Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-04-30
LOCAL JOBBER GIVES
SOME HELPFUL POINTS
Hiram T. Gates Believes Good Salcsmanshp and Care
full Selection of Stocks Will Produce Prolit-Too
Much Pancky Talk and Too Little Action

pol tcncss and craftsmanship
taught to the average retailers clerk.
IN addition to installation OF modern
accounting systems. maintenance Of
ana clean stores. will do more to
enable retailers to compete with
chain stores than any other one me-
thod. according to Hiram r. Gates.
president of l.. w. Gaies 4 Han CO.
food product distributors.
MIR. Gates IL confident that. II re-
tallcrs Will stop long enough in their
criticism OF the chain stores to in
troduce new methods and policies In
their own stores. long step viii
nave been taken to restore profitable
business. especially in retail gro
ccricS.
Chain I'm Preferred Position.
I'm recent years, associations OF
various sorts have multiplied fast and
havo produced specialists Of cxccp-
tional ability. who Slibly cSpound
to the retailer the methods to make
more profit out OF nationally advcr-
tiscd brands and II quick turnover"
declared MIR. Gates.
The retail merchant doing bust
ness In Il large city today knows
that standard and nationally udvcr-
Used food products are advertised and
sold as leaders by the chain stores
at prices the regular retailer cannot
even buy. The manufacturer using
the chain systems as an outlet gives
them n price which the regular gro
Ger frequently cannot obtain, which
places tho chain In 4 preferred posi-
ton. allowing this syndicated store
to take a profit while selling at tho
cut prices as advertised.
Careful Selection OF Stocks.
To combat this situation" Mr..
Gates continued. Tho retailer must
not depend solely upon quick turn
over and the exclusive pushing of
nationally advertised brands. as. un-
der tho fixed overhead expense Of
the average retailer his business
would show loss. and the larger
his volume of sales the greater his
not loss. a better business policy for
him to follow Is to stock his store
with only such nationally advertised
brands as his customers call FOR. nnd
to Sell his trade. by personal recon-
mendation. goods that he knows are
OF recognized merit and will pay him
reasonable profit. even though their
advertising does not extend beyond
local territory. This insurcs the
regular retailer quick turnover and
a fair profit. at the same time en-
abling small manufacturers 10 find
an outlet for many lines OF mcri-
torious goods which can be rctail.d
At moderate price. which. in these
times, the consumer would welcome"
Mr.. Gates declared that the mod
crn tendency OF free voluminous adj
vice Is toward store keeping" rather
than craftsmanship: In other words.
Mt Gates believes that the retailer
should not be made AN automatic
vending machine. passing out only
such goods az the trade calls FOR. TAX
ing away personal initiative and sell
Ing ability. which he Is certain Is
necessary for the success OF any line.
According TO New York trade paper
correspondents. there IL too much
panicky talk and too little action
about what many retailers are prone
10 call the "chain-storc menace" As
a result OF the present status among
merchants. they say, analysts and
economists have arrived at certain
tangible conclusions to furnish an
Intelligent basis upon which to build
remedies" Among them may be
mentioned the following:
l. Cease being panic s,fckcn about
.. Admit the plain fact that ono
end OF the chain store is the lcgiti-
mate Wholesaler and the other typi-
cal retailer
2. study the question from the
functional and economic standpoint.
l. Meet competition on it's own
ground and with its own weapons
CO-OperntIon n NcressIty.
3. II the chain store is any more
efficient than the jobbcr-retailcr sys-
ten. ii is the common concern OF
both jobber and retailer to cooper
ate to buck up" and improve their
own efficiency. And there is n great
deal that can Toe donc---has been
done-within the last three or four
years.
6. II the chain store is enjoying
unfair preferences the manufacturer
must be made to regard the old-linc
system as more desirable than the
new (Which involves making 1t so by
real service to manufacturer and CON
sumner alikc): or.
Z. Recourse must he considered to
stop preferential opportunity II IL is
persistently building up monopoly and
concentration OF a vital public service
into the hands of a trust"
Educating the retailer is one means