232 MANAGEMENT OF DAIRY PLANTS 



smaller quantities and can usually market greater quantities 

 to best advantage. A creamery located close to a railway sta- 

 tion may be able to market its output in smaller lots to advan- 

 tage. Third, by the quantity of finished products to be sold and 

 the prices obtained from the various sources. Some small 

 creameries have been able to turn their entire output over to 

 large dealers, obtaining as much therefore as could be obtained 

 through a market of a more local character, and thus saving the 

 cost of establishing a special market which would necessitate 

 the keeping of additional records and increase losses due to bad 

 accounts. Fourth, by the business experience of the manager. 

 If he has no experience in marketing, in keeping a systematic 

 set of records, or in collecting accounts, then the simplest 

 method of selling the product may be the most profitable. 



I. Selling Direct to the Consumer. This system of market- 

 ing is practiced to only a limited extent as it is a more cumber- 

 some method of establishing a market; the cost of selling is 

 higher and the credit risk becomes greater. Moreover, the 

 manufacturer as a rule is a poor retail salesman and lacks the 

 connection with the consumers which has been established by a 

 regular retail dealer such as the grocer. The retail business 

 cannot be eliminated entirely. The milk and cream patrons 

 deliver the raw product at the creamery and often take butter, 

 cheese, or ice cream as part payment. In some towns it may 

 seem advisable to cater more or less to retail customers, espe- 

 cially if ice cream is manufactured. The market milk plant will 

 naturally dispose of the greater amount of its output to the 

 consumer direct. 



II. Marketing Through Retail Establishments. The re- 

 tailer is dealing with the consumer direct. It is his business 

 to cater to the wants of the consumer and he becomes a special- 

 ist along that line. A retailer, such as the grocer, handles 

 numerous lines of goods and will usually make deliveries to the 

 consumers at frequent intervals. He will therefore be able to 

 sell at retail and deliver such products as butter and cheese at 

 less cost than can the factory operator. Ice cream, due to its 

 perishability, is usually marketed from the factory direct to the 



