New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-10-11
THE GROCER IS NOT HAPPY.
HARDER PINCHED THAN ANY OTHER
TRADER BY THE BAD TINES.
A SUGGESTIVE EXHIBIT OF SIX MONTHS FAIL
UREs-sPEcIAL CONDITIONS CAUSING DIS
TREss-rHE BATTLE OF PRICES AND
MINUTE PROFITS.

There are. according to the business directory.
about 400 retail grocers in New-York. At
least there that many last spring. and
the places OF those who have failed since then
have probably been filed by others. II is
really singular how seldom one sees grocer
bankrupted-even OF the little ones whose
profits would be infn!tes,mal-in proper
ton to the number Of grocery stores constantly
sprlnging into existence And yet. according 20 the
failure statistics collected by r. G.. Dun Co.
for six months OF the present year and compared
with the equal period Of time in 1895 and 1894 the
grocers have had bear even more than their full
share of the pressure OF hard times.
The monthly record OF failures among the groce-s
from March, 1894. TO August, 1896 steadily in
creased in number. while those among ali other
traders did not. Thus there were IN 1894 reported
1873 failures in those six months averaging ABS e.;
in 1885, during the corresponding time. 1884, averag-
ing si,07i - and in those months OF 1896 the num-
Der sweled to g7. and their average was H.i24 IS.
All the other traders achieved in 1894 total
OF 3525 bankruptcies, averaging 1878 g. In 1880
reached 3e44 which averaged $3.50 %. and in 1896
fell back little TO 1888, but with an Increased
average of N2.2l7 ~. This shows that the percent
age OF failures among this exceptionally unfortu-
nate class Of traders steadily from Y per cent
Of The whole in 1894 "a per cent in 1885, and this
year TO q per cent-a little over in each case. No
other branch OF business comes anywhere near to
making SO bad a showing. general stores (Which
deal in groceries and many other things suited TO
the wants of rural population) coming nearest.
but being still far less, and the two trades upon which
most sympathy has been expended-drygoods and
jewelry-comng out with comparatively dying colors
AN EXCEPTIONALLY HARD SUMMER.
7, Is known tina. the last summer has been an
exceptionally unfortunate for the grocery trade
in New-York and Brooklyn. Doubtless the causes
that have made it so have been measurably oper-
alive all through the country Primarily. the hard
times forced customers generally to leave off the
use Of the more expensive class of goods upon
which the grocers profits were largest. and substi-
tute in their stead a cheaper range Of supplies, the
profits upon which were exceedingly small. Then
the big department stores exercised crushing
effect upon the m,ddle-class and injured even the
best class of grocery stores by their enormous re-
duc,ons in prices often offering goods below cost
az temptations 70 bring customers. From the suf-
ferers by this influence the injury was passed along
down TO the small grocers who. with dismay, saw
themselves compelled 20 adopt the reduced scale
of prices made by the department stores Originally
and necessarily accepted by the larger grocers in
order II possible, to hold their trade. The reduc-
ton of his profit from cent TO but fraction or
a cent upon an article an infinitely more ser-
Gus matter 10 the small owing 70 the Limited
volume of his transactions than II could be to the
prosperous who had made the cut TO COM
pete with the department stores. Then, IN desper-
alton, the small grocers. wherever there was any
a spot in New-York at least. where competition in
his line Of business Is not active nowentered upon
a rulnous course OF competitive cutting OF prices
even upon proprietary articles in the hope OF draw
ing away the trade OF their rivals so that now GER
tain weu-estabshed and popular goods are sold
4, retail all over town at wholesale rates. and
sometimes even below. at the grocers loss Finally,
70 climax the disastrous season, the unusual and
prolonged heat OF summer caused very heavy losses
| all u no handled
rear ly all now do and especially severe upon
those who combine the sale OF fresh meats with
the grocery business, as IS largely done In many
uptown stores.
special grievance upon which many OF the
small rrocers lay more stress than IL probably de-
| serves is the blighting effect upon their business
exerted by one man VINO runs no less than seventy
! ,wo stores and who by virtue OF the magnitude OF
| his purchases. Is able 10 get from jobbers and
| manufacturers such rates as enable him 10 sell
things at profit for much less than they can indi-
vdually buy the articles In such quantities as
! they are able TO handle. They admit his right 10
| hav. seventy-two any other number or stores,
| c,r,o, demand a change In the law OF trade by
which prices are proportional 10 quantity sold. and
concede that he has the right to nix his own prices.
| hut all the same. something seems wrong 10 them
| IN a system which. they see 1t, is surely. and
not very slowly pushing them TO the wall
THE r ssh TO coLUMBrs-AvE.
| r-y,d.r,lv a great many persons have had the
s.,,a iIs,-that IL would be a good thing 10 start
a grocery store on coiumbus-ave. But there are
40 many Of these establishments that doubtless
vast numbers OF persons have gone out there and
started them in an absent minded way not reaiiz-
, ing what they were At until II was TOO late 10
stop. And then good many more seem 20 nave
! ins, bappened TO come. The result is that Column
! husave aupears TO the eye Of the casual waytarer
! ovorstocked with grocers And the grocers there
themselves coincide in the opinion that II Is Eacn
secs how much better it would be for all II lot OF
! the other fellows would get out. and wonders why
! they don't Mr.. Barrett Editor OF The American
/ Grocer" figures that there is one grocery IN He"-
York for each 2Ocustomers That LOOKS IKE rs'hs'
,,,,r,l SUNNY but II all over that ratio were sud
| denly pulled out of Coumbus-ave. those left would