Average Stumpage Prices 



Reason for Selection of Buyer 



One of the prubleins in marketing forest products is the selection of 

 a buyer, that is, if there are several among which a choice can be made. 

 The present study attempts to show reasons why the buyer was selected 

 and, with that information, to present a comparison of results including 

 amounts received for products. 



In 15 cases the buyer was selected by the woodland owner because 

 he had a reliable reputation. Eleven other respondents gave other reasons 

 which are referred to in Table 5. 



Those who selected the buyer because of his reliable reputation (15j 

 received an average stumpage return of S8.55 per thousand board feet, 

 while those who gave other reasons (llj for their choice were paid S10.84. 



A study of the data contained in Table 5 reveals some of the reasons 

 why those who did not depend entirely on the buyer's reputation received 

 more for their product. First, they did not accept the first offer but sought 

 other buyers. Second, they sold more than one product which increased the 

 total value. And third, they secured bids and accepted the highest. 



The reasons why buyers were successful in making purchases from 

 forest owners are indicated under nine different categories in the table. It 

 shows the most common reason to be that of a reliable reputation of the 

 buyer. This accounted for more than half of the sales over a iive-year 

 period. The next reason is that the buyer offered a higher price. Twenty 

 buyers were selected on this basis. Six sales resulted from long time business 

 connections, three others because the buyer had the best location for de- 

 livery, two because the buyer would take marked trees and cut according 

 to good management practices, and two more because he would take the 



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Many woodland owners sell their products at local mills. 



7 



