Coin Machine Review (& Pacific ...)

Issue: 1949 June

REGIONAL REPORTS
(Continued f rom page 42)
a legal standpoint and locations have all
th e games for which space can be found
in any way; games are in good condition
and buying of new games is fair. Occasion-
ally, there is a minor flurry about bells but
pin ball seems to be an institution.
Distributors who sell shuffleboard say they
think it has reached its peak here; coin op-
eration is not in vogue but may be tried to
see if it will pep up the boards. One dis-
tributing firm claims to have sold more
than 300 boards in the area, which gives
some idea of how shuffleboard has spread.
But the distributor agrees that shufflehoard
has cut heavily into pin ball sales and play.
After Derby Day the summer season
really begins. Vending machines have been
affected by the general slowing of indus-
trial activity here. The state generally re-
ports plenty of money, since farm ers made
good ·tobacco money this year. Vendors for
soft drinks are expected to show normal
increases during the summer and ice cream
vendors are said to be increasing.
SI. r.ouis
Operators r eport an optimistic view dur-
ing the summer months, with the Industry
in general feelin g less pinch than r etail
stores, amusement enterprises such as the-
atres, night clubs, etc. Particularly on the
upturn is the pin ball fi eld. " Looks like
people who used to spend $2 or $3 fo: a
show or evening in a tavern are contentmg
themselves with a pin game shootin g period
instead," Del Veatch of V. P. Distributin_g
Co. said. "It is obvious that everyone 1s
cutting down on unnecessary expense, but
the coin machine with its nickel and dime
'prices' isn' t suffering."
All but a very small percentage of St.
Louis venders have big plans for theatre-
lobby soft drink machines. About half of
the theatres in th e city are equipped with
at least one drink vendor, with as many as
six in the bigger pictu re houses on Grand
Avenue. Collections are excellent in all lo-
cations, surprising because St. Louis' blis-
teri ng summer weather is still many weeks
away.
Some of the smaller neighborh ood the-
atres are allottin g 5-minute intermission pe-
riods to increase candy bar and soft dri~k
sales between film s. Those in the Grand
Avenue theatres are bein g serviced twice
per evenin g. Ice cream machin es are fallin g
below the beverage vendors in sales fo r the
first time this year, it was reported by
members of the Missouri Amusement Ma-
chin e Assn.
Candy vendin g is takin g on a new aspect
due to the overall air conditioning of the-
atres, bowling alleys, etc., according to vet-
eran operator, Walter Bowman. "We can
keep candy machines in operation for sev-
eral additional months per year, with melt-
age no danger because of air co nditionin g,"
Bowman said. "I try to get the location
owner to let me spot the machine wh ere
it receives most cooled air coming out of a
grille, and thus semi-refrigerate the candy
successfully through the summer months."
Candy bar sales here normally must be
cut during July throu gh September, due to
heavy moist-heat conditions. Incidentally,
bar vendin g sales are at their prewar rate
throu ghout St. Louis, according to a check
of old-timers in the fi eld.
Nary an ' operator in th e 49th State but
that is holding off breathlessly, awaiting
price reductions on new equipment. This is
true in all fi elds, as operators wait for
lower costs to permit them to build up
routes without signing away heavy invest-
ments. "We've had four outstanding price
48
reductions in six months," Lou Morris of
Morris Novelty, stated, "which points to a
gradual return to normal pricin g in the
near future."
Shuffleboard continues to be the sensation
it was at th e first of th e year. Bowling
alleys throu gh the city have installed one,
two , fou r a nd even six units in the space
between entrance and all eys, and re port
heavy play. Increased vending machine
sales, etc., are makin g a big difference in
profits. Electri c scoreboards are definitely
the biggest fa ctor in buildin g play, ac-
cording to Universal, di stributors of Rock-
ola boards. Quite a few taverns and bowling
alleys are staging weekend tournaments,
with worthwhile prizes. "Plenty of shuffle-
board sharpies have developed in a few
months," Tom Collins, pioneer shuffleboard
deal er in St. Louis, says, "as contrasted
with th e cueball sharpi e of th e old-fash-
ioned poolhall."
Th e Greater St. Louis Shuffleboard Assn.
is busily setting up competitive tourna-
ments and otherwise promoting play.
Meetings are held twi ce a month to com-
pare methods and results, with 27 members
on the roster to date, including dealers and
distributors.
New proud fath er is Joe Boehle, deliv-
eryman for A. P. Distributing Co., as well
as Charles Douglas, shippin g clerk. Both
got a day off for the event!
The amusement parks opened on May 1,
with shuffleboard spots included in three.
R o bert A . Latimer
Spokane
This city seems to be hoi'din g its own
so far as general busin ess is concerned.
A recent report states tha t, next to San
Francisco, we show the biggest drop in
livin g costs, so fa r as the Pacific Coast
States are concern ed. This trend can mean
any one of many probable outcomes, but
most business men believe tha t it is just a
leveling off process.
A ii;eneral shake-up of business locations
in th e downtown section is under way. Two
of th e large old buildinirs are in th e pro cess
of dismantlin g and will be replaced by
small er modern structures.
Several of the new cocktail bars are open
and present a new look to th e city. Most
of the older clubs and lodges h ave received
their new Class H licenses and are running
fairly smooth, alth ough some of th e regu-
lations are causing considerable trouble.
The main confusion is about the rule for-
bidding wom en at the bar and one th at
states that the customer must sit down
while drinking. The latter rule has been
followed for many years in taverns in the
state. Th e new setup tends to standardize
the r egulations in all places wh ere liquor
is served.
Music is about normal, according to most
operators. A few more locations are show-
in g up right along and music installations
of the hi gher type will be in demand in the
new cocktail bars of the state.
The pin ball situ ation hasn't cleared up
to any great extent, although the efforts of
the tavern and restaurant men, with the
help of the operators, to block an ordinance
to outlaw them in th e city was successful.
There still remains the possibility that a
special election will be called by the School
Board to ask for a three-mill levy for
school costs. If this is done, and the council
doesn' t withdraw its ordinance befor e that
time, the question will undoubtedly be
placed on the ballot and th e results, every-
one concedes, will be disastrous for both
issues. A general feeling exists, however ,
th at the people won't go for more taxes.
This may scare an election off and save the
day for operators.
Shuffleboards a re the talk of the town.
Many new boards are being installed daily.
A rather new and unique idea has been
born in regard to the space angle. Many of
th e taverns are building bars parall el to
one side of the boards and installin g stools,
some as many as ten to th e side, thus mak-
ing seats for the players as well as spec-
tators.
T avern operators claim that this greatly
stimulates th e sale of drinks while th e play
progresses. Shuffleboard parlors haven't as
yet made th eir appearance. Lack of suitable
downtown locations and high rents hold
them back it is believed.
Beverage vendors are being patronized
in creasin gly as th e weather warms and of
course candy men expect the summer slump
which probably won' t be felt quite as much
this year, due to the fa ct that th ey have
more and better products to offer. Cigarette
men are getting prepared for the in crease
in cost due to the new tax which goes into
effect in June.
A number of the new type pop corn
vendors are to be seen in a variety of spots.
Scales don't seem to show any increase in
number.
W . L . Ferrall
'Z'win Cilies
Biggest stimulation, next to arrival of
shuffleboard here, is the summer season
which rolls around, with coinmen optimis-
ti c about the outlook as they eye r esort
locations and a record summer business fol-
lowing a better than usual winter income
from all types of coin machines in city
areas.
Encouragin g reports from resort owners
have operators stepping up activity and
moving equipment rapidly into locations,
with replacement of new equipment run-
ning high, particularly among music ma-
chines, shuffleboards and some pin · games.
Business is reported as stabilized, after
more than two years of difficult operation s
and so most operators and locations are
planning for the future.
Shuffleboard is expected to boom in the
resort areas this summer, after booming
along in Twin Cities for past six months.
Most Dakota, Wisconsin and Iowa areas
have yet to feel th e full effects of the boar ds
and the summer seems the logical time to
open up. Many operators saw the boards
for first time at the 5-State convention in
Minneapolis at end of April.
Sales of boar ds were well above anti ci-
pated sales a t th e two-day convention. Get-
ting good play from operators were Rock-
Ola, Chicago Coin, National's board, Perma-
Top and others, including Mero's new steel
unit and 9 foot wood board.
In the Twin Cities play is leveling off
now that the boards are "in solid," but tlie
formation of leagues is expected to stimu-
late play this summer. Location s and play-
ers are linin g up with Standard and
National league plays.
The "52" game, introduced here a t the
convention for th e first time, is reported
quite popular already. It is handled by
J & F Sales of LaCrosse, Wis. Operators
liked the six-in-one combination which in-
cluded Big League, Lowball, Highball,
Touchdown , and Twenty-One, which can
be alternated with "52" by replacing identi-
fication cards.
Biggest problem fa cing coinmen now is
the recently adopted one-cent hike in ciga-
rette tax which makes it four'.cents per
pack. Vending machine operators are won-
dering how to pass the new increase along.
LeRoy Johnson, head of Canteen Co. in
St. Paul, said machine cigarettes would re-
main at 20 cents, althou gh they are 21 over
COIN MACHINE REVIEW
https://elibrary.arcade-museum.com
l
the counter now. However, vending ma-
chine operators are eliminating the half-
cent commission paid locations.
Should the vending machine price go to
25 cents-the next acceptable coin-sales
would be prohibited in competition with
the 21-cent price over the counter. Expen-
sive operations in pennyin g packages is also
"out," according to Johnson. Cut-rate prices
over th e counter are two for 39 cents or
20 cents straight. A price boost to at least
22 cents would be necessary, if packages
were "pennied," due to expense of equip-
ment which would lose customers. Th ere-
fore, th e commission to locations was seen
as only altern ative. Machines, th erefo re,
now will be strictly a service functi on from
the location standpoint.
Music, a musement ga mes, shuffleboa rds,
beverage vendors and pop com all are re-
ported on upswing and should hit new hi ghs
this summer.
However candy, cigarettes and scales and
some arcade equipment are on the oth er
side of the slide. More loca tion promotion
is bein g utilized by candy vend ors, except
in industrial locations wh ere business re-
mains ·a t an even keel.
Co1hrrien are breathin g somewh at easier
now' l hat th e Legislature has adj ourned and
with exception of the cigarette tax boost,
adverse legislation was few and far be-
tween. Buried in committee were measures
call ing for imposition of gross receipts tax
on cigarette and candy vendors and a penny
tax on soft drink vendin g machines, either
cup or bottle, plus a license fee fo r every
vendor.
N. F. Wood
Wasbinglon, D. C.
P eculi ar local conditions still make it
difficult to tell what kind of a year 1949
will be. Business was up from winter but
not as much as expected. In this town,
Government occupies the position held in
many cities by fa ctories as the largest em-
ployer. Several hundred th ousand families
get th eir sole income from eith er Uncle
Sam or the D. C. Government. As late as
mid-May th ese famili es were un able to es-
timate th eir 1949 incomes, and a good many
of them were hanging on to th eir spare
change until they foun.d out.
This fa ctor apparently affected business.
Federal workers were worried about cuts
made in agency appropria tions by the
House and were uncertain th at th e Senate
would restore them. D. C. workers, who did
not get th e raise that others go t last year,
were wo nderin g if the sal es tax would pass
-a tax th at means a 330 boost for each
employee.
A lot of fairly hot weather in late April
and early May boosted drink vendor grosses
and started some operators talkin g about
more machines. Tavern trade increased
somewh at, but old TV was th ere to hurt
the phonos. One tavern in mid-town solved
the problem to the satisfa ction of most by
keeping the TV sound down and permit-
ting the phono to be played as a sort of
accompaniment to the fights, baseball and
other sports. Candy started dippin g in pop-
ularity along with pop corn because of the
weather, which surprised nobody. Many op-
erators have converted vendors to cookies,
while oth ers have replaced chocolate can dy
with hard candy.
A plentiful supply of new games is. keep-
ing pin balls going along pretty well, al-
though the net is nothing to brag abou I.
One or two operators are beginnin g to di s-
cuss shuffleboards, but no concrete results
are yet visible. Th e terrifi c play being given
the boards by trade publications is arous-
ing interest, and once somebody makes th e
first plunge, there will be a lot more to
JUNE, 1949
follow. Penny scales continu e to be slow
and steady as always. An experi enced op-
erator can come within a few cents of
estimating just wh at each scale is going to
bring in. Month in and month out there is
little variance. Shoeshiners are getting lit-
tle use, with most of them being spotted in
arcades wh ere th e customer is more inter-
ested in amusement tha n appearan ce any-
way.
Roy S. Ramsey, Jr.
NAMA Speeds Plans
For '49 Convention
CHI CAGO- In its new headqu arters at
7 S. Dearborn St. here, the staff of National
Automatic Merchandising Assn. began at
once to co ncentrate its work on plans for
th e next annual convention in Atlantic City,
Nov. 27-30. It began issuance of its 1949
Convention News bull etin , the first issue
appearin g April 29.
As plans mature, it is now ev ident that
the next convention will be th e MORE
convention - more exhibits, more room,
more sessions, more fun . With 265 booths
for exhi bit space, thi s mea ns an increase
of a t least 55 per cent over last year's
space. Exhibitors are said to be takin g
more space for the Atlantic City show.
George M. Seedman, general convention
chairman, met with the convention ad-
visory comm ittee members in th e new
NAMA headquarters soon after th e open-
ing and was able to announce to th em that
60 per cent of available boo th s had already
been sold. Th e committee discussed plans
to compl ete th e sale of exhibit space by
July 1.
Committee members at th e meetin g were
W. H. Bailey, Diamond Match Co.; Wil-
liam Fishm an, Automa ti c Merchandising
Co.; Fred Steffens, Walter Johnson Ca ndy
Co.; Howard Olsen, Wm. Wrigley Jr. Co.
NAMA staff members a ttendin g were C. S.
Darling, Tom Hun gerford, Bernard Osmond
and June Kay. A meeting of the entire con-
vention advisory committee is scheduled in
Atlantic City, June 3.
Two States Get Unfair
Cigarette Sales Laws
CHICAGO -Although it was reported
recently th at a tid e against fa ir trade laws
may be setting in, it is evident that unfair
cigarette sales laws were added to the
books in at least two new sta tes-Iowa and
Indiana. Such laws will prevent cut-rate
sales in retail outlets and in tha t way avoid
any marked differences in machine and
store prices.
Th e new laws in the states mentioned
follow the pattern now pretty well de-
veloped for such statutes-requiring a job-
ber markup of 4 per cent and 8 per cent
for the retailer. Both states scheduled new
regulations to go into effect May 1. Tobacco
jobbers in both states made a strong fi ght
to secure passage of the laws.
Both states provide for exceptions when
a seller can prove th at his costs of opera-
tion permit lower prices th an percentage
markups required by the law. This provi-
sion is definitely a result of a court decision
in Ohio whi ch in validated ce rtain parts of
its cigarette sta tute because th ere was no
exception for th ose who coul d prove lower
costs in doing busi ness.
In Iowa the state tax commission will en-
force th e new law, as it also collects the
2-cent cigarette tax. In Indi ana th e liquor
board will enforce th e cig law sin ce it also
has charge of th e liquor fai r tra de law.
Liquor and cigarettes a ppear to be becom-
in g the- most prominent pro ducts for price
protection laws.
The Indiana law drew wh at may be a
form of unfavorable publi city wh en th e
Associated Press released its version of the
law, stressin g the theme that cigarette
prices would- go up. A Cincinnati news-
paper also threw in the headline, "Smoker
Pays P art of the Dealers' Expense Under
New Law."
Chief effect of the Indiana law is ex-
pected to be in maintaining carton prices
at $1.89, whil e pri ces per pack ar e n~w
generally 20 cents. Cigar_ette op~rat?rs will
be glad to see carton pnces mamtam ed at
a sta ndard level.
Vendors Plugged In
Food Store Report
NEW YORK- In the location field, much
stress is being put on the boo'!'1 in can_dy
sales that is takin g place in chain groceries
and super markets. And v~nding ma?hines
have also been given a decided boost m the
midst of all the publicity.
C. H . Flint, vice-president of P eter P aul ,
Inc., made some suggestions on ho'Y and
why food stores should concentrate ·on
candy. Amon g other things, he called a tte_n•
ti on to a national survey which had dis-
closed th at nickel and dime bar goods now
co nstitute 46 per cent of the total candy
sales in fo od stores. Then he suggested:
"Vending machin es mi ght be install ed
to take care of the individual bar sales.
Selli ng at the check-out stan d is too hap-
hazard and th ere is not adequate room for
a complete display of all fast-selling prod-
ucts at each reg ister, hence many sales are
lost."
This is a kind of picture of th e automatic
department tha t the merchandising machine
has so long hoped and dreamed would
eventually come in stores.
Leaders in th e su per markets field say
thy.t a candy department can be built u p
to account for 5 to 10 per cent of the total
gross sales of a store. The supers are also
takin g on vending machines in great num-
bers th e vendors for bottled soft drinks
probably pushing in faster th an cigarette
or candy machines.
Now th at candy manufacturers have en-
visioned the use of candy bar vendors in
fo od stores, it is anticip ated that concerted
effort will be made to promote greater
placemen t of these machines als?.
Financial papers her e have given front
page publicity to th e value of candy s3:les
in fo od stores, and also the suggestion
about using ven dors.
Th e ro utine government r eports on candy
sales do not separate fo od stores, or supers,
from oth er stores, but general trends for all
stores th at sell candy are suggested. For
the first two months of the year , candy
sales in independent retail stores were off
one per cent as compared with the same
months in 1948.
Candy sales in these outlets for F ebruary
were 5 per cent smaller than for Feb. 1948,
but made a gain of about one per cent over
th e J an. 1949 volume.
Conroe New Keeney
General Manager
CHICAGO- John S. Conroe, who has
been in charge of the cigarette vendor pro-
ducti on and sales for J. H. Keeney & Co.,
has been named vice president and gen-
eral manager of the firm . Conroe takes over
the position vaca ted by Bill Ryan wh o
leaves Keeney after several years to rejoin
0 . D. J ennings & Co.
Conroe states th at production has been
doubl ed on the electric cig vendor and th at
new amusement machine developments will
be reveal ed shortly. No change in the com-
pa ny's distributor sales structure is antici-
pated.
49
https://elibrary.arcade-museum.com

Download Page 48: PDF File | Image

Download Page 49 PDF File | Image

Future scanning projects are planned by the International Arcade Museum Library (IAML).

Pro Tip: You can flip pages on the issue easily by using the left and right arrow keys on your keyboard.