Forest City press. (Forest City, Potter County, D.T. [S.D.]) 1883-19??, 1917-03-23

ADVERTISING WORKS
TO KEEP PRICES DOWN


Among the several Investigations in
progress OF contemplated. Of commodity
prices. none is of more interest to the
average business man than the one which
has just been suggested at Washington
To cover the basic facts of production and
distribution. Ihe scope of the inquiry
has not Yet been fully revealed, but thus
far il is apparent that the influence OF add
NertlSinS as a distributing force on both
the price and quality of goods will have
a leading place.
In this connection it is of interest not
only to producers and distributors. but to
the consuming public. to note that con-
siderable preliminary work has already
been done in determining the influence of
advertising during an era of high prices.
The Association of National Advertisers
has recently heen gathering some remark
able facts and figures on this subject
They show how one after another OF the
biz advertisers of the country have been
able to reduce the price of their product
or else TO improve the quality Ut no in
crease in price. 1t is a significant fact
that nationally advertised goods are the
only PRODUCTS which, as a class. nave not
tendcd to rise in price during the past
few wears.
Countless causes are working today to
force prices up. Against all these forces
one force only Is working to keep prices
down-and its name is Advertising. ac-
cording to the data department of the
association.
Every now and then some manufac-
turcr advances the claim that he can sell
his goods cheaper because he doesn't adj
%vertisc. says G.. +. McClclland, who has
been compiling figures on this subject for
the association. Every one who knows
the y. b. c. of business knows that this
claim is impossible on its face. Vet it
sounds plausible and such talk deceives
millions of people.
II, ~. ,,rnI,,.tiA, n,J ,,,J-At;,. -
goods there are two inevitable costs. One
is the manufacturing cost: the other is
the selling cost. And no way has ever
yet been found by which either of these
costs can be eliminated.
"Whcther YOU buy farm products at Il
grocery store. or mill products at a dry
goods store, or laboratory products at a
drug store; whatever you buy at any
store. be sure of one thing. The price
includes the selling cost. 1t must. else
the manufacturer. the Wholesaler the re-
taller and the salesman could not live.
And Just as surely as there are always
two items of cost. the manufacturing and
the selling, just so surely are there only
two ways in which the price of goods can
ever be reduced. one is by economies in
manufacturing cost. The other is by econ
omies i'm selling cost.
of course. it isn't easy to cut manu-
featuring cost without cutting quality.
But in modern times a way has been
found to cut selling cost-and it's nane is
Advertising.
advertising is like a straight line: the
shortest distance between two pOints-the
producer and the consumer. 1t cuts out
the grades, curves and the angles. 1t
makes a drop of ink do the work of q
salesman. Bear in mind that goods can
never be sold unless there is a demand.
and advertising creates this demand in
the simplest, most direct, and least ex-
Dancivo WAY No other sales method Can
equal 1t in magnitude of return for a min
imum of cost.
"And the big returns from advertising
also cut down the Notwithstanding cost
that's another saving. Increased volume
of production always means { decrease in
the uni, cost of production through better
and more efficient manufacturing meth
DDS