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Musical Instrument Situation
Explained at Chicago Meeting
Speaker* table at the Chlt-iiKo Kejcionnl Meeting of the NAM HI at which are Rented R. K. Novak, Max Tnrg, fJeorjee
H. Stately. Claire <>. Muxsrr, (ieor^o I,. Byerly. President llrotvneli of the ChlriiK" P. & O. AMMo<-intioii. W. A. Mills,
Executive Secretary of the >'AMM, I>. <;. I,a Mnir. 10. U. Mcl>utl\ President of the XAMM and others*.
| I "| HE regional meeting of the Na-
I tional Association of Music Mer-
"*" chants in the Chicago area was
held with a large attendance at the
Hotel Stevens, Chicago, 111., on Septem-
ber 27th. There were approximately
100 dealers present during the day and
more than that number at a luncheon
which was served with the Chicago
Piano and Organ Association as host.
President Brownell of that Association
acted as chairman of the morning and
afternoon sessions and toastmaster at
the luncheon.
E. R. McDuff, president of the
NAMM was the first speaker. He
warned the dealers that due to present
price restrictions, they would have to
become better merchandisers and that
the association aimed to help the en-
tire industry toward better and bigger
sales. "This industry has always been
accustomed," he said, "to a high mark-
up, but the plan of the government
seems to be to eliminate it and unless
we operate our stores better we must
be able to approximate it and we must
plan to absorb all increases. The
government claims it does not aim to
control profits but it cannot control
prices without controlling profits." He
pointed out the plan discussed by the
committee appointed to discuss ab-
sorption with the OPA in which it was
shown that music dealer's operating
cost was from 35% to 49 r /r much more
than shown by other retail industries
but the committee was told that price?
must be rigidly held and remain so
until supply equal demands. He said
they were told that out of 127 increases
granted 96 have been absorbed by the
retailer. He then referred to and ex-
plained a number of dealers helps
which are being planned by the Asso-
8
ciation.
Musical Merchandise Situation
Max Targ, past president of the Na-
tional Association of Musical Merchan-
dise Wholesalers, then explained the
situation in his fold.
"It is hard to judge," he said, "when
musical merchandise will be available.
First, the government is the largest
purchaser of musical instruments and
since V-J Day, have placed more sub-
stantial orders than ever before. Sec-
ondly the man-power situation is very
acute and, third, the National situa-
tion has been thrown into a chaotic
state due to strikes.
"The Sundry business has been good
throughout the war and is still good,
precussion instruments have already
appeared in limited quantity, while
stringed instruments will be limited
for sometime and there will be no
imported goods for at least a year.
There will be some accordions and
harmonicas, but few, but I expect
basses and cellos will be forthcoming
by Christmas."
Jay Kraus, president of the Na-
tional Association of Musical Mer-
chandise Manufacturers, stated that his
group was as anxious to supply dealers
as the latter are to get goods but due
to the fact that the Army has stepped
up its recreation program since V-J
Day, and help is hard to get, that
delivery to dealers is hard to pre-
dict. He stressed the point however,
that in the future dealers should pay
particular attention to teaching as part
of their selling promotion.
Walter H. Stellner, vice president of
Galvin Mfg. Co., then spoke at length
on the future of radio and television.
He was followed by F. J. Hessimer,
Chicago representative of RCA Victor,
who spoke on the record situation.
Stapely Says Few Pianos by Xmas
50% of 1944 Output by Spring
George H. Stapely, president of the
Evrett Piano Co., South Haven, Mich.,
was not only enthusiastic but opti-
mistic regarding the present status
and future of the piano business. "The
piano industry has a wonderful oppor-
tunity," he said, "the product is stabil-
ized and improvements will be in detail
rather than radical, not much new
can be added to a piano and we will
have a stable price structure. The
major units of the industry are under
the same management as before the
war and business will be conducted
direct with the dealers. The latter
are most optimistic and look for a
lb'/i increase in sales oven 1941. The
basis of the industry is sound. Piano
teachers are more basic than they ever
have been. I believe that its time to
disregard the OPA and get down to
Vork and get plants in operation as
fast as can be possible. I believe that
OPA know that what they ask can't
be done and within a reasonable time,
will find it out and we'll be back into
production.
I think it is time for dealers to real-
ize they are entering a new era and
should get the craftsmanship idea out
of their heads and not sell the piano,
especially the medium priced pianos
as a hand made article. In fact it's
(Turn to page 72/
THE MUSIC TRADE REVIEW, OCTOBER, 1945