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THE MUSIC TRADE REVIEW
lie is wearing better garments at less money.
It is only through the introduction of la-
bor-saving machinery that pianos have been
brought down to the prices which place
them within easy reach of the masses.
T H E trust craze which threatened to en-
gulf everything during the early
months of the year has materially sub-
sided. The little flurry on Wall street of
a couple of weeks ago too has had a still
further effect to depress trust moves.
People to-day are unwilling to place their
moneys in highly watered trust organiza-
tions. They begin to realize that as soon
as there is a little pressure the value of
trust securities depreciates alarmingly.
Combinations along legitimate lines will
, be more and more apparent in our modern
industrial life, but just now the trust idea
does not obtain even in Wall street circles.
There are problems always agitating the
minds of the business world, and as com-
•petition becomes more and more acute the
trust problem will not easily down. Still the
absorptive power of this country of the
finished products of all kinds is enormous;
besides there is the entire world as a
market for the American piano manufac-
turers.
\ 1 7 I T H a few exceptions retail trade in
the local piano warerooms for the
week preceding Christmas was disappoint-
ing. It may be figured that the Wall street
scare had much to do with it. Thousands
of small investors who thought they were
fairly well fixed before the crash came
were unable to make the purchase of home
accessories which they had in mind. Some
jewelry merchants tell us that they have
had many orders countermanding pur-
chases, all of which goes to show how
close the relations are between retail busi-
ness and stock depreciations.
The collapse of the "industrial " bubble
may not yet be complete. But the shrink-
age of market value in these inflated stocks
already amounts to hundreds of millions,
and it is difficult to say what the result
will be.
DLAINER styles are now rapidly super-
seding the elaborately carved and
embellished cases of a few years ago.
Colonial or " after the colonial " now lead
all others in point of popularity.
IT is a self-evident truth that no one will-
ingly pays high prices for anything—
even pianos. The knowledge of this fact
possibly causes greater apprehension that
consumption will be checked as a necessary
sequence of higher prices than actual expe-
rience justifies. The rise in iron and steel
-^prices which have surpassed all expecta-
tions—is constantly causing comparisons
to be made with rates prevailing early in
the year before any marked advance began.
Those especially who are renewing con-
tracts for material, having exhausted at
last the supplies bought several months ago,
are very forcibly struck with the changed
conditions. They dislike exceedingly to
pay double for the very same class of ma-
terial, but there seems to be no way out of
it. If a manufacturer is going to stay in
business he must pay the advanced price.
n
raw materials still continues. Some man-
ufacturers have faced the situation courage-
ously, and have advanced prices; others
with a more conservative disposition have
been reluctant to do so.
T H E last week of December has ended
with an excellent business in progress
throughout the country, thus closing a
year of exceptional prosperity in all lines.
A good business continues to be done by
the manufacturers who have been kept
busy taking care of the orders, steadily
coming in from the retail trade in all sec-
tions.
T H E year has been remarkable in that
few failures have occurred either in
the manufacturing or retail trade. There
WHAT AGENCIES PAY ?
has been no year for the past decade in
QOME manufacturers have been doing
which so few smashes have been recorded
some powerful hard thinking recently
as during the present. The industry as a
along the lines whether large agencies pay.
whole has never been in better shape, and
In other words whether their interests are
one of the contributory forces to these
best served by locking up huge slices of
satisfactory conditions lies in the fact that
choice territory under the control of one
the dealers themselves have been working
firm, or whether it reimburses them better
harder for cash trade than ever before.
to have their territory apportioned among
They have learned by experience that cash
a number of small agents.
talks more eloquently than credit, and
The belief obtained years ago in this
while they may not conduct so great a
trade that individual control of large terri-
business on paper, yet their financial situa-
tory was more remunerative than the less-
tion is materially enhanced by the steady
er allotment to a number of agents. Fol-
and unremitting work placed upon the
lowing out the generally accepted idea of
securing of cash business. Cash sales have
expansion it would seem as if the area of
been more in evidence during the present
territorial limits controlled by great firms
year than ever before, and the probability
would be constantly on the increase. We
is that the new year will see materially ad-
are inclined to the belief, however, that
vanced conditions.
there is a well-grounded theory among
piano manufacturers that the locking up
TS it not a fact that business has been
of huge pieces of territory under the con-
run on cleaner lines than during any
trol of one concern does not pay in the
previous year ? Has there not been less of
same degree as divided territory.
The
a disparagement of competitors' wares ?
larger agent is oftentimes apt to de-
We do not mean that it is not perfectly mand too much in the way of terms and
legitimate to show points wherein certain prices, always holding out the argument
lines excel, or that one is not entirely that his very association with such and
justified in calling attention to weak points such an instrument is worth a great deal
in competitive lines, but has not the indus- to the manufacturer.
try progressed beyond the little petti-
But is it?
fogging of years ago ?
We claim that no agency is profitable to
T H E matter of inventory is beginning to the manufacturer unless it can return him
absorb attention, and will call for satisfactory results. The mere handling
careful judgment. For the next ten days or turning over of pianos, unless at a profit,
manufacturers will be paying more atten- does not pay. The small dealer who at-
tion to the inventory and to the matter of tends to his trade personally and handles,
prices for the new year than almost any as a rule, a limited number of makes of
pianos—in fact, a line running from the
other part of their business.
cheap to the high grade so that he appeals
T H E matter of rising prices will now re- to all tastes—is much more apt to make a
ceive a good deal of attention from profitable factor for the manufacturer than
manufacturers, some of whose prices have the large agent who does not work his
not been brought up to the present level of territory in the same faithful way that
the local merchant, who is known personal-
cost.
Stronger advances may be expected early ly to practically his entire constituency,
in the year, and it is not unlikely that there does. The small man, as a rule, pays
will be frequent announcements of changes better prices, and he also makes a reputa-
in prices provided the upward march in tion for a piano within his district worth