Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-12-18
TRADE.
TO PUSH CAMPAIGN
Vigorous Sales Drive Expect
ed to Stimulate Replace
ment Demand. 4
BY DAVID J. WILKIE,
Associated Press stan Writer.

DETROIT, December 1s.-Seekins q
substantial foundation for the returning
prosperity it believes already in sight.
the automobile industry intends that
the vigorous sales campaigns soon to be
in fun swing shall be made on the basis
OF dollar value. There is to be no an
peal on the "buy-now-and-he lp-busi-
ness" basis.
Leaders of the industry saw there is
no need for an appeal on the latter
basis, the results of which would be
only temporary at best. They are con-
vlnced-many of them Say-that tie
three-Sided combination of the great
est dollar value the automobile industry
ever has offered, a sales drive without
parallel in its history and a steadily
growing accumulation of delayed re-
placement buying which soon must be
released, promises a volume of business
aggregate OF 1928. The total production
of two years ago was 100000 units,
with a wholesale value of So, 1862, 798, $50.
Improvements in Cars.
All along the line, from the most ex-
pensiye to the cheapest models of auto
mobiles, mechanical improvements have
been made and refinements have been
added that normally would call for
price increases In the face of restricted
buying power, however, price increases
have been taboo. Instead, the industry =.
has effected manufacturing economies
enabling it to improve its product with
out increasing the price to the con- Z
sumner.
That the sales campaigns will be the
most vigorous the industry ever has
seen appears evident from the prelim-
mary work of schooling provided the
merchandising organizations by the
manufacturers. The drive for sales will
present something OF a contrast to the
prosperous period when the would-be
buyer was told that he might obtain
delivery from three to four months
after placing his order. Delivery dur
ing the coming months Is more likely
to be a matter of few hours, If not a
drive-away proposition.
In virtually every statement given
out or address made by an automobile
executive stress is placed upon the i'm
portance of the delayed replacement
buying, which ultimately must come
into the market. Calculations are made
as to the life of the average car; its
ultimate value If kept in operation be-
You'd a certain period is analysed, and
statistics are assembled in an effort to-
determine how much longer motoret
without a job makes his car last by not
driving it.
Always the analyses have the same
objective-how long can the owners Of
worn-out, or nearly WORKOUT, cars
withhold their orders for replacement?
Production CurtaiIed.
1t is, after all, the replacement mar
ket that the industry is counting upon
for the recovery expected to J. come in
1881. 1t is this replacement, too, that
inspires most of the confidence with
which the industry looks forward to the
coming year. The longer the replace
ment market is closed, automobile lead
ers say, the greater it will be when 1t is
finally thrown open.
Notwithstanding the optimistic state
ments, production is being held In
check, and with the exception of thote
companies that have just swung into
new model output, further scaling
down has been apparent. This cllrtail-
ment has gone somewhat beyond th@
usual seasonal reduction in keeping
with the industry'S determination to
enter the new year with only an abso-
lutely necessary surplus. In all cases,
however, the factories are ready for the
production of whatever retail demand
dictates.
The Ford Motor Co., which has been
on a hree-days-a-week schedule for
the last three months, announced a
complete shutdown, effective today, in
line with its usual policy of suspending
production at this season in order that
an inventory may be taken.