Music Trade Review
Issue: 1924 Vol. 79 N. 12 - Page 3
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE
VOL.
REVIEW
LXX1X. No. 12 Published Every Saturday. Edward Lyman Bill, Inc., 383 Madison Ave., New York, N.Y. Sept. 20, 1924
8
IIIXIIIXIIIXIIIXIIIXIIIX
Bargains and Nationally Advertised Prices
iixiiixiSxiiixS
A
HOUGH the national pricing of pianos and player-pianos is far from being a general practice in
the piano trade and in fact is confined only to a comparatively small percentage of those engaged in
manufacturing, there is ample evidence to indicate that a general adoption of the national pricing
idea would go a long way toward improving the character of retail piano advertising as well as
retail sales practices.
During the past few months copies of several thousand advertisements published by retail piano houses
have been received at this office. Some were good, and some bad. It is a notable fact, however, that among
all the advertisements which based their appeal on cut prices and "bargains," there is yet one to be found that
offers a special price on a nationally priced instrument.
This is not to be taken as proof that the dealers are too conscientious to take advantage of national
pricings, if the situation could warrant it. On the contrary, in every other line where the price cutter
flourishes, his piece dc resistance is the nationally advertised product protected by a definite trade-mark and
advertised at a price with which the public is familiar. When the dealer offers such an article at lower than
list price, he knows that the public will realize the reduction and with that article as bail he finds the oppor-
tunity for unloading at a most substantial profit other articles of inferior grade.
The reason that the nationally priced piano is not seen in the bargain list except, of course, in offerings
of admittedly used pianos, is that national prices are determined on a basis that provides a fair and equitable
profit for the piano merchant, but does not give him a margin of mark-up that permits of any great juggling
of figures. It is the instrument of little or unknown name and value that is the meat for the cut-price and
sensational advertising specialist, for such an instrument may be originally priced at any figure the dealer de-
sires, and that original figure shaved to suit his requirements while still providing an actual or theoretical
margin of profit equal to, or in excess of that enjoyed on instruments of known standard.
It is of course admittedly not feasible for all piano manufacturers to engage in national advertising cam-
paigns with profit to themselves or their dealers, owing to limited production and distribution. Rut even such
small concerns can in most cases find a way to acquaint the public with the proper retail value of their instru-
ments through price quotations in dealer advertising if they really go after the matter with proper energy.
For those who specialize in special brand instruments, or who are content with a reputation based on name
and not on value, the ordinary course of procedure that permits of great freedom in mark-up should serve the
purpose.
There is something about the national pricing of instruments, or for that matter the quoting of a defi-
nite price in local advertising without the bargain argument, that serves to inspire confidence in the prospec-
tive customer and leads him to the belief that in paying that stated price, which is naturally the maximum
price, he is likely to get a value that the manufacturer believes just and fair and upon which he is willing
to risk his reputation. Nor does the advertised price limit profits, for the reason that scores of trade-marked
and advertised products have been, and are being, offered to the public at list prices that represent high mark-
ups over wholesale costs, although it must be admitted that such instances of unusually high mark-ups are
rare and in most cases short lived.
National advertising of musical instruments is designed primarily to take them out of the nondescript
bargain class, and place them in the same position in the public eye with the other advertised articles of known
reputation ranging from breakfast foods to automobiles.
That the idea is sound has been proven, and the fact that the advertising of national prices keeps those
instruments off the bargain counters should lead to a general extension of the practice either in comprehensive
or limited form.
......
THE
VOL.
REVIEW
LXX1X. No. 12 Published Every Saturday. Edward Lyman Bill, Inc., 383 Madison Ave., New York, N.Y. Sept. 20, 1924
8
IIIXIIIXIIIXIIIXIIIXIIIX
Bargains and Nationally Advertised Prices
iixiiixiSxiiixS
A
HOUGH the national pricing of pianos and player-pianos is far from being a general practice in
the piano trade and in fact is confined only to a comparatively small percentage of those engaged in
manufacturing, there is ample evidence to indicate that a general adoption of the national pricing
idea would go a long way toward improving the character of retail piano advertising as well as
retail sales practices.
During the past few months copies of several thousand advertisements published by retail piano houses
have been received at this office. Some were good, and some bad. It is a notable fact, however, that among
all the advertisements which based their appeal on cut prices and "bargains," there is yet one to be found that
offers a special price on a nationally priced instrument.
This is not to be taken as proof that the dealers are too conscientious to take advantage of national
pricings, if the situation could warrant it. On the contrary, in every other line where the price cutter
flourishes, his piece dc resistance is the nationally advertised product protected by a definite trade-mark and
advertised at a price with which the public is familiar. When the dealer offers such an article at lower than
list price, he knows that the public will realize the reduction and with that article as bail he finds the oppor-
tunity for unloading at a most substantial profit other articles of inferior grade.
The reason that the nationally priced piano is not seen in the bargain list except, of course, in offerings
of admittedly used pianos, is that national prices are determined on a basis that provides a fair and equitable
profit for the piano merchant, but does not give him a margin of mark-up that permits of any great juggling
of figures. It is the instrument of little or unknown name and value that is the meat for the cut-price and
sensational advertising specialist, for such an instrument may be originally priced at any figure the dealer de-
sires, and that original figure shaved to suit his requirements while still providing an actual or theoretical
margin of profit equal to, or in excess of that enjoyed on instruments of known standard.
It is of course admittedly not feasible for all piano manufacturers to engage in national advertising cam-
paigns with profit to themselves or their dealers, owing to limited production and distribution. Rut even such
small concerns can in most cases find a way to acquaint the public with the proper retail value of their instru-
ments through price quotations in dealer advertising if they really go after the matter with proper energy.
For those who specialize in special brand instruments, or who are content with a reputation based on name
and not on value, the ordinary course of procedure that permits of great freedom in mark-up should serve the
purpose.
There is something about the national pricing of instruments, or for that matter the quoting of a defi-
nite price in local advertising without the bargain argument, that serves to inspire confidence in the prospec-
tive customer and leads him to the belief that in paying that stated price, which is naturally the maximum
price, he is likely to get a value that the manufacturer believes just and fair and upon which he is willing
to risk his reputation. Nor does the advertised price limit profits, for the reason that scores of trade-marked
and advertised products have been, and are being, offered to the public at list prices that represent high mark-
ups over wholesale costs, although it must be admitted that such instances of unusually high mark-ups are
rare and in most cases short lived.
National advertising of musical instruments is designed primarily to take them out of the nondescript
bargain class, and place them in the same position in the public eye with the other advertised articles of known
reputation ranging from breakfast foods to automobiles.
That the idea is sound has been proven, and the fact that the advertising of national prices keeps those
instruments off the bargain counters should lead to a general extension of the practice either in comprehensive
or limited form.
......
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