Television digest with electronics reports (Jan-Dec 1955)

15 Topics & Trends oi TV Trade: How to handle trade ins, one of dealers’ biggest headaches (Vol. 11:32), has been solved by at least one big dept, store — John Shillito Co., Cincinnati. It’s setting up own retail outlet next spring to deal exclusively in used TV-radio-appliances — chiefly those taken in at its main store as trade-ins. As far as is known, it’s first such outlet in nation. Store spokesman explained that establishing a separate outlet for used appliances enables main store to devote more manpower and space to merchandising new items and “solves the perennial problem of what to do with the old sets customers turn in.” Prices of used merchandise will be determined by Walter Winston, appointed mgr. of new store. The spokesman commented: “We do not expect to make money the first year or so. We’ll be satisfied to reach the break-even point at the start, but after that we believe the store will prove profitable.” Note: Another big dealer, 5-store Hudson-Ross Inc., Chicago, expanded its operations this week by leasing the TV-radio-appliance depts. of 6-outlet Wieboldt Stores Inc. Hudson-Ross already leases and operates TV-appliance depts. of big Mandel Bros. Leonard Wolfe, Hudson-Ross TV-radio buyer, will manage expanded operation. Wieboldt pres. James F. Tobin said he considered leasing a “sound move” because “TV-radio-appliance business has progressively become so highly specialized.” * Admiral’s new fill-in sets, introduced Dec. 15 at distributors convention in Chicago, are fui’ther reflections of “gimmick merchandising” we reported last week (Vol. 11:50). Admiral’s device, incorporated in 5 of its 7 sets, is “automatic power tuner” consisting of 2 buttons located in upper corners of set. By pushing button in left-hand corner, receiver is turned on automatically to “normal listening volume”; pressing button in right-hand corner automatically changes channels. Optional remote control unit is offered at $20 extra. Automatic tuners are in charcoal metal table models at $200 & $230, open-face mahogany consoles at $270, $300 & $340. In addition, 2 new tables at $180 & $230 do not incorporate the tuners. Sparton quits TV-radio production in U. S. as of Jan. 1. Pres. John J. Smith, announcing this Dec. 15, cited “continued operating losses of the domestic TV receiver division.” Plans are to expand TV-radio production at London, Ont. plant, and continue to produce electronic remote controls for industry & Govt, at Jackson, Mich, plant and wood cabinets for TV manufacturers at Steger, 111. factory. Some 300-400 are employed in its TV-radio div. SparksWithington is third company to discontinue TV pz-oduction voluntarily this year, others being Arvin and StewartWarner. * ♦ * * Picture tube sales in first 10 months totaled 8,905,771, valued at $170,579,766, compai-ed to 7,746,240 worth $161,520,089 in same 1954 period, reports RETMA. Receiving tube sales were 395,788,000 at $292,649,000, as against 308,397,000 at $220,991,000 in first 10 months of 1954. Oct. receiving tube sales of 48,119,000 set all-time record for third straight month. RETMA’s monthly breakdown : Picture Tubes Jan Feb. March (5 wk) April May . June (5 wk) July Aug. Sept. (5 wk) Oct. Units 866,956 859,529 913,003 788,317 779,329 706,890 515,793 1,048,534 1,202,430 1,224,990 Value $ 17,661,018 17,119,568 17,625,881 14,620,075 14,572,518 13,244,499 9,498,169 19,812,567 22,867,851 23,507,620 Receiving Units 37.951.000 $ 38.526.000 40.859.000 35.426.000 32.919.000 40.821.000 28.340.000 45.238.000 47.588.000 48.119.000 Tubes Value 26.879.000 28.108.000 29.743.000 26.780.000 25.916.000 31.256.000 21.167.000 33.099.000 34.596.000 35.105.000 395,788,000 $292,649,000 Desire for “full line” merchandising, in which TV could be “cranked into the over-all sales planning of major appliances,” was motivation for GE’s recent switch of TV into new consumer products group, said exec. v.p. Roy W. Johnson at press conference this week — thus indirectly confirming our own analysis (Vol. 11:49). He said it was likely that GE Supply Co. would continue to distribute TV-radio despite the organizational transfer. Discussing TV industry rankings, in reply to question, he said: “One thing all of us are sure of is that RCA is No. 1. From there on it is difficult to evaluate, but there are 3 of us within 100,000 sets of each other.” He estimated RCA’s share of market at 15-16% and said, “this is the only industry I know of where the leader has so small a percentage of the business.” He said GE was “running a lot better than 8%.” RCA and Philco are generally regarded as 1-2, followed (but not necessarily in this order) by Admiral, Zenith, Motorola, GE. He said his own company is No. 1 in home radio output. NARDA convention banquet speaker at Chicago’s Conrad Hilton Hotel Jan. 16 will be NBC chairman Sylvester L. (Pat) Weaver Jr., substituting for RCA pres. Frank M. Folsom. Chris J. Witting Jr., Westinghouse exec. v.p. for consumer products, will address luncheon session next day. Other speakers include James M. Toney, v.p.-gen. mgr. of RCA Victor Radio & “Victrola” div.; Dan D. Halpin, sales mgr. of Westinghouse TV-radio div.; Cliff M. Knoble, Raytheon TV-radio merchandising mgr. Improved version of AM-FM classroom radio, called “Educator,” is being produced by Fairchild Controls Corp. (Richard Hodgson, ex-Chromatic Labs, pres.), which recently acquired old Freed-Eisemann facilities in Syosset, L. I. It has 12 tubes, 8-in. speaker, 100-15,000 cycle range. It’s also releasing 2 new pamphlets. Perfect Classroom Reception and Radio — Classrooms’ Newest Tool, available free from company’s electronic div., 200 Hudson St., N. Y. Next British National Radio Show will be held in Earls Court, London, Aug. 22-Sept. 1, 1956, with preview for overseas visitors Aug. 21. Organizer is Radio Industry Council, 59 Russell Sq., London WC-1. Annual Radio Component Show will be held at Grosvenor House, London, April 10-12, with preview April 9. Organizer is Radio & Electronic Component Manufacturers Federation, 21 Toothill St., London SW-1. DuMont has sold its old plant at 1500 Main St., Clifton, N. J., which formerly housed transmitter and instruments manufacturing divisions, now in new building adjacent to tube plant in Clifton. An old textile mill, it has 150,000 sq. ft., DuMont retaining about 50,000 for storage space. Purchaser was Getty Clifford Corp., realtors. Crosley introduced 14 new models at Miami Beach convention last week, ranging from $140 for 17-in. walnut table model to $280 for 21-in. blonde console. Nine of new models comprise “Advance V” series, superseding “Super V” line, which 2 years ago pioneered vertical chassis trend. “Advance V” series also contains vertical chassis. More merchandising devices: Malin Enterprises, 3732 E. Olympic Blvd., Los Angeles, offering “Select-O-Vision” remote control unit at $50 — a 5(^x3x2%-in. plastic unit adaptable to all sets except those with continuous tuners. Motorola will introduce “a couple” of black-&-white fill-in models in Jan. “in a price bracket where the need for bolsteiing the line is greatest,” said company spokesman. He declined to give details. National Assn, of Music Merchants schedules annual convention Feb. 13-14 at Mark Hopkins, San Francisco. Zenith distributors’ convention is scheduled Jan. 15-17 at Miami Beach’s Fontainebleau and Eden Roc Hotels. TOTAL 8,905,771 $170,579,766