Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-19
AUTO REGISTRATION
EXPECTED TO DROP
Motorists Association Pre-
diets Decline in Record for
the Present Year.
BY EDWARD w. MORRISON.
Special Dispatch to The Star

L
| Special Dispatch to The Star
| DETROIT, October 19.-Registration
OF motor vehicles in the United States
for 1881 will show drop from the pre-
ceding year for the first time in history,
according to a survey made by the
American Motorists Association.
In other words, for the first time
since 1895, a larger number of automo-
| biles will be junked than will be pur-
chased.
Total registrations, according to this
estimate, will be 400, 900 to 500 900 below
/ the 1880 figure and will drop below
26,500,000 for the first time since 1926.
Increased Gasoline Use.
The increase in gasoline consump-
| ton, according to this survey, indicates
| that car owners are making greater use
OF their vehicles than ever before. 1t
would imply also that the condition of
reduced registrations will not continue
for an extended period.
The present situation indicates
vast amount of replacement buying at
the first sign of general improvement
| in condition" said Thomas j. Keefe,
general manager of the motorists asSo-
citation. Knowing this, the automobile
industry is not discouraged. From the
standpoint of safety. the junking and
retirement from service of old cars will
have decidedly wholesome effect"
Automobile executives who returned
this week from the New York meeting
of the Automobile Chamber of Com
merce, at which the drawings were
made for the New York show, echoed
the feeling of optimism that has guided
the industry throughout the year
Detroit executives who attended the
New York meeting included Joseph
Fields, vice president of the Chrysler
corporation; Roy D. Chaplin, chairman
of the board Of Hudson; Charles Hast
!ngs, chairman of Hupp: Rufus Cole
vice president in charge of sales for
Hupp; Alfred H. Swayne, vice president
OF General Motors, and r. H. Grant.
vice president in charge of sales for
General Motors.
New Addition to Family.
incidentally the newest addition to
the family of automobile manufacturers
was awarded space at the New York
show. The allotment was made to
George NJ. Graham in behalf of the yet
unnamed company which he will head
II: the production Of another low-priced
six.
The extent to which Mr.. Grahams
announcement of a new car has aroused
interest is indicated by the fact that
within a week after his first statement
he received more than 5000 inquiries
from dealers, and the number has con-
tinued TO grow constantly since that
time. This response is interpreted in
Detroit to mean that dealers believe
there is a latent buying power that is
yet to be aroused, particularly in the
low priced field.
Two months operation Of the new
plan by which the Granam-Paige COM
pany shared with dealers the cost OF
paying salaries to new dealers has been
highly satisfactory, according to G. w.
Matheson, the Graham-Paige sales man
ager The purpose of the plan, an inno-
walton in the. automobile INDUSTRY,
where dealers have always stood the
cost of salesmen's salaries and commits
sions, was to discover and develop
productive personnel during the slack
selling season in order that the dealers
might be prepared for the return OF
heavy sales.
Plan Was Experiment.
This plan was of course, an expert
ment." Mr. Matheson explains, since 1t
was the first instance in the automo-
bile industry of factory sharing IN the
paving of retail Salesmen's salaries ana
the first attempt to put motor car sales
men on a regular income basis through
factory cooperation. It Is the general
nractice in the industry to let the dealer
take the entire burden Of maintaining
a sales force. While that system Is
sound in normal times, recent conditions
made it impossible for some dealers 10
maintain a staff of statesmen In prepa-
ration for the return of business.
"Dealers were permitted to give eacn
salesman three weeks test IN oroer 70
determine whether he would produce
Naturally there has been a large Turn.
over. which was to be expecteo-p.ui.
while many failed to prove theH Woiim
W. m this neriod. many others quickly,
demonstrated their real selling aolllty.
(Copyrisht, 1917