Coin Machine Review (& Pacific ...)
Issue: 1936 June - Page 69
THE GRAND OLD GAME
OF
LOCATION PERCENTAGE
L.
By
C . FORCE
T
.~
HERE is many a grand old I game that
goes on through the ages-through dark-
ness and through light. through depression
and whoopee. But the subject of our tent
meeting tonight, brethren, is the grand old
game of percentage to locations.
" How much of a split shall I give the
location proprietor ?" is the question that
keeps many a phonograph operator up
nights. The matter of choosing "which
record' 'isn't terrifically complicated. By
following the recommendations of the lead-
ing phono-record manufacturers, it's fairly
easy for even a bathroom tenor to select
good records. But when it comes to de-
ciding how much of the cash-box take is
to be handed back to the location proprie-
tor, there's a problem brewing with no
mother to guide you.
There are many ways to get a good loca·
tion. One of them is to do a little con·
vincing at the point of a revolver and an·
other one, which common sense should in·
dicate is the right one, is by means of a bit
of salesmanship. Unfortunately, many ops
immediately turn to the poorest method of
all. Like a steel mil! worker out on a
holiday trying to impress the populace with
his green silk shirt and his "high yaller"
shoes, they get locations by simply bump-
ing up the percentage offered by the other
guy.
What a tragic mistake. Percentage rais-
ing, like price cutting, leads nowhere ex-
cept to war. Giving the proPrietor more
of the weekly take encourages him to ask
for still more and encourages the other
operators to bump up their percentage. So
the game goes m.erri ly on and unbusiness-
like operator soon finds himself in the
middle, paying out so much of his daily
take that he is soon forced to cut corners
in other directions. He cuts down on the
number of new records and he cuts down
on the number of refinishing jobs on his
phonographs. The result is his equipment
goes to pot and, in order to attract loca-
tions, he has to offer still more percentage.
It's the old, old story of a dog chasing its
tail-a merry-go-round without end.
Contrast this with the operator who is
really making smart money through phono-
graph operating. He isn't going to be
stampeded into the downhill battle of in-
flating percentages. He sets a fair percent-
age and sticks to his guns. His tactics are
sane and sensible. He buys enough good
records and keeps them changed fast enough
to encourage play. He keeps his equip-
ment in top-notch shape, bright and clean
in appearance, and tip top in operating con-
dition.
Let others battle over the percentage.
Let others try to pull themselv.es up by the
bootstraps through the questionable prac-
tice of squabbling over percentages. His
bait to catch the location proprietor is bet-
ter equipment and better service.
And so, this brings us around the cor-
ner now to the matter of equipment. Shall
we shuck off the coat for a moment and,
getting right down to brass tacks, push the
J UNE ,
1936
L. C. FORCE
Director of Phonoqraph Sales
Mills Novelty Co.
pencil around on a clean white piece of
paper and see what we can see?
Let's take a route of ten machines oper-
ating under average conditions. Out of
those ten machines, we'll say that two of
them are doing very nicely, thank you.
Six more are tu.rning in a good average and
the remaining two are sick abed on two
chairs.
Old Mr. Wise!7uy Operator has figured
out long ago that, next to the state of his
own health, those two better· than-average
locations are the most imporant things in
life to him. The six average 'locations are
just average, of course, and will go along,
while the two poor locations can't possibly
go any lower. But those two heavy-money
locations are big news to him and are
MILLS o MANAGER
Geor ge M. G raham in char g e of
phono s ales in Southern California.
LOS ANGELES.-His firm's policy of
selling to operators exclusively was re-
affirmed by George M. Graham, well known
Mills man, upon his arrival here under his
appointment as district manager for the
ohonograph division of the Mills Novelty
Co. of Chicago.
From his Los Angeles headquarters, Gra-
ham will cover the Southern California, Ne·
vada and Arizona territory in the interests
of the new Do Re Mi and De Luxe Dance
His ap-
Master automatic phonographs.
pointment gives Mills a closely knit music
organization on the West Coast under the
immediate supervision of C. C. Helm, zone
manager with headquarters in San Fran-
cisco. He has arranged for consignment of
two carloads of phonographs per month to
his territory.
Graham's address is 1140 Beverly Way,
Altadena, and his telephone number is Ster-
ling 8605.
things that he must watch like a hawk.
He can lose an average location or he
can lose one of his poor locations and he
can get another one just about the same.
The loss of an average or a poor location
won't affect his earnings greatly. But if he
loses either one of those two good spots-
zing~his general average takes a sicken-
ing nose dive. Don't believe it ? Work
it out for yourself on a piece of paper and
watch your general average get pale around
the gills when you take the big-shot loca-
tion out of the earnin~s calculation.
So, if you are Netty well convinced that
all your fatherly instincts should be cen-
tered around those two good spots, we'll
shift the spotlight and think out loud for
a moment about the whys and wherefores
of a good phonograph.
Doesn't it follow like a headache follows
whoopee that you need the very best pho-
nograph which you can possibly buy for
those good locations? Isn't it as certain
as the first-grade arithmetic of 2 plus 2
equals 4 that the best form of insurance on
earning power is a darn good phonograph
with all of the gadgets and features dear
to the heart of the location owner and his
patrons) Get wise and get excited. Get
a stamp, get a piece of paper, get an en-
velope, and ask the manufacturer. Many
and delightful are the new features of the
new-model phonograph. Use that stamp,
that piece of paper, and that. envelope to
write a letter. Remember, it's not only
the sporting thing to do right by our Nell,
but it's also smart business practice to get
good phonographs for good locations.
DECCA ALL-STAR RECORDS
Ope rators Wise De p end on D ecca Discs
an d S upplies ~
DECCA ALL-STAR RECORDS
DECCA PERMO-POINT NEEDLES
SYLVANIA RADIO TUBES
CARRYING CASES
DEC CA DISTRIBUTING
CORPORATION
1240 South Main Street
LOS ANGELES
105 Market Street
SAN FRANCISCO
COIN
MACHINE
REVIEW
•
73
OF
LOCATION PERCENTAGE
L.
By
C . FORCE
T
.~
HERE is many a grand old I game that
goes on through the ages-through dark-
ness and through light. through depression
and whoopee. But the subject of our tent
meeting tonight, brethren, is the grand old
game of percentage to locations.
" How much of a split shall I give the
location proprietor ?" is the question that
keeps many a phonograph operator up
nights. The matter of choosing "which
record' 'isn't terrifically complicated. By
following the recommendations of the lead-
ing phono-record manufacturers, it's fairly
easy for even a bathroom tenor to select
good records. But when it comes to de-
ciding how much of the cash-box take is
to be handed back to the location proprie-
tor, there's a problem brewing with no
mother to guide you.
There are many ways to get a good loca·
tion. One of them is to do a little con·
vincing at the point of a revolver and an·
other one, which common sense should in·
dicate is the right one, is by means of a bit
of salesmanship. Unfortunately, many ops
immediately turn to the poorest method of
all. Like a steel mil! worker out on a
holiday trying to impress the populace with
his green silk shirt and his "high yaller"
shoes, they get locations by simply bump-
ing up the percentage offered by the other
guy.
What a tragic mistake. Percentage rais-
ing, like price cutting, leads nowhere ex-
cept to war. Giving the proPrietor more
of the weekly take encourages him to ask
for still more and encourages the other
operators to bump up their percentage. So
the game goes m.erri ly on and unbusiness-
like operator soon finds himself in the
middle, paying out so much of his daily
take that he is soon forced to cut corners
in other directions. He cuts down on the
number of new records and he cuts down
on the number of refinishing jobs on his
phonographs. The result is his equipment
goes to pot and, in order to attract loca-
tions, he has to offer still more percentage.
It's the old, old story of a dog chasing its
tail-a merry-go-round without end.
Contrast this with the operator who is
really making smart money through phono-
graph operating. He isn't going to be
stampeded into the downhill battle of in-
flating percentages. He sets a fair percent-
age and sticks to his guns. His tactics are
sane and sensible. He buys enough good
records and keeps them changed fast enough
to encourage play. He keeps his equip-
ment in top-notch shape, bright and clean
in appearance, and tip top in operating con-
dition.
Let others battle over the percentage.
Let others try to pull themselv.es up by the
bootstraps through the questionable prac-
tice of squabbling over percentages. His
bait to catch the location proprietor is bet-
ter equipment and better service.
And so, this brings us around the cor-
ner now to the matter of equipment. Shall
we shuck off the coat for a moment and,
getting right down to brass tacks, push the
J UNE ,
1936
L. C. FORCE
Director of Phonoqraph Sales
Mills Novelty Co.
pencil around on a clean white piece of
paper and see what we can see?
Let's take a route of ten machines oper-
ating under average conditions. Out of
those ten machines, we'll say that two of
them are doing very nicely, thank you.
Six more are tu.rning in a good average and
the remaining two are sick abed on two
chairs.
Old Mr. Wise!7uy Operator has figured
out long ago that, next to the state of his
own health, those two better· than-average
locations are the most imporant things in
life to him. The six average 'locations are
just average, of course, and will go along,
while the two poor locations can't possibly
go any lower. But those two heavy-money
locations are big news to him and are
MILLS o MANAGER
Geor ge M. G raham in char g e of
phono s ales in Southern California.
LOS ANGELES.-His firm's policy of
selling to operators exclusively was re-
affirmed by George M. Graham, well known
Mills man, upon his arrival here under his
appointment as district manager for the
ohonograph division of the Mills Novelty
Co. of Chicago.
From his Los Angeles headquarters, Gra-
ham will cover the Southern California, Ne·
vada and Arizona territory in the interests
of the new Do Re Mi and De Luxe Dance
His ap-
Master automatic phonographs.
pointment gives Mills a closely knit music
organization on the West Coast under the
immediate supervision of C. C. Helm, zone
manager with headquarters in San Fran-
cisco. He has arranged for consignment of
two carloads of phonographs per month to
his territory.
Graham's address is 1140 Beverly Way,
Altadena, and his telephone number is Ster-
ling 8605.
things that he must watch like a hawk.
He can lose an average location or he
can lose one of his poor locations and he
can get another one just about the same.
The loss of an average or a poor location
won't affect his earnings greatly. But if he
loses either one of those two good spots-
zing~his general average takes a sicken-
ing nose dive. Don't believe it ? Work
it out for yourself on a piece of paper and
watch your general average get pale around
the gills when you take the big-shot loca-
tion out of the earnin~s calculation.
So, if you are Netty well convinced that
all your fatherly instincts should be cen-
tered around those two good spots, we'll
shift the spotlight and think out loud for
a moment about the whys and wherefores
of a good phonograph.
Doesn't it follow like a headache follows
whoopee that you need the very best pho-
nograph which you can possibly buy for
those good locations? Isn't it as certain
as the first-grade arithmetic of 2 plus 2
equals 4 that the best form of insurance on
earning power is a darn good phonograph
with all of the gadgets and features dear
to the heart of the location owner and his
patrons) Get wise and get excited. Get
a stamp, get a piece of paper, get an en-
velope, and ask the manufacturer. Many
and delightful are the new features of the
new-model phonograph. Use that stamp,
that piece of paper, and that. envelope to
write a letter. Remember, it's not only
the sporting thing to do right by our Nell,
but it's also smart business practice to get
good phonographs for good locations.
DECCA ALL-STAR RECORDS
Ope rators Wise De p end on D ecca Discs
an d S upplies ~
DECCA ALL-STAR RECORDS
DECCA PERMO-POINT NEEDLES
SYLVANIA RADIO TUBES
CARRYING CASES
DEC CA DISTRIBUTING
CORPORATION
1240 South Main Street
LOS ANGELES
105 Market Street
SAN FRANCISCO
COIN
MACHINE
REVIEW
•
73
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