Music Trade Review
Issue: 1927 Vol. 85 N. 26 - Page 3
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THE
REVIEW
VOL. 85. No. 26 Published Weekly. Federated Business Publications, Inc., 420 Lexington Ave., New York, N. Y., Dec. 24,1927
Sln
'£.£°&"£.?"'"
Selling the Radio in
The Retail Music Store
C. J. Roberts, President of the National Association
of Music Merchants, Defines Music Merchants' Atti-
tude to Radio Before Radio Manufacturers' Association
C. J. Roberts
AT a luncheon of the Radio Manufacturers'
jCA Association, held at the Hotel Commodore,
New York, on December 16, the guest of
honor and principal speaker zvas C. J. Roberts,
president of the National Association of Music
Merchants, tvho talked on the music merchant as
the ideal distributor for radio products, and how
the relations between the radio manufacturer and
the music merchant might be strengthened. Ozving
to his official status Mr. Roberts' remarks carry
special zveight, and he found occasion to point
out to the radio men a number of their weaknesses
as well as their virtues. 1 he salient points of
his talk are presented herewith.—EDITOR'S NOTE.
it A T Mr. Geddes', your vice-president's invi-
•^•tation, I appear before you in an effort,
such as I can make, to strengthen the relations
.between you and such music merchants as now
transact business together, and to assist in
establishing relations between you and other
music merchants who are not yet selling your
products.
"My interest primarily is in the welfare of
music merchants, for I am a music merchant
in that I am connected with Chas. M. Stieff,
Inc., of Baltimore, who operate a number of
retail stores as well as manufacture pianos, and
a member of the National Association of Music
Merchants. I wish to see music merchants
more prosperous than they now are. My com-
pany is experiencing its best year since 1923,
and this is due in an important degree to the
fact that we have during the last year handled
radio and phonographs in addition to pianos.
"I do not possess the knowledge that would
enable me to discuss your main product, the
radio, in a technical way, and I shall, therefore,
confine my remarks mainly to the value of the
radio to the music merchant and the value of
the music merchant to the manufacturer.
"This marvelous instrument, the properties
and capabilities of which became known to the
world such a shoYt time ago, has made such
astounding progress that it has been difficult
for even those most interested to keep up with
its advancement. The radio, even in its earliest
infancy, and a thousandfold more to-day, was
and is such an extraordinary medium for the
reception and transmission of sound that it
staggers thought and transcends imagination.
Radio a Musical Instrument
"Regardless of its wonder, general usefulness,
and the utilitarian purposes that it serves, it is
in my thought, and for my greatest interest,
a musical instrument. In the consciousness of
the public it is primarily a musical instrument.
It is used with marvelous success as a life-
saving agent, a disseminator of useful informa-
tion, a general entertainer, and is even now the
greatest force for education in the world, but
to the ordinary man, woman or child, it is first
of all a musical instrument.
"When radio sets were first put upon the gen-
eral market among the first outlets that were
sought were music merchants, for it was even
then anticipated that the radio would be re-
garded as a musical instrument. The early in-
struments had mainly their wonder to command
them, just as the first phonographs had. Gener-
ally, from a musical standpoint, they were hor-
rible. Some music merchants attempted to
handle them. Almost without exception such
pioneer merchants were stung.
Early Difficulties
"The outfits disgusted their customers for
many reasons, and merchants made enemies in-
stead of friends. Changes in models and styles
rapidly succeeded each other. A machine was
hardly on the market before it was obsolete, or,
at least, obsolescent. This was due mainly, of
course, to the improvements which were con-
stantly being made and which were necessary
in such a young industry. Manufacturers were
more or less arbitrary. Perhaps they felt that
they had to be. From the retailers' standpoint
ihe manufacturers did not bear their just part
of the losses sustained through experimentation
and improvement in their products.
What
money was made in the early history of radio
was made by the manufacturers, and not by
ihe retailers, who, almost without exception,
lost heavily.
"Trade discounts did not allow nearly enough
mark-up to enable the merchant to make a
profit even if he had not been obliged to stand
losses resulting from imperfections in the in-
struments. Service was almost non-existent.
A medium-sized city was fortunate to have even
one service man who knew anything of con-
sequence about his business.
"Repairs and adjustments which are now
readily made by a much larger number of
service men were then matters of opinion and
disagreement among those who claimed to be
experts. Everyone was disgusted. Discrimina-
tory trade discounts were made whereby the
small merchant was put out of the radio busi-
ness by the larger merchant who could take
advantage of the sliding scale of volume dis-
counts. This practice still prevails, I am told,
and, if it is necessary, which I do not believe,
it should not be in such a measure as to cripple
seriously a small merchant while enriching a
large one. If such practices continue the manu-
facturer will pay and pay and pay ultimately
by reducing the number of his outlets, which
by his own actions he will choke off. I am
informed that the trade discounts of certain
manufacturers are now more favorable to the
dealer. The discounts of certain other manu-
facturers are not large enough to enable a
dealer to show a profit. I am told that dis-
counts now range from 35 to SO per cent, some
of the best manufacturers quoting 40, or 40 and
10. Discounts should not be less than 40 and
10, even if retail prices have to be increased
to make this possible, for a dealer cannot show
(Continued on page 4)
THE
REVIEW
VOL. 85. No. 26 Published Weekly. Federated Business Publications, Inc., 420 Lexington Ave., New York, N. Y., Dec. 24,1927
Sln
'£.£°&"£.?"'"
Selling the Radio in
The Retail Music Store
C. J. Roberts, President of the National Association
of Music Merchants, Defines Music Merchants' Atti-
tude to Radio Before Radio Manufacturers' Association
C. J. Roberts
AT a luncheon of the Radio Manufacturers'
jCA Association, held at the Hotel Commodore,
New York, on December 16, the guest of
honor and principal speaker zvas C. J. Roberts,
president of the National Association of Music
Merchants, tvho talked on the music merchant as
the ideal distributor for radio products, and how
the relations between the radio manufacturer and
the music merchant might be strengthened. Ozving
to his official status Mr. Roberts' remarks carry
special zveight, and he found occasion to point
out to the radio men a number of their weaknesses
as well as their virtues. 1 he salient points of
his talk are presented herewith.—EDITOR'S NOTE.
it A T Mr. Geddes', your vice-president's invi-
•^•tation, I appear before you in an effort,
such as I can make, to strengthen the relations
.between you and such music merchants as now
transact business together, and to assist in
establishing relations between you and other
music merchants who are not yet selling your
products.
"My interest primarily is in the welfare of
music merchants, for I am a music merchant
in that I am connected with Chas. M. Stieff,
Inc., of Baltimore, who operate a number of
retail stores as well as manufacture pianos, and
a member of the National Association of Music
Merchants. I wish to see music merchants
more prosperous than they now are. My com-
pany is experiencing its best year since 1923,
and this is due in an important degree to the
fact that we have during the last year handled
radio and phonographs in addition to pianos.
"I do not possess the knowledge that would
enable me to discuss your main product, the
radio, in a technical way, and I shall, therefore,
confine my remarks mainly to the value of the
radio to the music merchant and the value of
the music merchant to the manufacturer.
"This marvelous instrument, the properties
and capabilities of which became known to the
world such a shoYt time ago, has made such
astounding progress that it has been difficult
for even those most interested to keep up with
its advancement. The radio, even in its earliest
infancy, and a thousandfold more to-day, was
and is such an extraordinary medium for the
reception and transmission of sound that it
staggers thought and transcends imagination.
Radio a Musical Instrument
"Regardless of its wonder, general usefulness,
and the utilitarian purposes that it serves, it is
in my thought, and for my greatest interest,
a musical instrument. In the consciousness of
the public it is primarily a musical instrument.
It is used with marvelous success as a life-
saving agent, a disseminator of useful informa-
tion, a general entertainer, and is even now the
greatest force for education in the world, but
to the ordinary man, woman or child, it is first
of all a musical instrument.
"When radio sets were first put upon the gen-
eral market among the first outlets that were
sought were music merchants, for it was even
then anticipated that the radio would be re-
garded as a musical instrument. The early in-
struments had mainly their wonder to command
them, just as the first phonographs had. Gener-
ally, from a musical standpoint, they were hor-
rible. Some music merchants attempted to
handle them. Almost without exception such
pioneer merchants were stung.
Early Difficulties
"The outfits disgusted their customers for
many reasons, and merchants made enemies in-
stead of friends. Changes in models and styles
rapidly succeeded each other. A machine was
hardly on the market before it was obsolete, or,
at least, obsolescent. This was due mainly, of
course, to the improvements which were con-
stantly being made and which were necessary
in such a young industry. Manufacturers were
more or less arbitrary. Perhaps they felt that
they had to be. From the retailers' standpoint
ihe manufacturers did not bear their just part
of the losses sustained through experimentation
and improvement in their products.
What
money was made in the early history of radio
was made by the manufacturers, and not by
ihe retailers, who, almost without exception,
lost heavily.
"Trade discounts did not allow nearly enough
mark-up to enable the merchant to make a
profit even if he had not been obliged to stand
losses resulting from imperfections in the in-
struments. Service was almost non-existent.
A medium-sized city was fortunate to have even
one service man who knew anything of con-
sequence about his business.
"Repairs and adjustments which are now
readily made by a much larger number of
service men were then matters of opinion and
disagreement among those who claimed to be
experts. Everyone was disgusted. Discrimina-
tory trade discounts were made whereby the
small merchant was put out of the radio busi-
ness by the larger merchant who could take
advantage of the sliding scale of volume dis-
counts. This practice still prevails, I am told,
and, if it is necessary, which I do not believe,
it should not be in such a measure as to cripple
seriously a small merchant while enriching a
large one. If such practices continue the manu-
facturer will pay and pay and pay ultimately
by reducing the number of his outlets, which
by his own actions he will choke off. I am
informed that the trade discounts of certain
manufacturers are now more favorable to the
dealer. The discounts of certain other manu-
facturers are not large enough to enable a
dealer to show a profit. I am told that dis-
counts now range from 35 to SO per cent, some
of the best manufacturers quoting 40, or 40 and
10. Discounts should not be less than 40 and
10, even if retail prices have to be increased
to make this possible, for a dealer cannot show
(Continued on page 4)
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