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THE MUSIC TRADE REVIEW
The Question of Minimum Advertised Prices Discussed
The Review Secures Opinions from Piano Men in Various Parts of the Country
Regarding the Desirability of the National Adoption of the Plan Proposed by
the New York Piano Merchants—Interesting Views for and Against the Idea
,
At the recent meeting of the Piano Merchants' Association of New York at the Hotel Astor, for the purpose of formulating a
plan for establishing a minimum advertised price on both pianos and player-pianos, the suggestion met with practically unanimous
approval, and it was declared that the question would be made a national one through the medium of the National Association of
Piano Merchants. Due to uncompleted plans for presenting the matter in convention and the press of business at the Chicago meet-
ing, this matter of agreeing on minimum prices was not offered there for consideration.
The Review, through its corps of correspondents in the various cities of the country, has endeavored to ascertain the attitude
of piano merchants generally towards the plan of minimum advertised prices and has found that although a large number of piano
men favor the plan there are many others who are distinctly opposed to any such regulation either under the voluntary system
or otherwise. Some of the many interesting opinions on the subject appear herewith and serve to present arguments on both sides.
WILL GIVE THE PUBLIC BETTER IDEA OF PIANO VALUES
Declares Wm. H. Daniels, of Denton, Cottier &Daniels, Buffalo—Still Possible to Sell Pianos
Below Proposed Limit of $225—Factors That Hurt Piano Values
BUFFALO, N. Y., May 28.—"If an understanding
could be had among the dealers generally not
to advertise the prices of their lowest grade in-
struments, the public would soon get a better
idea of real piano values."
This was the statement made to a representa-
tive of The Music Trade Review by William H.
plan, the advertising of such pianos has a ten-
dency to create in the public mind an erroneous
idea of the true value of pianos and player-
pianos generally. I believe manufacturers of
commercial instruments are themselves largely
to blame for this state of affairs.
"In the past many of the large department
houses, and a great many dealers, controlled by
some manufacturers of commercial pianos, were
advertising the names of old-time makers which,
in earlier days, represented high grade instru-
ments, but who, through force of circumstances,
were obliged to quit the field, or dispose of their
names and reputation to manufacturers of cheap
grade commercial pianos.
"These instruments were represented as high
grade pianos and sold as such, when, in fact,
they were practically as cheap a lot of instru-
ments as could be manufactured. The public
was misled.
"A great deal of other bunk was indulged in,
such as the club plan, etc. The cheapest grade
pianos were advertised as high grade and at
terms $5 down and $1 weekly. They are now
reaping what they sowed.
"Anyone not able to pay more than a dollar
a week on an instrument is a mighty poor risk
and ought not to be trusted with an instrument.
In a majority of such cases the dealer is obliged
to repossess the instrument with a great deal
of trouble, expense and loss to himself, besides
making an enemy for his establishment."
"We might take a good lesson from the auto
dealers," said Mr. Daniels in conclusion. "As
a result of advertising lowest grade pianos con-
tinuously, the public get into their mind that
there are only 'Fords' made and no 'Pierces'
or 'Packards.' "
NOT THE PROPER TIME J ^ J I X J1INIMUM, SAYS CONROY
Rapid Changes in Materials Markets Make the Fixing of Prices a Ticklish Job—Believes in an
Honest Price for an Honest Instrument, and in Advertising Terms
Wm. H. Daniels
Daniels, head of the well-known piano and
music house of Denton, Cottier & Daniels.
"While it is true," continued Mr. Daniels,
"that a well made, dependable commercial piano
can be sold at less than $225 and a player-piano
at less than $450 with a reasonable margin of
profit to any dealer who buys his goods for spot
cash and conducts his business on an economical
w. A.ITPPMAN IN FAVOR OF IDEA
St. Louis Piano Man Declares That a Higher
Figure Could Be Named if Desired—Believes
That the Public Should Be Educated
ST. LOUIS, MO., May 22.—W. A. Lippman, of the
Field-Lippman piano stores, is strongly in favor
of a minimum price in piano advertising, such
as the New York merchants now are consider-
ing. "I like that idea," said Mr. Lippman to The
Review. "In fact, I think that even a higher
figure could be named. To show exactly how
this firm stands on this point, I can tell you that
it has been a long time since this firm has
sold a piano for as low as $225 or a player as
low as $450. We do not think that instru-
ments are made to sell at those prices which
would be satisfactory for our trade.
"This firm also believes the public should be
educated to think of worthy musical instru-
ments as of real value. In this way a line
can be drawn between the worthy instrument
and the unworthy. Our idea is that reliable
dealers should not cheapen their business by ad-
vertising low prices, nor should they attempt to
sell instruments to compete in price with those
that are not worthy."
P. E. Conroy, president of the Conroy Piano
Co., St. Louis, Mo., does not think that this is
the time for piano merchants to be talking of
fixing a minimum price, as the New York mer-
chants are doing.
"At the rate piano materials are advancing,
wages going up, other expenses being added,
with a prospect of a manufacuring tax, we
should be very careful about fixing values," said
Mr. Conroy. "Also I think it would be better
to be honest with the public and say frankly
that owing to advancing price of materials, war
taxes, and other causes, the pianos that we sold
for $300 now cost $360, or whatever the figures
may be. I think that an honest price on an
honest instrument is not anything to be
ashamed of, even if that price is $195. Tell the
people that you have such an instrument, that
it is as low in price as an honest instrument
can be priced and not to look elsewhere. If
the piano merchants should fix such a price, the
dealers who do not adhere to the one price
system would advertise instruments at a lower
price, they would show prospective customers
that pianos could be sold at a lower price
and soon there would be much talk of 'hold up'
and the piano merchants would find themselves
on the defensive.
"I cannot say that I favor such a move, be-
cause I think that business is best done by
being frank with the public and not building a
fence around yourself and your associates to
keep away trade. I do not like the idea of maxi-
mums or minimums, nor can I see anything to
gain by concealing an honest value.
"I rather favor the stating of terms. It per-
mits the dealer to reach people who cannot be
reached unless they know that the firm grants
terms. It is a broadening trade, not restrictive
trade, that we need."
DECREASING NUMBER OF CHEAP PIANOS ON THE MARKET
First Class Houses Do Not Follow the Something for Nothing Plan in Retailing Their Instru-
ments, Says W. H. Greulich, of the Cable Company, Cincinnati
W. H. Greulich, manager of the Cable Com-
pany's establishment in Cincinnati, O., said:
"In reference to the move of the New York
piano merchants anent the minimum price at
which pianos should be advertised, my views
along this subject coincide exactly with the
policy pursued by the Cable Company in the
past, and so far as I can recall, I do not remem-
ber the Cable Company ever having offered a
new piano of their manufacture at $225 or under.
In the latter part of 1916 we did advertise a
player in a fumed oak case at $395.
"I do not believe there are many first-class
piano houses that still cling to the 'something
for nothing' plan, contests or continually dosing
the public with special sales; or who purchase a
piano that they can afford to sell for $225 or a
player for less than $395.
"During the days when the contest method
of doing business and special sales plans were
flourishing throughout the country, the large
majority of our factories were yelling for pro-
duction and greater production. The result was
we were flooded with cheap pianos, the life of
which was very short. I dare say at this time
there are not one-half as many stencil pianos be-
ing sold as there were four or five years ago.
One good can be said to have resulted from the
special sales plan and that was to educate the
public that most of these plans in themselves
were frauds and the pianos which were sold, im-
positions on the public.
"At this time we have a great demand for
player-pianos. In my opinion a great deal of
caution should be used in the production of
cheap players. I believe most piano men will
agree with me that it is impossible to manu-
facture a real musical instrument in combina-
tion with the player action that can be sold for
(Continued on page 11)