Music Trade Review

Issue: 1919 Vol. 68 N. 9

Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE MUSIC TRADE REVIEW
MARCH 1, 1919
display the same ambition and desire to work their way up as men
do, and are too prone to be satisfied with certain fixed positions in-
stead of being inclined to acquire a greater knowledge and go ahead
to more important posts.
prominent piano traveler in close touch with the retail trade
O NE in various
sections of the South expresses the opinion that any
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Vol. LXVIII
NEW YORK, MARCH 1, 1919
No. 9
EDITORIAL 1
D
EALERS throughout the country are manifesting the keenest
interest in the approaching visit of George W. Pound, General
Counsel and Manager of the Music Industries Chamber of Com-
merce, the itinerary of whose trip was published in last week's
Review. Some thirty cities will be visited and the men who
have been appointed to head the reception committee all promise
large audiences to hear Mr. Pound explain the accomplishments of
the Chamber of Commerce, and what it expects to do for the trade
in the future.
This trip of Mr. Pound's marks a new era in trade history. It
denotes the increasing interest of all branches of the trade in the
industry, and it is safe to say that when the tour is ended the im-
portance and dignity of the music trade will be more widely recog-
nized than ever before in history.
EPORTS from piano manufacturers, and particularly from
R
those located in the West, indicate that while the supply of
available labor is still far below normal, workmen are trickling back
to the factories in increased numbers, and are serving to relieve the
situation to a considerable measure. As the work of demobilization
proceeds a goodly number of trained piano workers are released
from service, and we are having no difficulty in finding suitable
places in the factories.
The general report regarding the increased number of unem-
ployed men refers practically entirely to what is termed unskilled
labor—men without any definite trade. This unskilled labor can
only be used to a limited extent in piano factories, and the result
has been delay in manning plants while waiting for trained workmen
to be released from military service, or for new employes to be
trained to a point where they become really productive.
A notable feature of the labor situation has been the noticeable
inclination by manufacturers to dodge the employment of women
in their factories, even those who had female help during the war
replacing such help as leaves with male help wherever possible. The
answer is apparently that in general factory work women do not
possible effort of certain piano manufacturers to take care of the
overproduction question by returning to the old system of long
terms will not only rouse the ire of other manufacturers, but will also
meet with opposition from piano merchants, especially in the South.
These merchants, for instance, declare that having so rearranged
their businesses* as to be able to do their buying and selling on a.
short term basis they will never again go back to long terms and go
through the experience that has been theirs during the months of the
war, when they found themselves with much long time paper on
hand, while their banks in many cases not only refused to take more
piano paper as collateral, but actually required them to reduce by 50
per cent, or more the amount of paper already held by the banks for
loans.
More than one piano retailer had to dig and dig fast in order to
meet the demands of his bank, and still keep his business going,
especially in view of the fact that the manufacturer was of necessity
demanding shorter terms on new instruments bought. The lesson
has been a hard one, and the retailers have apparently learned it
well, and the majority of them will not be inveigled into placing
themselves in the same old position and suffer the same consequences
should another economic or international crisis arise.
The attitude of piano merchants is reflected in some measure in
the inclination to keep retail stocks pared down close to actual neces-
sity, to buy only to meet present requirements, and then to buy for
cash or on short terms.
I
T was long ago predicted in business circles in this country that in
preparing to meet after-war competition by German and Austrian
manufacturers, particularly the former, American manufacturers
must guard against the adoption of various subterfuges by interests
in enemy countries desirous of re-establishing themselves in the
world's markets. It has been pointed out on numerous occasions
that, realizing the odium that would attach to the mark "made in
Germany" for many years to come, manufacturers and exporters of
that country would endeavor to market their products as coming
from allied or neutral countries.
Those who have uttered warnings in the past already profess to
see in various protective tariff laws being advocated in South Ameri-
can countries, and particularly in Cuba, the first step in the German
effort to get a foothold in Latin America by offering Cuban-made
pianos to that market. In Cuba, for instance, a tariff measure has
been introduced "for the protection of a young home industry" that
will, if it becomes a law, practically bar American pianos from the
Cuban field. Just now there is one piano factory on the Island, but
certain interests connected with the Bank of Spain are said to be
planning to manufacture pianos on a large scale. No secret is made
of the fact that German interests working through Spanish inter-
mediaries are believed to be back of the move.
Whether or not there is reason to be particularly suspicious of
this one incident, the fact remains that the various subterfuges must
be expected and guarded against, if our manufacturers are to be able
to compete successfully.
conditions in all branches of the music trade industry
B USINESS
continue to show improvement. While the retail trade is short
of stock, manufacturers are making more frequent shipments, and
with the increasing return and demobilization of the soldiers from
Europe the labor question, which has been a very serious one, is
being adjusted along satisfactory lines. In fact, every branch of the
industry in America gives strong indications of better sentiment and
a more favorable outlook. Meanwhile the readjustment of business
of the Nation proceeds apace, and it is now believed that we are
rapidly approaching the apex of this post-war disturbance, and that
within the next three months matters will so adjust themselves that
business of all kinds will continue on an upward grade with manu-
facturing conditions greatly improved.
The leading trade reviews in their reports of conditions are
optimistically inclined.
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE MUSIC TRADE REVIEW
MARCH 1, 1919
Prohibition and Its Effect on the Piano Industry
W. S. Gannon, Pacific Goast Representative of Kohler & Campbell, Inc., Points
Out the Probable Effects of National Prohibition on the Piano Trade, Basing
His Predictions on What Has Occurred in States Which Recently Went Dry
[The Pacific Coast representative of Kohler & Campbell,
Inc., has made an investigation of the effect that prohibi-
tion has had upon the piano business in the States that he
covers.
His disclosures will be of interest to dealers
operating in so-called "wet" territory, who are wondering
what effect nation-wide prohibition will have on their op-
portunities for business.—Editor.]
There are now nine dry States west of the
Rocky Mountains. In fact, every State is dry
with the exception of California. Prohibition
has been effective in two of these States only
since the first of January, while others have had
several years of experience.
The business man as a rule has opposed pro-
hibition. As these States went dry, I at first
looked for at least a temporary disarrangement
which would be harmful to business, but it has
been surprising how quickly the readjustment
has been effected.
In one town of 15,000 population there were
twenty-two saloons. Within three months after
prohibition became effective all but four of these
business locations had been converted into some
other line. A piano dealer in this city is a mem-
ber of the City Council, and a member of the
Street Committee. The clearing of the streets
had always been done by what was known as the
"Chain Gang," mostly hoboes arrested for va-
grancy. The "Chain Gang" at once disappeared,
and they were compelled to devise other means
for street cleaning.
The manager of the biggest hotel in Seattle
said to me: "I worked and contributed money
to defeat prohibition and was utterly discour-
aged when prohibition carried. This hotel has
never been so prosperous as it has been since,
and now I would work harder and contribute
more liberally to defeat an attempt to restore
the liquor business."
In another town I met the proprietor of a
men's furnishing store. He and his son had con-
ducted the store and handled the trade. Within
a year after prohibition he enlarged his store,
and added seven clerks, and every Saturday
night the bank sent over $7,000 to him to cash
customers' checks, most of which had hitherto
been cashed in saloons.
I have always taken occasion to inquire par-
ticularly of the piano dealer as to the effect
upon his business. Practically without excep-
tion the reply has been that he immediately felt
an increase in business but more particularly
a very noticeable improvement in collections.
I recently wrote the following letter to a num-
ber of dealers throughout the Western States:
"In view of the fact that we are now to have
national prohibition early next year, piano deal-
ers, especially in the Eastern States, are wonder-
ing what effect it will have on their business.
Our people are anxious that I should let them
know what the experience of piano dealers has
been in the dry States of the West.
"Would you please write me just what your
experience was when the State went dry?
"(1) What was the effect upon volume of
your sales?
"(2) What was the effect upon your collec-
tions?
"(3) What other results did you notice upon
your business?"
I have before me some twenty-odd replies, and
with a single exception they declare that the
effect of the dry State has been very favorable
to the piano business. A Seattle dealer writes:
"Collections were better almost immediately.
Our business was better, as was that of every
other business man, grocerymen could collect
their bills, women and children wore better
clothes. This naturally had its effect on our
business."
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mur/calmme
jntte World.
Another dealer in Seattle says: "Collections
improved immediately, and we made a greater
percentage of sales to the working men than
ever before. Personally I was opposed to pro-
hibition, but the results have been good."
A Washington dealer says: "The State going
dry was a benefit to us in our collection depart-
ment, as it has been easier to get money out of
the individuals, and less excuse for postpone-
ments of payments than formerly."
An Arizona dealer says: "Sales have cer-
tainly increased and collections have improved."
Another Arizona dealer says: "Prohibition
knocked the dickens out of our personal liberty
and good times, and gave us in its stead a lot of
'filthy lucre.' "
A Colorado dealer writes: "Everything out
here is 100 per cent, better than before."
A dealer from Utah—Utah went dry in Au-
gust, 1918—says: "Our collections have been so
manifestly improved that words fail to express
the results. Our down payments have doubled."
A Portland dealer writes: "The effect on busi-
ness was splendki, both in the way of volume
and collections."
An Oregon dealer in a town of 10,000 popula-
tion writes: "Collections became better at once.
Empty saloon buildings hurt the appearance of
the town temporarily, but they were gradually
filled with new lines of business."
Montana has only recently gone dry, but a
prominent dealer there writes: "I find that our
retail cash trade in the talking machine record
line and in the sheet music and small goods
line was the largest last Saturday that we have
ever had in our business experience. Our collec-
tions last month in the volume of cash received
were the largest we ever had during any month
of January in past experiences, and this in the
face, too, of several of our mines closing down.
There can be only one side to this question,
and that is that it must be favorable in every
respect."
One dealer expressed the opinion that it would
have been better to abolish the saloons, and
more stringently regulate the use of intoxicants,
but as between the wide-open town and absolute
prohibition I believe the piano dealers in these
Western dry States would declare practically
unanimously that the effect of the change has
been very helpful to their business.
In California there is quite a little sentiment
that, inasmuch as the vast vineyards of this
State have been developed with public approval,
and have even been encouraged by the Depart-
ment of Agriculture at Washington and the agri-
cultural department of the State University, the
owners should be recompensed for at least a part
of their investment.
It has been my intention in the foregoing to
a\oid giving my own opinion, and to avoid the
morals of the question, but merely to record the
opinion of the piano trade in the Far West upon
the business aspects involved.
PLAN CORDIAL RECEPTION FOR POUND IN CINCINNATI
Otto Grau, Assisted by D. F. Summey, Marshaling the Trade Interests in That City in Order to
Insure a Proper Showing When "Industry's Missionary" Reaches That Section of the Country
CINCINNATI, O., February 24.—Cincinnati mer-
chants engaged in the various phases of the
musical instrument field will have an oppor-
tunity to hear George W. Pound;, New York
City and Washington, explain the merits and
work of the Music Industries Chamber of Com-
merce at a meeting to take place March 5, prob-
ably in the assembly hall of the Chamber of
Commerce, this city.
Preliminary arrangements for the meeting are
now in the hands of Otto Grau, of the Otto
Grau Piano Co., who is being assisted by D. F.
Summey, of the Willis Music Co.
As now planned these two gentlemen, prob-
ably with several volunteers, will make a can-
vass of the Cincinnati territory and explain to
each prospective member the importance of the
movement.
Mr. Grau, for one, fully appreciates the im-
portance of the movement and he is one piano
merchant who believes that it was Mr. Pound's
individual work which made possible the tre-
mendous holiday season of 1918 and 1919.
"Mr. Pound," said Mr. Grau, "has done a
great deal for the music industries of the United
States, for it was his courage and effort which
enabled our factories to continue production
when there was a disposition on the part of the
Government to place our business on the non-
essential list. He fought out with Washington
the claim that 'Music will help win the war.'
"Let the man who is asked to join this move-
ment realize that without the manufacturer he
would not have been in business this very day.
He might have his store open but no stock. Mr.
Pound's work made it possible for the factories
to keep on producing although on a reduced
scale, but that very condition enabled the manu-
facturer to keep his organization going and to
make shipments to you and me."
PIANOS
In appreciation of the services of Mr. Pound
and in the belief that a thorough organization of
the music industries will be of benefit to mer-
chants in all lines, Mr. Grau proposes to devote
a good part of his time towards arousing inter-
est among the local dealers in the forthcoming
visit of Mr. Pound.
UNIFORM CONDITIONAL SALES ACT
Amendment to Personal Property Law Just In-
troduced in Albany Is of Interest to Members
of the Music Trade Industry
A bill has been introduced in Albany by Mr.
Martin in the Assembly and Mr. Knight in
the Senate to amend the personal property law
in relation to the conditional sale of goods and
chattels. This bill would repeal existing Article
4 and insert new Article 4, to be known as the
Uniform Conditional Sales Act.
The Act defines "conditional sales," "buyer,"
"goods" and other terms used; specifies the
primary rights and liabilities of both buyer and
seller; includes provisions concerning validity of
sales; in relation to fixtures, railroad equipment
and rolling stock, conditional sale of goods for
resale, canceling of contracts, retaking posses-
sion, redemption, compulsory resale by seller,
resale at option of both parties, the application
of proceeds of resale, recovery of part pay-
ments by buyer, rights of parties where there
is no resale, prohibits removals or sale by buyer
without notice; and makes unlawful the conceal-
ment or removal of goods; requires original con-
tract of sale or copy thereof to be filed with
city clerk, and the refiling of contracts when
goods are removed from original filing district;
and makes buyer liable for loss and injury after
delivery of the goods.
ORGANS
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