Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-01-17
CHAPTER LIZ.
PRODUCER, JoBBER. DEALER DISTRIBUTION


Although there may not be majority of by which
the producer sells his goods obber thence retailer still
the bulk of goods taking it all in ALL sold in that
Practically all groceries sold by this method Practically
all druggists this plan of distribution Hardware-par
ticuarly the little thngare sold by the system. On
which necessary for the dealer space
this system used Here the obber ulfs real function in
carrying the goods for the dealer
For instance suppose that Main street. in the crowded
retail section YOU have Fetal hardware business If you had
carry your all the stock that You would have to buy
order to quantity prices would probably have to have
three times the floor space which would cost tremendous
amount of money. Whereas, wholesale store less
pensve could carry their stock ceapy that the cost
of goods plus storage space plus obbers profit would total
less than the factory cost plus the cost of the retailers
pensve floor space and other fixed charges. ~.:
In through obber system it is necessary to create
automatic flow of goods from obber retailer to
by creating demand For instance let take the
of breakfast foods of these manufacturers very
seldom go the retail dealer They may pat him the
back and then that he will not oppose their product
But they do worry about the retail dealers because they
feel that the retail dealer will sell just much as the public
asks for Nor do they bother much about the obber They
believe that he does not perform personal function in his
part of the distribution.
By using obbers factory do away with the need of
warehouses By this system possible for the manufacturer
to have fewer his books He have big
account of the retail dealers In return for this warehousng
and bookkeeping function the obber gets about 1919 dis
count The manufacturer absolutely depends publicity to-
create the flow of his goods
Think how it is to have distinctive chain be
tween the and producer Suppose wanted
package of cereal Suppose you had to write to the manuac
urer and ask him to send you package There would be
of eight cents for the mailing The manufacturer
certainly could afford to sell his goods low he to
the obber carloads And he sell to the obber at lower
than to the dealer For thing the freight rate would
be three four times much less than carload order
the dealer than big shipment to the jobber.
For their dstrbutye SYSTEM some producers absolutely
depend the obber and the deaeespecay for the
Torrance of those mechanical functions by which they simply
carry the goods have them SALE But regards the sale
of goods the active sense they rely their advertising to
skip the heads Of the obber and dealer right to the
suer the end of making them want the goods keen
that they will make their dealers carry them The dealer then
will force obber carry em and to keep them in stock
for the dealers convenience In that the obber will be
forced to buy.
In this system advertising at its height 1t is the life
blood of this method of distribution Without the whole
system would fail the advertising which makes possible
the sale of the goods from the producer to the bber at the
what the obber thinks of the wothwheness of selling the
goods the dealer Virtually the jobber almost has to sell
the goods the dealer whether he wants to not.
However you have to cultivate the obber and dealer
instances where possible for the dealer shift the
sumers desire from your product which the asks
for to some other which dealer may make few cents
more per pair. If yours Them article which is liable to
substitution you also pay attention to the dealer
In that event you may have stimulate the dealer in your
favor But patented article which has competition you
worry the dealer because he switch the
something else because there would be no
other competitive branch
the Treasurer the city County any