Music Trade Review

Issue: 1929 Vol. 88 N. 27

Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
Published Monthly
FEDERATED BUSINESS PUBLICATIONS, INC.
420 Lexington Ave.
New York
Review
Music
Industry
Serving
the Entire
Vol. 88
October, 1929
No. 27
Single Copies
Twenty Cents
Annual Subscription
Two Dollars
In Ohio
T\\c\ 7bld How
But
Few Heard Them
**^ • AHEY that have ears, let them hear" is the biblical advice
I offered some two thousand years ago, and although busi-
-*- ness conditions then were perhaps somewhat different than
at the present time, the advice holds quite as good today for
music merchants who are seeking solutions of their problems.
The individual who wraps himself up in his trouble or tries to
find his way out single-handed is not going to get nearly as far
as his contemporary who finds out what the other fellow is doing
successfully and endeavors to apply
the methods to his own business.
Take, for example, the opportu-
nities that were offered at the OHio
Convention early last month for
learning new business wrinkles, or at
least old ideas that were being ap-
plied in new ways. At the several
round-table discussions, some of the
largest and most successful music
merchants of the State offered freely
of their experiences in canvassing,
selling, advertising and collecting.
They told how new prospects were
obtained, and how pianos and other
instruments could be placed in the
homes. They were quite willing to
answer questions regarding the details
of their methods and yet, to all in-
tentions and purposes,, they talked to
themselves, for there were few outside of the successful group
to hear them.
It would seem that every member of the music industry has a
pet scheme for bringing sales back to high peak, and is willing
to expound at length upon his pet theory, which may or may not
be sound. In Columbus, however, men who were actually ac-
complishing things told just how they did it. They were supplant-
ing theory with fact, and it is regrettable that the association
roster was not represented 100 per cent to hear them. The dealer
who begrudged the comparatively few dollars required to attend
the meetings, will, as likely as not, spend many times that sum in
trying out plans that are mainly theoretical and which may come
to nothing. How much cheaper it would have been to have learned
of successful methods, upon which someone else had done the
experimenting, and then applying them. The Ohio Convention
. ..;.
was not the only place where suc-
cessful plans have been offered freely
and proof presented that the big
music merchant is not at all adverse
to giving business information for the
benefit of the trade at large. Regu-
larly, for years, The Review has
published scores of articles setting
forth successful business methods car-
ried out by the representative retail
9
houses of the trade and based upon the
information obtained directly and freely
from these houses. The material, in
short, is available, what is needed is
the foresight to use it.
It is quite all right to expound the
necessity of encouraging group in-
struction locally in the schools and
elsewhere; to cut down service costs
upon various types of instruments;
to build up and maintain active prospect lists; to demand short
terms and get the money, for the wisdom of all these is obvious.
What is needed is to show hundreds of dealers in the small towns
and in the larger cities as well just how they may do these things,
and there are no better teachers than the merchants who have
been successful in carrying out this work in its various phases.
(Continued on page 15)
What troubled music
merchants
want to
know is not only what
to do but how and the
opportunities for learn-
ing are both numerous
and practical
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
etting
oney
IME payments as applied to radio sales-
manship to-day is a necessary evil be-
cause deferred payments have become a
national habit, according to Harold
Smith, of Smith's Radio Store, in Washington,
By FRED E. KUNKEL
"Another thing we do in making every sale
is to emphasize to the customers that they
are signing up a contract, an obligation to pay
before payment is due. The second notice is a certain amount of money each month and
sent out the day after payment was due, and that these payments must be met as they are
if nothing is heard due because the contract calls for repossession.
from the customer We ask them where they desire to have their
Salesroom
within the next 3 notices of payments due sent so that there will
A D A M S i8o?-4-<;
days the third form be no oversight in making payment.
is sent out. If these
"Any person who cannot afford to pay 25 per
18th and COLUMBIA ROAD
fail to produce re- cent down on a set and the balance in 10
WASHINGTON, D C
sults we then get in months is not in our judgment a credit risk.
touch with him by The smallest monthly payment that we have on
Dear
telephone
immedi- our books is $10 per month and we charge 6
ately and if the tele- per cent on all unpaid balances.
This is to remind you that the payment of$_
phone produces no
"Before a machine goes out the customer
on
results we make a must sign the contract and make the down pay-
your Radio will be due_
p e r s o n a l call. If ment. We have discontinued the practice of
he misses the sec- sending out machines and giving demonstra-
Payment on or before due date will be greatly appreciated.
ond payment when tions unless we get a deposit first. We abso-
it comes due, we lutely ignore all telephone requests for demon-
Very truly\
repossess the set. strations without sending out a salesman to
view the prospective purchasers
SMITHS
and to see them in their own
Service Department
home. The salesman then urges
ADAMS 3803-4-5
them to come to the store for a
D. C. Dealers are generally anxious
demonstration or signs up a con-
18th and COLUMBIA ROAD
for business and so they put the
tract then and there.
WASHINGTON, D. C.
machines into the homes and let the
"We charge $10 for the antenna
purchasers do most of the paying
and
installation. After the instal-
Dear
afterwards. In this age of credit
lation we give three free service
merchandising, the finest, as well as
calls over a period of 90 days if
This is to remind you that the payment of $
on
the cheapest machines, are sold on
necessary and after this period
your Radio was due_^
time.
we charge $2 a service call.
"The greatest competition to-day
Selling a radio set and keeping it
No doubt it is an oversight that this account, which is
is the low terms under which
sold are two different matters.
now past due, has not been paid.
dealers are selling their radio sets,"
As soon as a radio set is un-
Will you please give it your prompt attention?
says Mr. Smith. "We never take
packed, we check up on its per-
less than 25 per cent down on all
formance and if there are any
Very truly,
our sales, and we insist that the
•difficulties, the set immediately
SMITHS
customer make a deposit before we
send the set out. We also ask for
Salesroom
references with every time payment
ADAMS 3803-4-5
and these references are carefully checked up
We repossess less
before the set leaves the shop.
than 10 per cent of
igth and COLUMBIA ROAD
"In our opinion, it is not sound merchandis-
total sales. People
WASHINGTON, D. C.
ing to sell radios at a figure under 25 per cent
are proud of their
Dear
down because low terms only pay for half the
new radio sets, and
cost of the tubes and in our judgment it is
they want to keep
This is to remind you that the payment
on
poor business, and so we absolutely demand
them. Repossession
your Radio was due
25 per cent down on all time payments.
is also materially
reduced because of
"We do not offer cash inducements for cash
Your attention was called to this account several days
the fact that we re-
sales, but we try to impress customers with
ago. Is there any valid reason tvhy you cannot meet this
the fact that they can save the carrying charge quire a good down
obligation at once} If there is any misunderstanding about
by taking advantage of the cash price basis. payment a n d the
this statement, please advise so that the matter can be cleared
A cash transaction includes a payment of one- customer thus has a
up. Otherwise, your remittance will be expected without
large equity in the
third down, and the balance in thirty days.
further delay.
set which he does
"More than 75 per cent of our sales are sold
Very truly,
not care to lose.
on time payments. We have a careful follow-
SMITHS
We also find that
up system which keeps the customer constantly
reminded that he must pay when payments are when we must re-
due and not a week or ten days afterwards. possess sets that they are generally in such goes into the repair department. The next step
For this purpose we use three printed forms, good condition that they can be resold as prac- is to check up every radio set that is sold before
it goes out to the customer, and if any difficul-
which are filled out and mailed to the cus- tically new sets and we never suffer any loss of
ties arise they are corrected before the installa-
tomer. The first notice is sent out four days repossessions.
T
SMITHS
SMITHS
SMITHS
8

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