Music Trade Review

Issue: 1918 Vol. 66 N. 22

Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
VOL. LXVI. No. 22
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Published Every Saturday by Edward Lyman Bill, Inc., at 373 4th Ave., New York. June 1, 1918
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Retail Prices Must
W
HAT is the individual piano merchant doing these days to educate the Imying public to expect to
pay more for pianos? What plans lias he put or is he putting in force actually to get more
money for the pianos that he sells—not just a couple of dollars more per instrument to cover
actual excess charges assessed upon him by the manufacturer or transportation company—but a
sufficient increase to cover the added value of the piano to him as a business asset? These are mighty big
questions to-day—questions, it would seem off-hand, that are not getting the serious attention which they
should from many of our piano merchants, in view of the fact that they are paying and must pay the manu-
facturer more for the instruments they handle.
A piano or player-piano under present conditions has ceased to be a dollars and cents proposition. It
cannot be handled on the basis that it costs so much to put it into the warerooms; that the overhead is
normally so much, and the interest on the investment is so much more, a share of which the individual in-
strument must carry.
The value of the piano to-day is not what it costs, but what it is worth to the retailer in the position that
he happens to find himself. In other words, a piano in New York, frankly speaking, is not worth as much
as a piano, say, for instance, in Harrisburg, Pa., for when the New York merchant sells his instrument he has
a chance of replacing it in a few hours from the factory and by motor truck, while the man several hundred
miles away from the manufacturing center must depend upon railroad transportation and may wait anywhere
from several weeks to several months to have a shipment come through from the factory. The fact that he
may be in a hurry for instruments doesn't count.
While the out-of-town man is waiting for his stock to reach him, his overhead, his rent, lighting bills,
taxes, living expenses and salesmen's salaries all go on steadily. He must see to it that these are covered by
the income from the pianos that he can get to sell.
These are not normal times, and therefore current business cannot be figured on a normal basis. The
average man is not going to enjoy the same turnover this year that he has in previous years, for war condi-
tions will prevent it. No matter how hard he works, or how he advertises, his business is going to be limited
by the number of pianos he can get, and if he only gets 50 per cent, of his regular allotment, the profits on
that 50 per cent, will have to carry the overhead and leave a margin formerly taken care of by the 100 per
cent, turnover.
That means that 50 per cent, of stock will have to be sold at prices that will really insure a profit, and,
for the safety of the business, those prices must represent cash, or terms mighty close to cash. The retailer
who values his pianos too lightly, even when sold on a cash basis, is in the danger zone, but he who values his
pianos too lightly and then sells them on the long terms that prevail in normal years, is simply digging a grave
for his business, and digging it mighty fast.
Leading men in all branches of the trade, both manufacturers and merchants alike, have been preaching
the gospel of proper prices and cash sales, and the individual piano man must see the light if he is going to
stay in business. He cannot afford to follow a careless competitor, for the more business the low-price, long-
term competitor does just now 7 the more likely he is to leave the field entirely to the other, the careful, man in
the near future.
The individual man must figure his business according to his own situation. From present conditions it
is not far wrong to say that in the retail trade it is fast becoming a question of each man for himself and
the devil take the hindmost. No amount of association work or co-operation is going to help the dealer who
cannot in the first place protect his own interests by observing what may be considered as elemental rules for
good business practice.
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE MUSIC TRADE REVIEW
REVIEW
PUBLISHED BY EDWARD LYMAN BILL, Inc.
President, C. L. Bill, 373 Fourth Ave., New York; Vice-President, J. B. Spillane,
373 Fourth Ave., New York; Second Vice-President, J. Raymond Bill, 373 Fourth Ave.,
New York; Secretary and Treasurer, August J. Timpe, 373 Fourth Ave., New York.
J. B. SPILLANE, Editor
J. RAYMOND BILL, Associate Editor
AUGUST J. TIMPE
Business Manager
Executive and Reportorlal Staff:
B. BEITTAIN WILSON, CARLETON CHACE, L. M. ROBINSON, WILSON D. BUSH, V. D. WALSH,
W u . BRAID W H I T E (Technical Editor), E. B. MUNCH, A. J. NICKLIN, L. E. BOWERS
BOSTON OFFICE:
CHICAGO OFFICE:
JOHN H. WILSON, 324 Washington St. E. P. VAN HARLINGEN, Republic Building.
Telephone, Main 6950.
209 So. State St, Telephone, Wabash 5774.
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LOCATED I N T H E LEADING CITIES THROUGHOUT AMERICA.
Published Every Saturday at 373 Fourth Avenue, New York
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ADVERTISEMENTS, $4.50 per inch, single column, per insertion. On quarterly or
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REMITTANCES, in other than currency forms, should be made payable to Edward
Lyman Bill, Inc.
A
'K Piann
1OUU O an
UU
Departments conducted by an expert wherein all ques-
tiona of a technical nature relating to the tuning,
regulating and repairing of pianos and player-pianos
p
a r * dealt with, will be found in another section of
this paper. We also publish a number of reliable technical works, information concern-
ing which will be cheerfully given upon request.
Exposition Honors Won by The Review
Grand Prix
Paris Exposition, 1900 Silver Medal. .Charleston Exposition, 1902
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NEW YORK,
JUNE
1, 1918
EDITORIAL=
T the time this issue of The Review reaches its readers, piano
A
men, manufacturers and travelers will be on their way to
New York to attend what in many respects will be the most
important national convention the trade ever held.
The delegates will come with the serious purpose in mind
of discussing wartime conditions as they actually exist and de-
vising way and means whereby the trade in itself can be most
fully protected while its members do their full share with others
of the country's citizens in supporting the Government in this
the greatest war in the world's history.
If ever there was occasion for members of this industry
to gather together for earnest discussion and for the exchange
of views, this is undoubtedly that time, and this seems to be
the feeling of members of the trade in general.
In the Pre-Convention Number of The Review last week,
regarding which there have been numerous expressions of com-
mendation from prominent members of the trade, the complete
programs of the various convention sessions, the National Music
Show and the other features of the week, were presented in a
form that should serve as a most convenient guide for the man
who comes to the metropolis next week. The details given in
The Review should stimulate those who have debated whether
or not to attend the conventions and set aside their own business
for the nonce and gather with the other men of the industry
for mutual protection, if nothing else.
the up-building of our export trade in pianos at
I N the discussing
final gathering for the season of the piano technicians held
in Chicago last week, E. P. Lapham, the well-known piano
merchant of that city, made a suggestion of more than usual
interest. In emphasizing the need of the expansion of our for-
eign trade he pointed out that the Government should take some
steps to assemble an army of bright young men in the com-
mercial high schools and colleges in the country where they
JUNE 1, 1918
could be educated in the commercial usages and customs of
foreign countries. This selection should be made somewhat
along the lines as those whereby young men are secured for
military training at West Point, the idea in mind being that
in times of war it is well to prepare for peace, and when peace
is with us, we certainly will have to battle for markets, and
when we have found them, we will have to hold them by being
able to supply the goods when desired, and in sufficient
quantities.
To enable us to accomplish this end it will be necessary to
have an army of commercial ambassadors who must have a
thorough knowledge of the markets of the countries to which
they are assigned. Mr. Lapham would have the Government
arrange to have these young men, after taking a course in the
American schools, visit the various countries to which they
are assigned, to learn their commercial ways and teach them
ours so that there will be a thorough understanding and a com-
plete co-operation in the matter of mutual service. This pre
paratory work done, the merchants of both countries would take
up the work and continue it.
Aside from action by the Government Mr. Lapham would
have the National Piano Manufacturers' Association appoint a
commission, or committee, to visit South America and learn the
commercial customs and practices in the various countries. This
commission would then report back to the national body for
the benefit of the whole of the United States. Such work would
be of great benefit to the industry inasmuch as many members
of the trade are lacking in authentic knowledge regarding the
requirements of the South American market for musical instru-
ments.
In view of the attitude of the Government toward the indus-
try at the present time and the restrictions on output imposed,
it is obvious that with the present domestic demand there will
not be a great surplus of pianos and players for export, never-
theless, the suggestion made is timely. The association or
manufacturer who plans ahead, to the end that they know the
foreign markets thoroughly, are in a strong position to score a
success when they are equipped to supply the goods needed.
Preparedness should be the watchword of the manufacturers
to-day and every step towards gaining a knowledge of foreign
markets, the requirements of the people, and the inauguration
of a campaign of publicity that will bring to the people of
South America and other countries a knowledge of our products
and their unusual qualities of excellence, cannot be started too
soon.
AST week an attempt was made to line up the piano indus-
L
try 'with the theatrical interests in the Red Cross drive
ostensibly for the purpose of making a better showing for what
the theatrical men termed themselves "non-essential" industries.
The logic was that theatres must be depended upon to make song
hits; that without song hits, popular music publishers could not
exist, and that music roll and record manufacturers would have
a hard time keeping their lists in salable shape, and that without
hits pianos and player-pianos would lose much of their popu-
larity with the public. Therefore, pianos were directly linked
with the theatre. It is true that music publishers depend upon
the theatre to give popularity to their songs, but if no pianos
were made or sold where would the music publishers find the
market for the popular and standard songs sold each year? It
looks like a fifty-fifty argument at least.
President Campbell of the New York Piano Manufacturers'
Association summed up the matter succinctly when he declared
that piano men had been fighting their fight alone, and with
considerable success; had put time, effort and money into a
powerful organization, and could see no reason for affiliating
with theatrical interests that were not permanently organized.
Although nothing may come of the plan to line up the theatrical
and piano trade interests together, the subject of the relation-
ship of these two interests will still remain an interesting one.
VEN prosperity brings problems with it—problems at least
E
for those who desire to profit directly by such a pleasing
condition. Much has been said about the earnings of the work-
ers and those engaged in big industrial centers in working on

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