Connecticut western news., 1922-06-29
SELF HELP STORES
 ADVISES BABSoN The Statistician Advises Mer- =. chants to Adopt New
 Method

In an interview today Roger ". Babson appealed to merchants to study the 'self help" stores. He. be- lieves that the small merchant has great opportunity if he vii! only adopt modern methods and advertise more. He insists that the public does | not demand the Chain Stores but rather demands economical and con venient service, People buy from the chain stores because that is the only place in their community that they can get such service, he con- tinued. "Chain stores are having a tre- mendous run today. They are spring ing up like weeds in every commun- ity. Local merchants are beginning to become panic stricken. They fear that the chain store is to swallow up everything. Grocers, druggist, and clothing dealers are especially troub- led. Considering the tremendous number of small merchants this is a problem in which every one should be interested. There are for instance over 300,000 independent grocers m this country. To have their business wiped out would result in a tremen- dous economic appeal. All together there are over I,00O,000 small mer- chants in America who are vitally interested in this problem, as they will be wiped out if the chain store proves to be the legitimate method of merchandising.
 Personally I feel that this change is due to the fact that the chain store comes nearer to giving the public what it wants and prospers for that reason. If the local merchants will adopt the same up to date methods of economical merchandising he need have nothing to fear from chain store competition. These newer and es- pecially these self help establish ments are doing a splendid business because their plan is practical and because they are being operated by young men with initiative and enthu- siasm. The railroads did fine, busi- ness when they were so operated, 20 or 30 years ago. Chain stores, how ever, will have their troubles just as the railroads have had theirs. Clerks, truck drivers, and buyers will sonleg day be organized and as saucg and independent as the typical plumber is today. Then the chain store sales will drop off and operating expenses will increase and they will have to adopt more modern form of nier- chandising or give way to a new or der. The "self help" system elimin- ates labor difficulty to Considerable extent and presents most interest ing study both as to service and to cost . ...-
 !" "I appeal particularly to mer- chants of the older school and urge them to study very carefully these "self help" stores, with their "self help" service. It is true that the average merchant cannot get the advantage of collective buying unless he himself joins chain. Any mer- chant, however, can install ''self help" system of selling independent ly. Of course, this means more than < reorganizing the fixtures of his store He must change his entire attitude. The 'self help" stores for instance are very dependent upon advertising, much more so than are the chain stores and local merchants. The latter must advertise more than ever if he is to adopt the "self help" sys- tenn. I am not a merchant, merely a statistieian. Statistics, however, clearly indicate that if the local mer- chant continues as at present he will be eliminated from American indus try to make way for more modern machinery of distribution.
 "In regard to chain store securi- ties. Most of these merchandising companies should do we'll for the next few years. Mail Order concerns will also prosper, but I predict that even stores like the A. & P. will some day change over to a "self help" system. They will be forced to in order to survive. When the change is made their securities will become "self help' securities. 1t is not my pur- pose," concluded MT. Babson, "to recommend them as securities but rather to try to awake the local mer- chants before it is too late, and to get them to adopt the methods of more economical distribution which