Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
The Music Trade Review
OCTOBER 29, 1927
What Is in Store for the Piano Industry
(Continued from page 3)
group instruction. In the sale of a piano it is
very important to consider the family budget
which not only meets the monthly payment on
the instrument, but the cost of the music les-
sons in addition. With group instruction by
private teachers, costs can be very materially
reduced, and it has been proven that children
make equal or greater advance in the early
stages through this method.
Another important step that should be taken,
in my opinion, is the elimination from the mar-
ket by the dealers of all pianos made prior to
1897 unless they are of exceptional make and
condition. They are a parasite on our industry,
sucking the profits and killing what should be
profitable prospects. Within the next ten years
500,000 pianos are going to be thrown onto
the market that were made prior to that date,
in my opinion, because it is the time for the
second generation to come into the heritage
of such heirlooms valued only from sentiment's
sake and not very valuable even then. That
is, 50,000 antiques a year are going to be sold.
Now if you will take the actual value of each
of these pianos, plus the cost of selling it,
which is as great as that in the sale of a brand
new piano, plus the cost of virtually rebuilding
it, you have eliminated the possibilities of
bringing to our trade any material gain and
from our industry a potential profit.
The market to-day is such that it cannot be
forced to buy what it does not want, and the
creation of odd models, rebuilt antiques, and
what-not will not increase the health of the
business. People will also be very willing to
pay for what they want, and the people want
something new. Your friends, you will ob-
serve, if they collect antiques show you only
their newest acquisition, and the fact that it
is new to them has its charm. So it is with
a piano. People want a new one and they
want to buy it on low monthly terms and are
willing to pay for that privilege.
In order to extend this time it will be neces-
sary to put into use ways and means to be
able to better finance one's business. The auto-
mobile dealers are very able to extend their
time and do it willingly, because of putting into
effect their very successful carrying charge.
That is true of many other articles that are
sold on partial payments, for instance, the wash-
ing machine, vacuum cleaner and other house-
hold articles that the piano trade have been
regarding as outside competition.
Those who have put into effect the carrying
charge have done it very successfully and it is
only fair that there should be a just difference
between the cash price of a piano and when
sold on time.
I believe that if the carrying charge was uni-
versally used by every merchant, they would
find that it would be a great help in financing
their business, and their business could be re-
financed by the same method as the automobile
merchants are refinancing their business.
The basis of our industry rests on the prosperity
of the retail piano store, and the retailer must
operate profitably if the manufacturer is to be
able to go ahead on a substantial basis. The
ultimate consumer for whom the piano really
is made must stand all expenses in connection
with it. Manufacturers do not create pianos
for themselves any more than dealers buy
pianos for themselves—they are all part of a
great industry which should work very closely
together.
The Market
My review of the business markets of this
country brings me to the conclusion that the
maximum piano consumption in this country is
400,000 a year, 300,000 new and 100,000 that are
under twenty-five years old. We cannot sell
everybody, for it would be an exceedingly dan-
gerous industry to be in if we, through forced
selling, were supplying every potential pur-
chaser with an instrument because our trade,
or any trade under such a condition, would not
withstand an economic depression which would
then cause a very great amount of grief and
failure. It is my idea that the retail dealers in
this country should plan to sell 400,000
pianos a year, 225,000 of which would be up-
rights and players, 75,000 grands and 100,000
used pianos. Of the uprights and players, 80
per cent will be the so-called "commercial";
at least 50,000 will be made by five large manu-
facturers, leaving 110,000 to be made by all
others. It is my opinion that it is not pos-
sible to produce for the mass market on a basis
of more than 3,000 a year, and that means that
there is room for only thirty-six more manufac-
turers in the medium or low-priced class, and
for about thirty more in the high-priced field.
I am not discussing grand pianos at all at this
time.
These figures will indicate that there must
be a continuation of the process of consolida-
tion and elimination before our industry will
be upon a profitable basis to the manufacturer.
While there is yet time it seems to me that
manufacturers who, because of anticipated re-
tirement, inability to finance dealers sufficiently
or for any cause whatever, feel that the future
is not going to add to their worldy goods,
should endeavor to consolidate with each other
or in some way liquidate their interests in the
piano field while there is actual cash value to
their business. People in all lines of industry
with whom I talk say that this is true of every
line of manufacture, and that if one takes his
money from the piano industry he will not
find inducement in any other line of manufac-
ture because practically every line of manufac-
ture to-day is overcrowded from a production
standpoint.
(Continued next zveek)
R. A. Curran Buys
DeForeest Music House
Wm. DeForeest, Son of M. V. DeForeest, to
Retire From Business—DeForeest Building
Under Lease
SHARON, PA., October 24.—Following the recent
announcement of M. V. DeForeest, proprietor
of the DeForeest Pioneer Music House, of this
city, to retire from business and liquidate the
company's assets, the entire stock and fixtures
of the music house have been sold to R. A.
Curran, of the Curran Music Co., 62 East State
street. Mr. Curran has taken a ten-year lease
on the DeForeest Building and eventually plans
to move his store to that location. Mr. Currar.
has always had a high regard for the DeForeest
concern, as he was employed by this music house
for twenty years prior to entering business for
himself. William DeForeest, son of M. V.
DeForeest, will retire from the music business
and he and his father will devote all of their
time to the DeForeest Buick Co., which has
branches in Grove City and Titusville.
Two Black Grows as
They Look in St. Louis
KIM
The Two Black Crows in their many appear-
ances in music dealers' windows never looked
more fashionable than in St. Louis, at the
Sales Plans
32
Sales plans that have stood the test of
time offered to Kimball Dealers.
The strength of the Kimball franchise is in con-
tinued interest after the dealer has purchased.
Kieselhorst Piano Co., 1007 Olive street, in
the heart of the downtown district. Their eyes,
electrically lighted, flashed alternately with
emotion as they inspected the rich turf at theii
feet for worms. Around the walls of the in-
terior of the window Greek deities of music
suggest an accompaniment of sweet sounds.
Perhaps your territory is open
Write or wire
W- W. KIMBALL CO.
1857
Kimball Building, Chicago
1927
Consult the Universal Want Directory of
The Review. In it advertisements are inserted
free of charge for men who desire positions.