Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE MUSIC TRADE REVIEW
MOVE TO FIX MINIMUM ADVERTISED PRICES ON PIANOS
New York Piano Men Meet for Purpose of Reaching Agreement to Observe New Minimum Prices
at Which Pianos and Players Are to Be Advertised and to Eliminate Terms From Retail
Advertising—Aim to Educate Public to Higher Piano Prices—Some Suggestions Offered
The first gun of a campaign to enable the and yet iron for plates has gone up to 46 cents,
local piano retailers to take over and pass on as compared with 17 cents before the war, and
to purchasers of pianos and players the increased glue to 36 cents, as compared with a previous
costs of manufacture that already exist, and the price of 9 cents.
Mr. Lawrence strongly urged that the re-
increased costs, to say nothing of war taxes,
that are to come, was fired at a special luncheon tailers take steps to raise minimum prices and
held at the Hotel Astor on Friday of last week to get the piano buyers in a frame of mind to
at the call of E. Paul Hamilton, president of pay more, by realizing themselves that higher
the Piano Merchants' Association of New York, prices were necesesary. To do this the mer-
and at which over thirty representative piano re- chant himself must be convinced of the justice
of his sales policy and develop a spirit that
tailers of New York and vicinity were present.
Seek Agreement on Minimum Advertised Prices will convince his customer of the justice of his
The meeting was called at the suggestion of stand.
Optimistic Regarding the Future
one of the local retail managers in an effort to
The speaker expressed himself as being thor-
have the various local concerns agree to ob-
serve minimum prices at which to advertise oughly optimistic regarding the future, for with
pianos and players in the newspapers and to over $5,000,000,000 turned loose into the coun-
secure an agreement, if possible, to eliminate try, a proper share of it was bound to reach
terms from such advertisements. It was pointed the pockets of the piano dealer and unusual ac-
out, and properly, that advertised prices of $195 tivity in certain industries will add to the list
or thereabouts for uprights and $395 or so for of possible piano buyers, many of whom never
a player-piano meant the offering of instru- before expected to have the means to purchase
ments that were really unprofitable to sell, and an instrument.
Mr. Hamilton next outlined the experience
it was suggested that an effort be made to
have the retailers adopt a minimum advertised of the Loeser department in handling pianos ad-
price of $225 on upright pianos and $450 on vertised at $198, and stated that the experience
players. This is in no sense to be construed was typical of that of the majority of piano
as an attempt to fix prices, for if the merchant houses, but that the minimum price was adver-
advertises at the minimum figure he is still tised simply because the other fellow did it.
privileged to sell instruments at any price he He expressed his willingness to enter into an
desires and upon any terms he sees fit when the agreement to observe a much higher minimum
price on all piano advertising.
customer is in the store.
Higher Retail Prices Can Be Obtained
Piano merchants long ago realized that
Thos. H. Fletcher, manager of the retail
something should be done to offset the increased
wholesale price they must pay for their instru- department of the Aeolian Co., urged strong-
ments, but the matter was brought to a head ly that the association go to work on the mat-
with the announcement of the provisions of the ter and gave it as his opinion that minimum
War Revenue Bill adding a flat tax of 5 per terms should be $225 on pianos and $450 on
cent, on all pianos at the factory, together with player-pianos, and that the local men should act
taxes and duties on various materials entering on the matter so that it could be brought up be-
into the manufacture thereof, all meaning a ma- fore the Chicago conventions next week and
terial advance in the price on every instrument receive national endorsement. In proof of the
fact that pianos should be sold at high prices
to the retailer.
The object of the meeting (as already out- Mr. Fletcher stated that pianos costing $200
lined) was set forth by President Hamilton, f o. b. New York were shipped to Italy at an
who thereupon introduced C. B. Noon, manager additional cost of $324, and yet these same pianos
of the piano department of The Hub, Baltimore, which the Italian dealer has sold at normal times
who spoke on the advantages that lie in a live at between $500 and $600 were now being gold
in the neighborhood of $1,000 without diffi-
trade organization.
culty; in fact, the demand could not be filled
R. W. Lawrence Tells of Merchants' Burden
R. VV. Lawrence, president of Kohler & Camp- by the manufacturer. A similar condition also
bell, Inc., as a manufacturer, next spoke on the exists in Australia as a result of the war, and
problems that the retail dealer would be called although piano prices have been nearly doubled
upon to meet. He outlined the provisions of there is still a demand that the factories cannot
the War Revenue Bill, and stated that as it then supply.
Mr. Fletcher explained that the advertised
stood not only would a tax of 5 per cent, be
levied upon every piano shipped from the fac- price would not of necessity serve to regulate
tory, bilt upon the passage of the bill the re- the selling price, but would tend to raise the
tailers will be called upon to take an inventory average price of sales materially. He also urged
of all stock in hand and pay taxes at the rate that terms should not be advertised and said
that a discontinuance of this practice would
of 5 per cent, on all such stock.
Mr. Lawrence emphasized the fact that the mean fewer repossessions.
Too Many Free Items Offered
manufacturer will be compelled to pass not only
Berthold Neuer, of the retail warerooms of
the tax, but increased manufacturing costs along
to the retailer and through him to the con- Win. Knabe & Co., offered the opinion that the
sumer, and made the statement that manufac- retail piano trade was in bad odor with the
turers could not be expected to absorb the tax public, who had reached the point where they
at present wholesale piano prices in view of the looked for everything free. He stated that not
fact that approximately 75 per cent, of piano only should minimum prices be increased, but
manufacturers were not realizing a 5 per cent, steps should be taken to cut down the quantity
of throw-ins, such as fancy benches, covers,
net profit on their business.
He stated that the burden would rest largely cabinets for rolls, free tunings, etc.
Harold Bersin, of the Harold Bersin Piano
upon the manufacturers of what are termed
commercial pianos, for the public had been edu- Co., next threw some interesting sidelights on
cated to minimum prices that were altogether the manner in which East Side dealers managed
too low. It takes just as much iron in the to meet the competition of the big houses and
plate and just as much glue to make a cheap declared that the minimum for new uprights on
piano as an expensive piano, said Mr. Lawrence, the East Side was about $250 and that the ad-
WINTER & CO.
220 SOUTHERN BOULEVARD, NEW YORK
Manufacturers of
vertised terms of various concerns could be
readily overcome with convincing arguments,
which he cited.
Resolution on Minimum Terms Adopted
The discussion was brought to a head by the
adoption of the following resolution, offered by
George A. Scofield:
"Resolved: That it is the sense of this asso-
ciation that it is not good policy at the present
time to advertise pianos at less than $225, or
player-pianos at less than $450, and that terms
should be omitted from all advertising."
The secretary was instructed to send copies
of the resolution to every member of the asso-
ciation and ask for a vote, to indicate their senti-
ments, after which further and definite action
will be taken.
It appeared to be the unanimous opinion of
those attending the meeting that the minimum
prices named on both pianos and players should
be adopted and it is extremely probable that
such action will be taken, after the vote on the
resolution is polled.
Those Who Attended the Meeting
Those present included E. Paul Hamilton,
Frederick Loeser & Co., president of the New
York Piano Merchants' Association; Milton
Weil, Krakauer Bros., treasurer; Albert Behn-
ing, secretary; R. W. Lawrence, president
Kohler & Campbell, Inc.; Geo. W. Gittins, presi-
dent New York Piano Manufacturers' Associa-
tion; C. B. Noon, manager of The Hub, Balti-
more; Frank Sohmer and Alex. McDonald, Soh-
mer & Co.; Leslie H. West, Ludwig & Co.;
Homer de Anguera, Anguera Piano Co.; Chas.
T. Allen, F. Radle, Inc.; Ernest Leins, E. Leins
Piano Co.; Francis F. Matthews, Geo. J. Sex-
ton, Jerome W. Ackerly, Patchogue, L. I.;
Frank P. Anderson, Thos. H. Fletcher, The
Aeolian Co.; Fred W. Lohr, Hardman, Peck &
Co.; Valentine J. Faeth, Winterroth & Co.;
W. H. Gomes, Chickering warerooms; Geo. A.
Scofield, Behning Piano Co.; M. Levian, Weser
Bros.; Harold Bersin, Harold Bersin Piano Co.;
Frederick Bauer, Stultz & Bauer; Chas. E. Gor-
ham, Chas. E. Gorham, Inc.; J. B. Cohen, Pease
Piano Co.; Alfred R. Spoerl, Rudolph Wur-
litzer Co.; Berthold Neuer and R. K. Paynter,
Wm. Knabe & Co.; Morris A. Lamb, Wana-
maker Store; Chas. Schultz, J. & C. Fischer;
G. E. Arthur and A. Dalrymple, Estey Pi-
ano Co.
E. E. ALLEN OPENS NEW STORE
Piano Dealer of Ithaca, N. Y., Holds Very Suc-
cessful Opening
ITHACA, N. Y., May 14.—E. E. Allen, piano deal-
er of this city, celebrated the opening of his
new store on East Seneca street last week. A
large crowd visited the store on the opening
day, and a book of patriotic songs was given to
visitors as a souvenir of the occasion. Mr. Allen
has been in business here for the past ten years,
representing the W. W. Kimball line of instru-
ments. Before coming to this city he had had
twenty years' experience in Boston as a piano
salesman and tuner. His new store has a well
equipped Columbia Grafonola department, in
charge of R. H. Allen, his son, and he also car-
ries a representative line of Oliver Ditson and
Lyon & Healy small goods.
BEHNING CONVENTION QUARTERS
The Behning Piano Co., New York, will have
convention headquarters and an exhibit of their
instruments at the Congress Hotel, Chicago,
next week, during the period of the merchants'
convention, and have invited the representatives
who attend the meetings to call. Gustave Beh-
ning, Horace E. Toms and Paul Fink will be
in attendance during the week.
Superior Pianos
and Player Pianos