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THE MUSIC TRADE REVIEW
9
Prospects for American Pianos in Australia Discussed.
An Interesting and Comprehensive Survey of Trade Demands and Possibilities in that Country by Fred Sutton, of
Sutton's Proprietary, Ltd.—Medium and Low Priced Pianos Have Best Chance—Small Sizes Preferred
—German Instruments As Export Models—Praise for American Piano Factories.
The possibility of developing American piano
trade in Australia, a comparison of German and
American manufacturing methods, and the quali-
ties essential in American pianos to gain a foothold
in the Antipodes were a few of the many subjects
interestingly and informatively discussed by Fred
Sutton, of the prominent house of Sutton's Pro-
prietary, Ltd., Melbourne, Australia, in an inter-
view given to a representative of The Review on
I'riday. Mr. Sutton's house is one of the most
successful and best known piano concerns in the
world, and has establishments in Melbourne, Bal-
larat, Bendigo and Geelong (the first named being
headquarters), where a wholesale and retail busi-
ness is conducted. In addition, Sutton's Pro-
prietary, Ltd., wholesale pianos in all the' other
cities of Australia and New Zealand, transacting
a business that covers every section of these coun-
tries. Mr. Sutton has spent three months in the
United States visiting prominent piano manufac-
turers in the East and West, and before sailing for
England Saturday on the "Lusitania" he gave the
following digest of his view and observations:
Germany's Trade with Australia.
"Germany occupied a very prominent place up to
the start of the European war in the supply of
pianos to Australia. Indeed, it might be said that
80 per cent, of the total pianos used in our coun-
try came from Germany. English and American
manufacturers provided the balance. Under the
present circumstances there is no doubt that Eng-
land will make a big bid for the trade she should
have had before, and in that regard I do not
blame so much Australian importers of pianos as
I do the English manufacturers who neglected their
opportunities.
"The distinctive difference in the method of ob-
taining business between the English and German
manufacturers is that the German manufacturer
always adapts himself to circumstances and is
readily willing to make styles to suit the demand
of any particular country. The English manufac-
turer is very conservative in this regard, generally
insisting upon the purchaser taking a piano ex-
actly as he made it. In view of the present situa-
tion English makers will doubtless be quite will-
ing to conform to the desires of their customers.
Must Conform to Tastes of Purchasers.
Matters of apparently little importance in con-
struction make considerable difference rn -placing
goods on a foreign market. It can be easily un-
derstood, for argument's sake, that a tailor in
New York cannot succeed in placing his particular
cut of clothes on the market in Buenos Aires. The
only sensible and natural thing for him to do is to
cut his clothes in accordance with the fashions in
that country.
"My house has had a long experience in the
piano trade; indeed, it is the oldest house in the
business in Australia, having been established
sixty-two years ago this month, and having re-
mained exclusively in the same family during that
time. We naturally, therefore, have been in close
touch with the requirements of the Australian
market.
American Piano Factories' High Standard.
"I have had the privilege of looking through
very many American factories and can at once say.
taking them as a whole, that a very high standard
of manufacture is shown here. One distinctive
feature I notice is the almost entire absence of the
very cheap class of pianos. When I speak of this
class of pianos I mean such instruments as can
be sold at less than $100 wholesale. Personally,
my house does not deal in such goods as these.
Nevertheless in our experience and personal knowl-
edge of factories in both England and Germany
we know that many plants there are devoted to the
manufacture of such goods.
Place in Australia for the American Piano.
"You will be naturally interested to know
whether in my opinion there is a place for Ameri-
can pianos on the Australian market. I would
say, yes; in a certain class American pianos would
find an excellent demand there, provided the man-
ufacturers would conform more particularly to
case designs that are in demand in Australia. There
i.3 in Australia a preference for pianos not so tall
as those generally offered in America. Instru-
ments of about 4 ft. 4 in. in height are in much
demand, and it is within my observations here that
many of your high-class manufacturers make some
of their best pianos 4 ft. 4 in. to 4 ft. G in. high, but
the tendency among American manufacturers of the
somewhat cheaper styles is apparently to offer in
size as much as possible for the money as they
can do. Instruments from 4 ft. 2 in. to 4 ft. 8 in.
in height, speaking generally, are in demand with
us, but, as I said before, the taller sizes are not as
popular.
"From my observations I should say that Ameri-
can manufacturers offer specially good values in
pianos that range in price from $120 to $200 whole-
sale.
The Expensive Piano in Australia.
"Australia can consume a fair quantity of pianos
of the more expensive class, but when it is borne
in mind that the present recently raised tariff on
pianos is 40 per cent, ad valorem, which means ac-
tually A2\\i per cent., and also when the shipping
expenses, insurance and other charges on so long
a journey to Australia are considered, it will be
clear that the actual expenses of landing goods in
Australia will amount to 60 to 65 per cent. Such
a heavy surcharge on expensive pianos makes the
total cost so great and adds superficially so much
to the original cost that it is natural that com-
paratively few of the expensive class of pianos
can profitably be offered for sale in Australia.
There is no doubt that the heavy customs duties
put upon pianos in Australia is for the purpose of
inducing manufacturers to start in business there.
It would be well for American manufacturers to
bear in mind, if they desire to share Australian
trade, that there is a preference at the custom
house of 10 per cent, in favor of England, and it
will be apparent from this fact that your manu-
facturers will of necessity have to cut fine in order
to secure business, but allowing the American man-
ufacturer a reasonable profit on his goods, I would
say, as I did in the first place, that there is, at a
given value, a market for American pianos in
Australia.
Labor and Factory Methods Compared.
"I have had considerable experience in English
and German piano manufactories, and as I have
now been in this country for three months inquir-
ing into American methods of pianoforte construc-
tion and keenly observing values, I would say (for
the moment leaving England out of the matter) as
between German and American factory methods,
the low rate of wages paid in Germany and the
amount of juvenile labor employed there, give the
German manufacturer a big advantage. The
method of manufacture in Germany is largely
human, each workman and woman (for there are
a large number of women and girls employed in
German factories, more particularly, of course, in
action making and setting up) has his or her own
special work to do, making the human factor a
most important consideration. There is an absence
there of many of the mechanical devices I see here.
In America a vast amount of ingenuity has been
exercised in the perfection of machinery to manu-
facture those parts in piano construction which in
most cases can be done better that way than by the
human hand. Comparing these different methods,
T would say that the plan here of always treat-
ing production or cost production from a quantity
point of view has a considerable bearing in less-
ening cost. The American workman is therefore
much speedier than the German workman, and
with the aid of your specially constructed machin-
ery I believe that pianos in America are produced
at twice the pace they are in Germany. Thus you
may see that the speeding up of the factory forces
here and your special mechanical devices for cheap-
ening the cost of production are a fair offset
against the low cost of labor in Germany.
Standardization of Supplies Advisable.
"American manufacturers might, however, with
advantage to themselves take into consideration
the question of standardizing such leading supp/ies
as iron frames, metal standards for actions,
tuning pins, piano castors and other articles which
could be treated from that point of view to good
advantage.
Better Class German Piano as Model for Export.
"I have no doubt that if American piano manufac-
turers would take some of the better of the cheaper
German class pianos as a pattern, and specially
equip their factories and lay themselves out in a
general way for the manufacture of such a prod-
uct, they would be able to produce such pianos and
make it a profitable matter for themselves. I do
not believe, however, that the conditions necessary
for such manufacturing methods exist in America
to-day.
"There is one thing that 1 have been struck with
while here, and that is the desire of many Ameri-
can manufacturers to know what class of piano is
being supplied by Germany to South American
countries. 1 have had some experience and have
a fair knowledge of the class of goods Germany
has been shipping in vast quantities to the South
American states, and I would say, generally
speaking, that if America will manufacture goods
to suit Australian markets she will at the same
time get styles that are popular and will go well
in South America.
Pleased with Sample Pianos Made Here.
"Several of the manufacturers with whom I
have been in contact here have been good enough
to undertake to manufacture samples and designs
along suggestions that I have been able to give
them, and I think that if they succeed in turning
out an article such as we are aiming at they will
be able with these goods to open up a profitable
market in South America.
"I am now proceeding to England, where I am
making contracts with the English manufacturers,
and will be back in America in April next and will
then conclude my business arrangements with sev-
eral American houses.
"My house, Sutton's Proprietary, Ltd., with head-
quarters in Melbourne, has been the Australian
and New Zealand representatives for one eminent
American piano and organ manufacturing house,
the Mason & Hamlin Co., for forty-two years, and
for another American house of considerable prom-
inence, the Cable Company, we have had control
of all business in Australia and New Zealand for
twelve years, so that we have had a fair experience
of the standing and the satisfaction that American
goods will give in our country.
Appreciates Reception in the United States.
"I would like to take this opportunity of saying
that I have been received with the very greatest
courtesy by the many manufacturers whom I have
visited in America. They have, in every instance,
placed every possible convenience at my disposal,
thrown their factories open for my inspection, and
have considered it no trouble whatever to devote
time and attention to me in every way."
[EDITOR'S NOTE.—In connection with Mr. Sutton's inter-
esting interview some important data furnished by the Ca-
nadian Commissioner at Melbourne regarding probable closer
business contact between Australia and the United States
appears on page 18 of this issue.]
THE LE ROY CO. REORGANIZED.
The Le Roy Piano & Organ Co., Cheboygan,
Mich., has been reorganized with R. E. Le Roy
as president, Henry Stephens, vice-president; John
C. Rittenhouse, treasurer, and W. B. Seamark,
secretary. The company plans to expand its busi-
ness materially.