The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-01-16
A COMMERCIAL PROBLEM.
Shall Manufa cturers Deal Directly
with Retailers.
New York Commercial.

The announcement that A. G. Spading
q Bros Will hereafter deal direct with re-
taiers and offer no inducement to job
bers to handle their goods, IS significant,
and. coming from an old-established and the
leading house in their line, their action is
sure to excite considerable comment in trade
circles.
There is a growing tendency among manu-
facturers to sell direct TO retail dealers,
and, in many cases, direct to consumers,
and some advocates of this plan are so en-
thusiastic that they believe the day of the
jobbers is doomed, or, at least, that there
will be very material reduction in the
number OF jobbing houses. They assert that
the Jobber does not protect the interests of
the manufacturer; that his tendency is to
buy where he can buy the cheapest, re-
CARELESS of the quality of the goods that
he does not maintain manufacturers prices,
and that the manufacturer, particularly of
trademark goods, is much better able to
control his business by ignoring the jobber
and dealing direct with houses who dstrib-
On the other hand the advocates of the
Jobber claim that he is Indispensable; that
the small retailer must obtain his supplies
quickly, and by dealing with a large dis
tributing house he can concentrate his
orders and is thereby enabled to carry
more rapidly They also point to the fact
that the manufacturer who goes direct TO the
retailer must open thousands of accounts
where he now has hundreds, and that it is
decidedly to the interest of the manufacture
er to use the jobbers' machinery for the sale
and distribution of his goods.
There is no denying the fact that the
jobber finds it harder each year to main
tain his position The questions which
naturally arise are: Does the retailer pre-
fer to buy direct from the manufac-
turer? Is it to the advantage of the
manufacturer to sell direct to retailers?
Is the jobber a necessity or an unneces-
Sary spoke III the commercial wheel?
The subject is one of the first impor-
lance to manufacturers iobbers and re-
tailers 1t should be thoroughly ventilated.
and, if possible, some intelligent conclusions
reached which viii permanently establish
the rights of all classes. There is a feeling of
restlessness among the manufactures. NJ any
of them are not satisfied with their trade,
and naturally blame some one There Is
too much competition. too many lines of
goods, too much price-cuttng. and some
body must suffer. Will it be the manufac-
turer who is strong enough to handle BIS
trade direct that will save his business? Is
the jobber at fault? He surely has troubles
of his own and he certainly does not want
to lose his most staple lines.
The time seems ripe for a full discus
sion of this intricate problem We know
of a number of manufacturers VINO are
considering the ACCESSIBILITY of taking some
action similar to the Spaldings, and the job
bers owe &c to themselves not to let matters
drift without filing their protests and de-
Tending their positions. The retailer, too is
entitled to a hearing, and we shall be glad
to place our columns at the service If all
classes for a thorough ventilation and dis
cussion of this subject.