The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1921-12-10
Making Good With
a. New Business
In An Off-Year
How w. C. Durant, Famous
Organizr, Became Sold On
Advertising in 1921
printers Ink)

WHO Will UQllO lHO dikO UOy lllIec
great automobile plants at a time,
when most other business men are
pulling in their horns, offers an in
Spiration to the tiInid and the pessi-
mistically inclined. And when that
man is w. c. Durant, one Of the
greatest forces Of America in the
upbuilding of Americas second
largest industry. who really became
sold on the force of advertising for
the first time in his long career in
1921, through some amazing re-
suits which he secured, then that
story becomes of particular signifi-
canoe to men who are interested
in advertising everywhere. And
when, in the first 141 days Of act
ual operation, he secures dealers
contracts for 30,S42 cars during a
period in which buyers are popu-
larly supposed to be doing without
anything, the story should be taken
to heart by every man who is still
holding back, for one reason or
another.
Times of depression have always
been turned into times of oppor-
tunity by Mr.. Durant. Originally
a carriage manufacturer and fl
nancier. in 1904 he took over the
control of the Buick Automobile
Company at a time when it had
made only sixteen machines. Even
before that, at the age of twenty
one, he took over the Flint City
Water Works and put that COM
pany on its feet when it had been
through a perod Of financial en-
tanglements. In that year Of 1904,
when he got through Strengthening
out the affairs of the Buick COM
pany, there was about $4,000 left
over. In 1907, in the midst Of
the panic, he was able to put back
S1,000,oo0 out Of the past three
years earnings profit into the;
Buick plant, and thus start the
foundation of the company, which
is still the backbone of the, Gen.
eral Motors group. In 1908. when
most business men, after the biG
panic which hit them the year be-
fore, considered themselves lucky
if they had any money, Mr.. Da-
rant had enough money in the
treasury Of the Buick plant to buy
out the Cadillac Company, the
Oakland Motor Car Company, the
oldsmobile Motor Company and
Northway Motors, which. with
the original Buick company. were
the; nucleus of the General Motors
Corporation, formed IN 1903.
There was another period Of de-
preston toward the end Of 1910
and running over into 1911. Dur
ing that time Mr.. Ourant organ
lied the Chevrolet Company as an
engineering company Soon after,
he took over defunct carriage
plant, and as venture indepen-
dent of the General Motors Ger
pora.1on. started manufacturing II:
1912, at a time when motor stocks
were excessively Cow in price
General Motors selling at about
one-twenty-fifth the amount Il
now brings. Four years later. III
1915, <the Chevrolet Motor Corn
paay had assets as Of December 5.
of s97,274,715, seventy-five per
cent Of it easily convertible into
cash. Here. again. as result OF
what was ordinarily a period OF
depresson. in 1910 and 1911. Mr..
Durant, through. his go-aaead
and progressive spirit. managed to
turn little or nothing into $4,000
600, and he took period TO do
this converting which most other
men would label as bad times.
It is a matter OF public knowledge
that it was through the Chevrolet,
which he organized out Of a de-
funct carriage company. that he
was able to regain control OF
General Motors in 1915, and that
the Buick company, Of which ne
secured control when it had made
but sixteen cars. still forms the
backbone of the sales Of the great
General Motors Corporation:
The public also knows how. In
November, 1920. control Of the
General Motors Corporation passed
into other hands after slight
disagreement"
Yet the idea of going ahead
when other people were sitting
back, stuck with him. In the past,
h G Y-l6
in periods Of depression. he saw
no reason why 1921 was year in
| which he should change from an
optimist into a pessimist. In what
was perhaps the worst period OF
the depression. along in January,
he started to organize Durant Mo-
| tors. The raising of the money to
start this new corporation at a
time when money was So hard to
get makes an interesting story in
the history OF direct-by-mail ad-
| vertisirg. I saw the letter which
brought home the bacon. 1t was a
litter written by man to people
he knew believed in him, and
friendliness was its keynote. 1t
didn't have much Jazz" in it. and
there weren't many long words, but
it carried over the impression of
sincerity. It told his friends that
they could come into the company
on exactly the same basis upon
which he had come in. that there
were no bonuses, 10 promotion fees,
no stock given to people for expert
ence. past performances or any
.,y other reason. The letter had
a definite product to sell. This
nroduct was an issue Of half mil
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