The talking machine world (Jan-Dec 1908)

THE TALKING MACHINE WORLD. 9 sellers «/ talking ymac^ttes^ J EDWARD LYMAN BILL. Edilor and Proprietor J. B. SPILLANE, Managing Editor. Trade Representatives: Geo. B. Keller, F. H. Thompson, W. T. Dykes, L. E. Bowers, B. Brittaim Wilson, A. J. NicKLiN, L. J. Chamberlin. Boston Office : Ernest h. Waitt, 100 Boylston St. ChicMo Office: E. P. Van Harlingen, 156 Wabash Ave. PhilaLdelpkia Office : Niniveapotis and St. Paul : H. F. Thompson. Adolf Edsten. St. Louis Office : San Francisco Office : Chas. N. Van Buren. S. H. Gray, 88 First St. Cleveland Office : G. F. Prescott. Cincinnati Office : Bernard C. Bowen. London, England, Office: 69 Basinghall St., E. C. W. Lionel Sturdy, Manager. Berlin, Germany. Chas. Robinson, Breitestrasse 5. Published the 15th of every month at 1 Madison Ave. N.Y SUBSCRIPTION (including postage), United States, Mexico, One Dollar per year; all other countries, $1.25. England and her colonies, five shillings. ADVEKTISEMENTS, $2.00 per inch, single column, per insertion. On quarterly or yearly contracts a special discount is allowed. Advertising Pages, $60.00; special position, $75.00. REMITTANCES, should be made payable to Edward Lyman Bill by check or Post Office Order. ^^IMPORTANT.— Advertisements or changes should reach this office by the first of each month. Advertisements arriving too late for insertion in the current issue will, in the absence of instructions, be inserted in the succeeding issue. Long DistSLnee Telephones— Numbers 4677 and 4678 Gram ercy. Cable Address: "Elbill." New York. NEW YORK. SEPTEMBER 15, 1908. TALKING machine circles have been considerably agitated during the past month over the announcement of the National Phonograph Co. to the effect that orders for Edison phonographs and records from jobbers and dealers who handle other lines of cylinder machines and cylinder records will be refused after October 1, an extension of time, however, being granted to December 1 to enable dealers to dispose of stock on hand. Naturally such a radical action on the part of a great producing company must arouse keen criticism, and The World has been in receipt of many communications from jobbers and dealers who do not take kindly to the new condition of affairs. The J. K. Savage Supply Co., St. Louis, Mo., state in a communication: "It will lead to outlaw dealers and price-cutting such as has not been known before." Mr. Savage characterizes the move as "a steamroller edict which is a move in restriction of trade." There is no question about the restriction of trade in a move of this kind, for it puts up the bars in such a manner that they canliot be vaulted over, and to say to a business man, "You cannot have our product unless you will agree to sell none but ours," has rather a harsh and grating sound, particularly to the men who have been advertising and stocking up in other lines. But the National Phonograph Co., through its officials, claim that the move was made necessary by certain existing conditions, and that in order to thoroughly protect their own interests the promulgation of the edict was necessary. In other words, it is obvious that the intent of the National directors is to make their jobbers and dealers more exclusive Edison forces than ever before. IN the first place, in considering a subject of this kind, it must be assumed that certain restrictions will forever be placed upon an industry which is held in the grip of a few men, and whether the conditions imposed are pleasant or not, they have to be accepted, temporarily at least, because the producing forces hold the coign of advantage. They occupy a position wherethey can dictate terms and policies, but before we denounce any set of men for adopting business methods which they deem necessary to protect their own interests, it is well to figure what we would do ourselves under similar conditions. It is human nature to adopt methods of protection whenever necessary, and business men as a rule are not in business purely for their health. They purpose to conserve their interests in every possible manner, and when they control patented inventions, they are quite apt to insist upon terms and policies which must be rigidly enforced. A limited trade must, therefore, always be subject to rules and regulations imposed upon them by men who control the sources of supplies. The talking machine trade, which is a limited industry, is in the hands of a very few corporations. These controlling forces have agreements which clearly stipulate, down to the minutest detail, just what they expect from the men who sell their product. These business contracts are explicit in defining the position of jobber and dealer, and they are not signed until after each clause is carefully gone over. But suppose the jobber or dealer objects to certain details — he has no recourse, because he cannot purchase the same kind of goods in the open market. His future is influenced by methods in vogue in a restricted industry. BUT then there is the reverse side of the medal. By imposing certain conditions upon jobbers and dealers, the men who control the talking machine trade have made price-cutting and trade demoralization impossible. They have made stable conditions where without regulations being strictly enforced, the future of the industry may have been seriously jeopardized under pressure at any time. And again, the manufacturers of talking machines, by their enormous advertising expenditures, have created a demand for machines and they look upon th? field as exclusively their own, they having created the demand for the article. And another thing in this connection: it should not be forgotten that manufacturers in any line cannot long survive unless they produce a product which may be profitably sold at retail. Now, a company officered by intelligent men cannot adopt a policy which will render their product unprofitable for the retailer without being forced to abandon that policy just as soon as the lack of profits become apparent. The talking machine business has thus far been profitable from every viewpoint — ^to the manufacturer, to the jobber, to the retailer, and it is to be hoped that those conditions will continue. There must be sufficient profits in retailing a product to interest dealers and hold them loyal to that product, no matter what it may be. If profits shrink, then as a natural sequence the retail distributing forces will find other specialties to supplant it. It is the money-making power of a specialty which will make merchants loyal to it. Business problems always right themselves somehow, and we should not forget that the trend of modern trade is steadily upward, and that the talking machine industry is broadening, and that n6w conditions must, from time to time, be felt in the industry, by reason of new forces being introduced, which will have the effect of. sti-engthening it An many ways. A LARGE number of our readers have made some splendid business connections by consulting the "side line" department of The World. There are many specialties , created which can be blended perfectly with the talking machine business, specialties which do not require either a vast amount of space to exhibit or much capital for the initial purchases. It pays nowadays to use every possible means to make business profitable, and the novelties which are exploited in the columns of this paper can with advantage and profit be handled by talking machine men in the various sections of the country. Quite a number of our readers have already written that they have been surprised at some of the results which they have achieved in the line of specialties. The more attractive a retail business establishment, the more people will visit it — hence the possibility of a greater number of sales. That is one reason why the department stores are always so liberally patronized by shoppers who can purchase under one roof a wonderful variety of products, staple and special, thus saving time and profit in many cases, by the use of a splendid system which must be in vogue in conducting large business enterprises. Then, too, when the talking machine trade is dull, the dealers will have an opportunity of helping out expenses by making sales in other lines. THE export trade has kept up surprisingly well, and our special reports indicate a constantly growing demand for talking machines in a number of foreign countries — in fact, some of the nations which a short time ago were not viewed with favor as fruitful fields for the exploitation of the talkers have recently developed a surprising demand for talking machines and accessories. A little emphasis placed on that particular branch of the trade will help out materially when the home business is stagnant. In this connection we may add that this publication has been a strong factor in the development of foreign business. We have received from advertisers a number of communications in which they have expressed surprise at foreign orders which they have received from their advertisements in this publication. The international infiuence of The Talking Machine World is now generally conceded, and we may say without fear of contradiction that there is no publication in any land which exercises a greater influence in a special industry in all parts of the world than does The Talking Machine World. There is no country on earth where it does not circulate, and one of the most pleasing features of our foreign business is the fact that subscribers in other countries are quite as enthusiastic over the helpfulness of The World to their business as our home readers. We are in constant receipt of such letters as the following, written by A. H. Pettifer, Sidney, New South Wales, who states: "Enclosed please find $5, the same being two years' subscription to The Talking Machine World, for Mr. Black Hadder and myself, as per statements enclosed. I wish you all prosperity. The World is a great paper and I would not miss it for a dollar a copy. I find lots of advance information in it, prior to the manufacturers' notices." Such communications show the strength which this publication has developed in all lands, and we may add that this position has been won by giving to advertisers and to subscribers the largest possible values. /