Omaha daily bee., 1909-02-17
HARDWARE MEN HAVE WOES
President Kavanaugh Says One Bane
is Catalogue Houses.
OBSTACLE TO FREE COMPETITION
Does Not Spare Jobbers and whole
salers I'm Addressing Nebraska
Retail Dealers In Annual
Convention.

dlSpiay' having more practical things TO
the square inch than any similar exposi-
ton ever held in Omaha-the display OF
furnaces. stoves. washing machines. pans.
cork screws, lawn mowers, wire fence.
knives. guns. saws. granite ware and ranges
Of the Nebraska Retail Hardware associa-
ton opened in the Omaha Auditorium Tues
day morning. It will run almost continu-
ously four days. closing down only when
business sessions OF the convention are
open at the Hotel Rome
The convention opened at ? O'Clock with
several hundred hardware dealers present
City Comptroller c. o. Lobeck. a former
travelling man for hardware houses, well
coined the visitors Mayor Dahlman being
ill. and II. NJ Wineland Of University
Place responded. This was followed by the
annual address OF President Dan Kavan-
sugh Of Fairbury. who discussed many SER
ious questions confronting retail hardware
trade and told Of conditions surrounding
the dealers in buying and selling which
might lead people to believe that in no line
Of business are the profits so small as in
the hardware business.
Two Meetings at Once.
While the afternoon program Of the con-
vention was being given at the Rome. the
shining Of nickel plate. the backing OF
stoves. polishing Of cutlery. firing up Of
patent heaters, greasing Of washing ma
chimes and stretching OF spans Of fence,
went on at the Auditorium at rapid rate.
The exposition will be in full swing to-
night when the evening is TO be devoted
to looking over the exhibits. The program
also calls for spending the entire morning
at the Auditorium Wednesday, when dele
Saf Mill inc
scores Of manufacturers who have in
stalled booths in the Auditorium. Every
available foot Of floor space is occupied.
but the exhibitors declare Omaha has given
them the best place they have had for an
exposition.
Nothing to compare with this Audi
torium for a great show room" said II. B.
Haffaker Of the Howard Stove Manufac-
turing company. who has had charge of a
large exhibit Of stoves az the various state
conventions OF retail hardware men. They
did the best they could by us in Des
Moines by turning over the Masonic Tenn
pie for our use, but 1t could not compare
with this Auditorium. Only Minneapolis
equals Omaha when il comes to offering a
show, place"
Conditions of the Trade.
President Kavanaugh said concerning the
conditions surrounding the retail dealers:
First. there are goods with controlled
cost prices; those Nth controlled retail
prices. where the retailer pays out OF his
pocket for their being populsrized by ad-
vertising and being forced to accept a
less profit than he realizes on other goods
OF equal intrinsic value; those old and es-
tablished brands of tools. many of which
we are forced to sell at staple prices
Second, private brands of jobbers who
control their prices and upon which there
competition in buying
Third. that class OF goods wherein no
comparison Of price can be made because
Of differences in sizes, kinds. numbers and
finishes, which make it difficult to deter
mine their real value.
Fourth, the class consisting OF staples,
such as nails, wire, loaded shells. bolts,
screws, which are sold at less than cost
when the expense OF doing business is
taken into account
''Now'in addition to these problems OF
purchase is added competition which places
In the hands OF our customers a price bull
leun on every article we carry in stock.
Bane OF Catalogue Houses.
The president advocated manufacturers
making delivered price the same at every
and said the dealers were now suffering
more than any other class OF tradesmen in
an unequal warfare with the catalogue
houses. because those houses have wealth
use inscriptions methods and possess the
friendship of the false friends of the re-
tsilers-manufacturers who sell TO the
cat houses because they buy IN such
enormous quantities. at lower price than
even the jobber pays who supplies the re-
tailers.
Give cur dollar the same nurchasinS
power as the catalogue houses dollar and
We viii positively win. said Mr.. Kavan-
augh. The jobber should do his whole
duty by US. There Is not a single success
ful jobbng house I'm the country TODAY
whose buying talent Is deficient But when
it comes to making prices to the retail Gus
TONERS it's different
1T is the duty and mission Of the toh-
bers 10 place US in IRE position to sell N
the consumer in competition with the cata-
logue houses, but they cannot do this IN
less they thoroughly post themselves on
prices. Qualities and brands quoted 10 our
customers by the houses which seek To
reach the consumer direct
We are oOnveinced that this is not being
generally done Some household, every day
Nchs are piiied 10 US by the iObbarz AT
prices higher than the customers can buv
direct. Some jOhbers sell at retail. using
their buying advantage to quote cut prices
and this results in their losing all their
business"
scores the JObbers.
The president did not spare the whole
sslers and iObbers. but told the dealers
what he had discovered TO be a fact nv
careful study The number Of new hard
ward jObbing houses entering the field is
out OF all proportion TO the Increase Of
new retail houses ne said. There is
actual danger that the jobbing end will get
topheavy and bring trouble not only upoD
themselves. but ruination upon their retail
customers"
one OF the recommendations of President
kavanaugh was the matter OF express
rates, which he said were unreasonablv
high, be taken up By the association ana
that reform I'm express service ana =
radical lowering OF the charges would
take the wind out Of the sails OF the adyo-
Gates Of a merchandise post-a measure
which. in the opinion OF the dealers. win
give the catalogue houses stiI greater ad-
vantages aud narrow the country retailers
trade down 10 a point where Il win be
almost impossible for him 70 remain in
husfnees"