FORTY-FIFTH ANNUAL REPORT. 65 



do not tend to concentrate, but to scatter. This gives us an expensive 

 multiplicity of small stores. Convenience goods can get only a portion 

 of the possible business unless they are handled through all possible 

 channels. The problem in selling perishables, as with most staples, is 

 to reach a ])articular class through a certain type of store as might be 

 possil)le with fancies or specialties but to reach the hoi poUoi through 

 every possible lane. 



In merchandising Sunkist oranges we not only desire to have them 

 handled by all of the three hundred thousand retailers of this country, 

 but we want them to be pushed by restaurants, hotels, and the dining 

 car service. AVe want them to be served as orange juice in drug stores 

 and soda fountains. In merchandising our lemons, we even go so far 

 as to supply barbers with cards, saying '"Try Sunkist Shampoo." The 

 greater the nund^er of channels through which perishables are handled, 

 the greater the number of points of contact with the ultimate buying 

 public. If there are twice as many opportunities or temptationsi for the 

 consumer to purchase them, and twice as many chances that the fruit 

 will be disposed of. 



Tendency of the Retail Grocer Field. Hard times have overcome the 

 grocer. He occupies a lower place in his community than ever before. 

 The grocery business does not hold such attraction for those who were 

 formerly engaged as clerks. A boy just out of high school would rather 

 drive a laundry automobile than he would to weigh out Michigan beans 

 and apples. The result is that the type of clerk is lowered, which goes 

 along with other factors to increase the waste and stealing. The less 

 efficient clerks there are, the less business secured and more extrav- 

 agance. There is a higher cost of doing business today than ever be- 

 fore. Probably the most important factor is the exacting demands of the 

 present day consuming public. We want things put up in individual 

 packages; we want our credit carried for several weeks; we want the 

 grocer to throw away everything which is not absolutely in first class 

 condition ; we Avant him to take our order by telephone and be responsi- 

 ble for anything he delivers. We want him to deliver our products to 

 our doorstep in any quantity and at any time of the day, but we do 

 not want to ])ay for this service. This is the cause of high living. It is 

 probably worth all that it costs, but very few are willing to meet their 

 share. If we are in New York, we would rather go into Charles & Com- 

 pany on Fifth .Avenue and order a yeast cake than to buy it of our 

 corner grocer, because we like to have our friends see us frequenting such 

 places, and we are delighted to have our neighbors see Charles & Com- 

 panys' auto delivery wagon stop in front of our door while the liveried 

 attendant delivers the yeast cake. 



There are three things which the grocer must do if he succeeds. He 

 must sell what the people want in the way people want it sold and in 

 the kind of store in which people like to buy. In order to decrease his 

 overhead cost and make it possible for him to secure a large business, 

 he must aim to work on a small margin and work uj) a volume of trade. 

 It is a continuous cycle— more business — lower overhead — better qual- 

 ity or lower selling price — increased business, and lower costs. When, 

 he gets a volume of business, he is then ready to branch out andi is 

 then ready to form a chain of stores. 

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