Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
NOVEMBER 24, 1928
The Music Trade Review
These had been reduced to sixty and even these
are too many. Once established, in relation to
its salability, a line can be freshened up each
year or each season by minor design changes
which do not affect it basically.
Every slow-moving instrument that remained
on the wareroom floors over a long period is
adding 20 per cent to its original wholesale
annually, he said.
President of American Piano Co. Declares Need in Piano Industry cost,
In the course of his talk Mr. Urquhart dis-
cussed a number of the activities of his Com-
at Present Is Development of New Policies to Meet
pany in their relation to the trade at large, par-
ticularly the recent series of sales held in New
Changing Conditions Among the Public
York in connection with the consolidation of
several warerooms under one roof and the elim-
ination
of discontinued models representing
HE thirty or more members and guests of the New York Piano Merchants' Association
who attended the meeting of that body at the Hotel Breslin on Tuesday evening of this over a million dollars in value. This was done,
week left with a new conception of what frankness in the discussion of trade matters means he declared, on the sound business principle
following an informal talk given at the meeting by George Urquhart, president of the American of cleaning out this stock quickly and taking
Piano Co., who was the principal guest. There were those who did not agree fully with some the first loss as the smallest one.
Following Mr. Urquhart's address there was
of Mr. Urquhart's ideas as he presented them, but there were none who did not admire his open-
considerable discussion regarding the mer-
ness in his talk.
Mr. Urquhart at the outset declared that, with the manufacturer, he said, who must estab- chandising ideas he put forth, particularly the
while he had been in the piano business less lish a definite price value. At present one of plan of offering low-priced instruments occa-
than a year, he had as a banker made close the outstanding evils is the effort being made sionally at less than the established price in or-
studies of many other lines of industry for a to produce cheaper and cheaper pianos instead der to bring to the warerooms those who re-
number of years, and he had applied to the of setting a minimum at which a really good sponded only to the bargain appeal. In this
piano business the fundamental ideas in mer- instrument can be offered. Mr. Urquhart sug- connection the meeting assumed the form of a
chandising that he had found to apply to all gested that the manufacturers could agree upon general round-table discussion, one of the
lines. He declared that the piano business was such a minimum and then observe it in practice. frankest perhaps that have thus far been held in
There is much room in the retail piano busi- association work.
not successful at the present time because it
Following Mr. Urquhart's address, Delbert L.
was not bringing in proper returns for the ness, too, as he saw it, for some radical im-
Loomis,
executive secretary of the National
money and effort invested in it, and held that provements. One of the most noticeable evils
it could only be improved through hard and in- was the number of retailers doing business Association of Music Merchants, told of his
telligent work not alone by the executives of under an overhead entirely out of proportion to recent trip to the Pacific Coast and of the grow-
the various concerns but by the entire man possible sales volume. Before any retail piano ing enthusiasm in association work. He invited
business is started, he said, it is necessary to the local association to affiliate with the national
power of the industry.
The speaker stated it would be necessary in make a careful survey of the local field and its Association as a body.
many cases to formulate new policies and that possibilities and then base the scope of the Emil J. Pettinato, president of the associa-
in this work the best brains in the trade would business at the outset upon normal sales expec- tion, presided over the meeting.
be required. It did not mean that the man in tations over a period of a couple of years. On
the managing executive's chair must depend en- this basis rent should not exceed 5 per cent Straube Representative
tirely upon his own intuition. He should, as of the contemplated annual volume, and adver-
Reports Good Business
a matter of fact, base his policy upon careful tising should also be kept within the 10 per
surveys of the field in which he is operating cent limit, leaving a net of 10 or 15 per cent to
W. A. Berry, sales representative of the
and rely in no small measure upon information cover allowances, salesmen's commissions, etc. Straube Piano Co., with headquarters in St.
gained by, and the opinions of, subordinates in He cited several cases both in and out of his Louis, reports a very satisfactory business in
own company where the rent paid was so ex-
the formulation of those policies.
that territory which he attributes to the na-
The main thing that was hurting the piano cessive that there was no possibility of creating tional advertising and national price policy of
business, said Mr. Urquhart, was the frame of a business volume to warrant it. He suggested the Straube Co. He declares that the success-
mind of those engaged in it. Too many piano that traveling representatives of manufacturers ful piano traveler to-day is a man who cannot
men are possessed of a hangdog, beaten atti- and wholesalers sound out retailers regarding only place the instruments with the dealer but
tude, and are too prone to recite the many rentals paid, etc., in order that adjustments can show horn how to sell them.
cither industries cutting into their business might be recommended when necessary.
In the matter of trade-ins Mr. Urquhart de-
rather than to gird up their loins and fight for
A. H. Kayton in Philadelphia
their business. The development of radio, new clared that, although it was difficult to estab-
types of talking machines, the automobile, elec- lish definite schedules of allowances for used
PHILADELPHIA, PA., November 19.—A. H. Kay-
tric household appliances, etc., have all resulted instruments, his company in its own stores puts
ton,
formerly president of the Milton Piano
every
used
upright
on
the
books
at
$1,
and
in taking money that might otherwise go to the
piano dealer. But as the developments continue every instrument must stand the difference be- Co., New York, and who since his retirement
this competition will be stronger instead of tween that amount and the allowance made for from the manufacturing concern has been so-
weaker, and the man who sits down and waits it. This served to encourage managers to in- journing in European countries, is now making
his home in Philadelphia and announces he can
for better business is simply going to disappear. sist on small allowances in order to avoid hav- be reached through his son-in-law, Manager
The speaker saw the need of a more hardy ing sales losses on used pianos charged against Clark of the financial firm of Bonbright & Co.,
and constructive spirit of co-operation between monthly totals, and set a figure that will permit investment bankers, Philadelphia branch.
American piano manufacturers, with a view to the old instrument being resold without loss.
The question of styles was also discussed and
putting the business on a basis that would en-
The Steinway in Augusta
able the public to set some definite standard it was held by Mr. Urquhart that in his mind
of value on piano merchandising and havg con- there were altogether too many styles, which
The L. A. Russell Piano Co., Inc., established
fidence in that value. The man on the street meant the tying up of capital in slow-moving
has a very definite idea of automobile value, products. He stated that when he took over in August, Ga., some thirty years ago, is adver-
but he has no yardstick by which to measure control of the American Piano Co. there were tising widely the fact that it has been appointed
what he gets for his piano dollar. This rests some 600 different and distinct piano models. representative for the Steinway piano.
George Urquhart Addresses
New York Music Dealers
T
MTAILIIHID ia«a
L^VUTER
ONE OF AMERICA'S
GRANDS
NEWARK. N. J
FINE PIANOS
UPRIGHTS
THE LAUTER-HUMANA