Bonners Ferry herald. [volume] (Bonners Ferry, Idaho) 1904-current, 1911-05-20


What are the wholesale grocers of the
country going to do about iti The
chain store proposition is not only a
thing which is in the air. 1t is a reality.
and besides those that we have already
with us more are promised. The chain
store idea appears to be such a good
thing that everywhere that room exists
for these stores there are men to pro-
mote them. If this chain store idea
continues to grow as it has grown dur.
ing the past year we shall see few indie
pendent grocers in business a year
hence. The chain stores will have put
them out of business, says Chicago
Wholesale Grocer.
What are the wholesale eroeers of
the country going to do about itY
What have they done and what are
they doing to check this evil GROWTH
SO far as is known they have been
sitting fast, with faith in their own Sc
curity while their enemy grows apace.
At the present time about 40 per cent
Of the wholesale grocers business is the
handling of speciality goods. If the
speciality manufacturers are to be per.
mltted to go to the chain stores direct
without challenge from the whole.
saler, it will not be long before the
manufacturers will have little or no use
for the wholesalers, and there will not
be independent retailers enough to sup.
port the wholesaler.
1t may be that the average iobber
feels that he can get along without
handling speciality manufacturers
goods; that the great variety of goods
of other kinds he handles will keep the
independent retailers on his books.
But such jobbers overlook the fact
That when the chain stores have been
encouraged to a given point the indie
pendent retail grocer s trade will not be
worth having.
With the jobber it is a question of
protecting the Independent retail grocer
and himself. If the chain stores multi.
ply and thrive it will be because of
their ability to buy as cheaply as the
Jobber, and by buying at a price lower
than the independent retailer can get,
the chain store man can undersell the
Independent retailer and still make
money.
And who is responsible for that fact
that the chain store man can buy at
the factory2 The manufacturer and
the wholesaler.
When these two interests come to.
gether in a proper spirit, the manufac-
turer will regard the chain store man
as a retailer, and will direct him as he
directs other retailers, to buy through
his jobber, the legitimate distributor
AS for the wholesaler, it is for him
to say to the manufacturer who persists
IN treating retailers to jobbers' prices
to make choice of the way in which
he would distribute his goods.
No wholesaler can afford to handle
the goods of a manufacturer who sells
to retailers direct. His business exist
ence is endangered by such practice
Nor can the manufacturer afford to per
sist in selling to what is legitimately
the jobber s trade.
The order from a 50-retail-store man
is tempting, but to persist in taking
these orders direct is the beginning of
his own downfall, for the chain-store
man will cut advertised specialties in
order to draw a crowd into his stores.
and when the customers appear he will
try to sell them a substitute of his own
manufacture. He will use speciality
brands to build up a trade for his own
brands. Then he will drop the spe-
cialty brands. Some of these chain
stores are now selling speciality goods
at retail cheaper than the legitimate re-
taller can buy them. One advertised
brand of ketchup is being sold at retail
for less than the jobber's price If this
manufacturer expects jobbers to sell his
goods he will have to make it impossi-
bic for these sales to continue, for GER
tainly the jobber can find no market
when the chain-store price makes it i'm
possible for Independent retailers to
handle the goods.
The manufacturers and jobbers both
have splendid associations, and there
are wise business men in these organi-
cations. They should see for their fell
low members the outcome of encourag-
ing the chain-store idea. The retailers,
too, have strong organizations The
three working in harmony should be
able to protect themselves against the
chain store evil