St. Tammany farmer. [volume] (Covington, La.) 1874-current, 1911-07-22
DOCTRINES THAT BUILT 35
CHAIN STORES.
l.By r. B. Younge.)

operated small STOC0Iy StOtC III INV
little town of Columbus, Kentucky.
Being a merchant of the keen,
class he had observed in
the conduct of his business in Co
lumbus that the retail grocery bust
ness was struggling under a wrong
principle.
The credit system-with its con-
sequent losses-made it necessary
for a merchant, If he would Keep
his head above the financial Whlri-
pool, to charge his paying business
enough to make up his losses on the
deadbeats.
Yet this small Columbus grocery.
man had accumulated a fortune OF
$4,000 from his business. He mad
been prosperous as small town
He sold good products,
was reliable and did a good bust
ness, size of his field considered.
But he was eager to expand. He
am bitiously searched for plan that
would make this business desire
possible.
Decides ON Larger Field.
One day Mr.. Bowers hit upon this
idea: He would move to larger city
where the field was larger, where a
man could corral
larger amount of business with the
same selling effort that was necessi-
tated in doing profitable volume
in Columbus. :.
He decided to establish a small
grocery business and this was his
avowed business doctrine:
To do business strictly in a cash
basis, giving absolutely no one credit.
To make no deliveries of goods he
sold.
To make an average of 1878 per
cent gross profit above the cost OF
the goods.
That was the set of principles upon
which he planned his new venture
either win or fail.
A few months later found the
Columbus groceryman in Memphis.
Buys Small Stock Of Goods.
He rented a small store on which
he painted the sign: Bowers Tenn
plr of Economy, No. 1.
He bought an $500 stock OF goods
and he had his wife moved into two
small rooms in the back of the store.
He reserved the remainder OF his
original $4,000 capital against the
proverbial rainy day, although ne
int ended there should be no sucn
disaster.
He demonstrated his earnest be-
lief in advertising by Immediately
opening a strong advertising cam
paign in Memphis. He concentrated
UPON the central ideas from which
he had planned his success should
result. His appeal was the economy
of strictly cash dealings.
The Bowers idea was an lnstanta-
neous success. In six months It's
had saved enough from
the profits of store No. l to open the
Second Temple of Economy. That
was nine months ago.
To-day Duke G.. Bowers has
chain of 35 grocery stores in the city
of Memphis.
Last year this chain store system
did a business of $3.50, 000-which
is said to be one of the three largest
retail grocery businesses in the
United States.
Expects $4,000, 900 Business i'm 1911.
az am looking for a two million
dollar buisenss this year. said Mr..
Bowers, /" and this is only the be-
ginning. Before / stop / expect to
have fifty stores in the city OF Mem
phis, and to be doing more than 5l
per cent of its grocery business, pc
cause my cash scheme for selling
goods is the only fair and rational
method to pursue. / buy for cash
and sell for cash, and each night the
empty places on my shelves are rep
resented by dollars and cents in the
cash drawer, and not by q credit on
a ledger. BY this method / am en-
abled to save my customers a great
deal of money, because l have cut
out the waste in the conduct OF my
business. | sell for 121a per cent
profit above actual cost and out OF
this profit comes the expenses OF
conducting my business, leaving me
a very small net profit in the end.
byemy plan l turn over my stock OF
&C odss.rapidly, keeping it fresh and
us-to-date,'
Buys a1k Page Space in One Issue.
In one issue of The Memphis
Press, an afJernoon newspaper, Mr..
Bowers purchases six-and-a-half
pages of advertising. rrs practically
owned the whole paper tfra.zaslay
from an advertising standpoint.
This is one of the largest amounts
of advertising ever used by one ad.
ivertiser in a single issue of news.
paper. Mr.. Bowers has always beer
consistent believer in the value Of
advertising. He recently said he has
spent more for advertising in the
past nine years than he is worth to-
day, and had he only spent half as
much he doubted very seriously
whether he would be worth half az
much as he is.
Mr.. Bowers conceived his unique
advertising venture as the result Of
reading two lectures, one by Russell
Fl. Convict called Acres of Dia
nionds," and the other by Congress
man Richmonr Pearson HobsOn, Of
Alabama, entitled, 1.-THE Great De
st: oyer
The Conwell lecture is devoted tt
intoxicating the idea of contentment
with ones station in life, whatever
that station may be, and in seeking
happiness in the every day realities
The Hobson lecture is an exhaus
tive discussion of alcohol, the great
esr enemy of mankind since the birtt
OF the human race. Mr.. Hobson'.
lecture deals with the pathological
effects Of alcohol upon the human
animal, its effect upon society as 81
institution, and proposes q remed!
for the abolition of alcohol from thu
world.
Mr.. Bowers CHANGED to read thes'
two lectures in an adle moment, ant
was SO struck with their ducationa
value that he conceived the idea 0
publishing them as advertisements
although they contained over thirt,
thousand words. He wanted ever.
ran. woman and child in Memphi