Presto Buyers' Guide
Analyzes and Classifies
AH American Pianos
and in Detail Tells of
Their Makers.
PRESTO
E«abii,h*d / « *
THE AMERICAN MUSIC TRADE WEEKLY
Presto Trade Lists
Three Uniform Book-
lets, the Only Complete
Directories of the Music
Industries.
/• c«.r« SIM> . i w
CHICAGO, SATURDAY, FEBRUARY 3, 1923
TRADE=IN VALUE
OF USED PIANOS
Special Committee Appointed by Chamber to
Formulate Schedule of Used Piano Values,
Makes Interesting Report With Valu-
able Suggestions.
The proposal that the Music Industries Chamber
of Commerce issue a depreciation schedule of used
piano values for the information and guidance of the
trade was acted upon by the board of directors at its
meeting September 22, 1923, and then referred to
counsel, Geo. W. Pound, for opinion. Mr. Pound
advised that the chamber has a right to do this, if
treated on the broad ground of commerce, barter
and value without any discrimination.
The proposal was then referred to this special
committee appointed by President R. W. Lawrence:
C. Alfred Wagner, chairman, American Piano Co.,
New York City; W. H. Collins, Lyon & Healy, Chi-
cago, 111.; S. E. Clark, Grinnell Bros., Detroit, Mich.;
Chas. S. Norris, Boston, Mass.; C. T. Purdy, Hard-
man, Peck & Co., New York; G. C. Ramsdell, Rams-
dell & Son, Philadelphia, Pa., and E. P. Heyser, W.
F. Frederick Piano Co., Pittsburgh, Pa.
The report of special committee on Depreciation
Schedule of Used Piano Values is as follows:
The Committee's Report.
The Special Committee of the Music Industries
Chamber of Commerce believes that a depreciation
schedule to assist music merchants to determine the
value of used pianos taken in trade, would be valu-
able as a guide to the members of the trade who wish
to operate on a practical business basis of fair trad-
ing and adequate profit. The use of such a schedule
should be in no way mandatory, and copies should
be furnished on request and at a price to cover the
approximate cost of compiling.
In the absence of such a guide, there is no uniform-
ity of practice. This results in wiping out a very
considerable percentage of profits in the retail selling
of pianos, bitterness of competition, higher retail
prices, lack of business standards, and a weakening of
the one-price system which is almost universally ac-
cepted as standard in all retail selling today.
Such phrases as "greatest evil," "bugbear," "ruin-
ous," and "running wild," express the views of the
trade-in problem as it now exists. As long as the
"trade-in" remains a "necessary evil," it seems desir-
able to arrive at ways and means to reduce its bad
effects to a minimum, and eliminate so far as pos-
sible the fictitious allowances and false inventory
values which weaken the entire piano business struc-
ture.
Point to Other Lines.
Other lines of business, like typewriters, adding
machines, automobiles, scales, cash registers and sew-
ing machines, have adopted schedules or established
policies or procedure which reduced the losses
through trade-in allowances, if not eliminated them
entirely and even made their business in second-hands
profitable.
There is little doubt of the desirability of an infor-
mation schedule which will act as a guide for music
merchants in determining the value of pianos taken
in exchange. Such a schedule should enable the mer-
chant to establish the age of the piano through the
factory serial number. This would be useful to
every dealer. The schedule should also enable the
merchant to ascertain retail prices upon which to fig-
ure depreciations. The advantages to both manufac-
turer and merchant are obvious. Even where the
dealer has a good idea of retail values he is faced- by
the competition of those who haven't.
The benefit to the manufacturer is seen in his
knowledge that his dealers are taking in goods at fair
values, and giving sounder inventory statements on
second-hand stocks, and in checking same.
The Ampico Plan.
The Ampico Art Society schedule, showing mini-
mum percentages of depreciation on used pianos
taken in exchange, is the first attempt to establish a
policy for any national group of piano dealers. The
committee favors the principal points undertaken by
this schedule and recommends them as follows:
(1) SERIAL NUMBERS.—The factory serial
numbers are to determine age. Much of this infor-
mation has been gathered by the Ampico Art Society
and is available to the committee.
(2) RETAIL PRICES.—A guide to average retail
prices can be arrived at from figures submitted by
manufacturers and dealers, by means of questionnaire
forms. This would be subject to revision from time
to time as price levels change. Due allowance to be
made for local variations and freight differences.
(3) RATE OF DEPRECIATION.—The rate of
depreciation may be indicated by percentages, accord-
ing to age and condition, the latter depending on the
use the piano has had. The committee will submit
tentative percentages in questionnaire form for ap-
proval or revision.
A Recommendation.
The committee is in doubt as to the practical value
or general use of the schedule, and for this reason
it recommends that the Trade Service Bureau of the
Chamber submit a questionnaire to piano manufac-
turers and music merchants, to ascertain the follow-
ing points:
(a) How many copies of the schedule will be sub-
scribed for in advance, at a price of approximately
$1 each to members, or less than cost of production;
subsequent copies to be furnished to members and
non-members of $2 each?
(b) Whether enough members will subscribe and
furnish information to make effective the compiling
of (1) factory serial numbers to determine age, and
ascertain (2) average retail prices, also determine (3)
average opinion of rate of depreciation.
BUSINESS IDEALS OF
THE HOUSE OF STEINWAY
In London Interview Wm. R. Steinway Tells Why
Famous Instrument Is What it Is.
"We would sooner lose money than let a piano be
spoiled. Every piano which leaves our factory is as
near an approach to perfection as months and months
of toil and meticulous care can make it." With these
words William R. Steinway, whom a London Music
Trades Review representative interviewed recently,
summed up what might be termed the business ideal
of the House of Steinway.
William R. Steinway is one of eight descendants
of Henry E. Steinway, the famous founder of the
firm, and has for the last IS years looked after the
destinies of Steinway & Sons in Europe, and in fu-
ture will continue to do so, with London as his
headquarters. As manager in London Mr. Steinway
takes the place of the late George W. Eshelby, whose
tragic death last May at the comparatively early age
of 45, will be remembered. John Eshelby,' nephew of
George W. Eshelby, is assistant manager and Mr.
Steinway's right-hand man.
Questioned as to the present trade situatfon, Mr.
Steinway said that "business is difficult, but good,
particularly over seas." As to things over here, he
had a great admiration for the British policy of stabil-
ization at home. Whilst most other countries during
the years subsequent to the war have been going all
out f©r large exports, England had recognized the
urgent necessity for immediate retrenchment, and
though it had meant high and continued high taxa-
tion the result had made for stability at home, and in
the next few years the world would see that the pol-
icy combined tremendous great foresight and pres-
cience.
But what our representative was particularly inter-
ested to observe and became more impressed with as
he thought of it after leaving Steinway Hall, was the
note of reverence that crept into Mr. Steinway's voice
in speaking of the Steinway piano. Pride in the prod-
uct of the generations is great, and rig»htly so. Every
employe of Steinway's is imbued with the idea of
maintaining the supremacy of the Steinway piano.
One and all are trained from the first day they step
into the factory to regard perfection as the one thing
at which to aim. Many of them were cradled in the
Steinway tradition, their fathers and grandfathers
having been with the Steinways before them. With
these fine traditions that have held sway for genera-
tions behind them, they are yet encouraged to march
with the times. Nearly a quarter of a million pianos
testify to the world-wide appreciation for the Stein-
way piano, and still experiment and research goes on
and unceasing striving to realize the ideal of abso-
lute perfection.
TENTATIVE PROGRAM
FOR NEXT CONVENTION
Events Planned for Meeting of All Bodies at
Drake Hotel, Chicago, Beginning
June 4.
The next convention of the Music Industries Cham-
ber of Commerce and the various trade associations
comprised therein will be held at the Drake Hotel,
Chicago, June 4 to 7, inclusive. The following tenta-
tive program was agreed upon at the meeting of the
Convention Committee at the Drake Hotel last week:
June 4—Registration. Piano Club of Chicago
luncheon at noon.
Immediately following the
luncheon and before the people have left the tables,
R. W. Lawrence, president of the Music Indus-
tries Chamber of Commerce, will open the first ses-
sion of the Chamber. No reading of reports. All
reports to be printed and distributed.
Tuesday, June 5—Opening sessions, 10 a. m. Na-
tional Piano Manufacturers' Association of America,
National Association of Music Merchants, Musical
Supply Association of America and Organ Builders'
Association. Noon—Piano Club luncheon. Enter-
tainment. Short talk by C. C. Chickering, president
of the National Piano Manufacturers' Association.
Afternoon—Same sessions as morning.
Wednesday, June 6—Morning sessions: National
Association of Music Merchants, National Piano
Manufacturers' Association, Organ Builders' Associa-
tion, Band Instrument Manufacturers' Association
and National Musical Merchandise Association of
United States. Noon—Piano Club luncheon and en-
tertainment. Short talk by J. Edwin Butler, president
National Association of Music Merchants. Afternoon
—Same sessions as morning, except National Piano
Manufacturers' Association. Executive Committee
meeting of National Association of Music Merchants
following election of officers. Evening—National As-
sociation of Music Merchants' banquet.
Thursday, June 7—Morning—Meeting of delegates
to the Chamber and election of officers. Open day
for balance of associations. Noon—Piano Club
luncheon. Afternoon—Band Tournament. Evening
—National Piano Travelers' Association banquet and
business session. Piano Club Frolic at 11 p. m.
The same schedule as used at the last convention
for the sessions to apply, except the "Travelers," who
will have their business sessions at their banquet.
Exhibits at the Drake to be confined to association
members and contributors to the Chamber.
The Hotel Drake has set aside the following rooms
for convention delegates: Twenty single rooms at
$4 (two rooms with connecting bath), 50 single rooms
at $5, 50 single rooms at $6, 25 single rooms at $7, 25
single rooms at $8, 60 double rooms at $8, 60 double
rooms at $10, 25 double rooms at $12, and 25 double
rooms at $14. These reservations will accommodate
a total of 510 delegates, 170 in 170 single rooms and
340 in 170 double rooms.
PAUL KLUGH MAY RETURN.
A few months ago Paul B. Klugh was reported as
having said that he would probably not return to the
pjano business for some time to come. When Mr.
Klugh was in Chicago last week he told a Presto
representative that he was beginning to have a long-
ing for the sights and sounds of the piano factory.
It needn't surprise anyone to hear that Mr. Klugh
will be in charge somewhere again, in the not far
distant future.
NEW CHICAGO INDUSTRY.
Solar's Music House, Inc., 3215 West Twenty-sixth
street, Chicago, has been organized with capital of
$100,000. The purpose, as stated, is to manufacture
and deal in playerpianos, pianos, musical instruments,
etc. Louis Solar, Sophie Solar, Louis J. Solar, Jr.[
are the incorporators.
FROM MONROE, WIS.
H. A. Miller, of the A. Miller Jewelry Co., music
dealers of Monroe, Wis., was a visitor in the Chi-
cago music centers this week.
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