more. The average number of buyers was three. Fifty-seven owners said 

 no marketing efforts were needed. Some of these were due to their rela- 

 tionship with a manufacturing plant or because of retail selling. Four- 

 teen producers averaged 18 hours per month on sales. No mills classed as 

 producers had salesmen on their payrolls. 



Yards (stocks of lumber on hand) are essential especially when small 

 volumes are sawn, as with hardwoods. Nearly half their volume. 46 per- 

 cent, was sold from yard stocks. These yards ranged in size I total volume 

 of hardwoods and softwoods ) from 50,000 bd. ft. to 2.5 million bd. ft. 

 About 29 percent of their total sales were "on order" but only a very 

 small percentage was hardwood lumber. 



Over 80 percent of their sales consisted of single orders which may be 

 renewed by the customer if he is satisfied. Cash sales are preferred and 

 usually obtained. Producers reported that "buyers come to my mill' as a 

 major reason for choosing particular buyers or customers. Other reasons 

 in order of occurrence were: long standing business connection, buyer 

 will take all grades, and best price offered. Thus lack of selling efforts by 

 the operator is understandable. An owner's time is spent procuring 

 stumpage and operating the sawmill. 



Because several buyers usually visit a mill the operator is not at a com- 

 plete disadvantage in obtaining a favorable price for his stock. Sawmill 

 operators are thus freed to put their efforts in other areas than selling. 

 This reduces the need for additional overhead and results in cost benefits. 



Industrial Purchasing of Lumber 



This study of lumber purchasing practices reveals the potential of the 

 industry as a market for locally produced lumber as well as that shipped 



Table 9. Wood-using Industry Purchases by Kind of Industry and Source 



(Thousands of board feet) 



10 



