floor
space occupied by this game earns
you $86.70 per year.
Now then, suppose your store is 20
feet wide and 50 feet long or a total
of 1,000 square feet. If each square
foot of floor space in your store paid
you as well as your pin ball machine
as above outlined, you could make
1,000 times $86.70 or $86,700.00 per
year. And if you cut this figure in
half to allow for aisles you would still
have to make $43,350.00 to equal the
per foot profit you derive from your
pin ball machine that nets you $10.00
per week and only occupies 6 square
feet of floor space.
Leo J . Kelly
Your amusement department is the
most profitable department in your
store. It requires very little of your
time and in most instances the floor
space used is space that heretofore
has gone to waste.
If you lose your amusement depart­
ment, you lose tremendously. If you
rent your store you would certainly
become alarmed if your landlord in­
creased your rent $520.00 per year.
Well, if the coin machine now in your
store is removed, you lose a source
of profit that cannot be replaced. The
income you have derived from coin
machines has done much toward re­
ducing your overhead. This income
has certainly lessened your cost of
doing business.
You certainly won’t sell enough ad­
ditional merchandise to make up for
the loss. The burden of local and
national taxes will not be diminished
— your cost of doing business will be
just as high . . . nothing you do can
overcome this loss— you are the loser
—fully and completely because the
profit from coin machines is brand
new profit— profit you cannot obtain
in any other way.
© International Arcade Museum
But why should you be the loser?
Why should the minor politician,
whom your votes and votes of your
friends put into office, be swayed by
a minority group to the extent that
he will, through ill-advised legislation
deprive you of just profit?
There is no question that the ma­
jority of the people of your com­
munity and of the nation want pin
ball games and other amusement de­
vices. Yet, you and the majority suf­
fer because of an active minority.
We have in the past given scant at­
tention to the few who objected to
amusement devices and as a result of
our unpreparedness, we have seen
politicians follow the dictates of the
few and pass ordinances that pro­
hibited the use of amusement devices
of all kinds. Minority rule is not a
new evil— time after time we have
seen the active few force their dic­
tates upon the passive majority.
This active minority would now
deprive you of ever profiting from
coin operated amusement devices.
They say gambling must be sup­
pressed and then in radical fanaticism
shout, “ Down with everything that is
operated by coin.” To them everything
with a coin slide on it is a slot ma­
chine— and regardless of intent or
purpose of use of the equipment, they
proclaim loudly, “It ’s a gambling de­
vice.”
Let’s look at the law. Black’s Law
dictionary, page 534 says this: “A
game of skill, although the element
of chance cannot be entirely elim­
inated, is one in which success de­
pends principally upon the superior
knowledge, attention, experience and
skill of the player, whereby the ele­
ments of luck or chance in the game
are overcome, improved or turned to
his advantage.”
We do not know a single marble
table manufactured today that does
not require the player to exercise “at­
tention, experience and skill.” All
marble machines of late manufacture
permit the “superior knowledge” of
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