S i; rr KM I'.ioK, lil2'J 



fi I. K A N I N O S IN n KK C U L T U R F, 



(juiility. Oiu' rotailor l)u.viiig tliis lionoy 

 at $4.80 u case will retail it at 30e a section 

 instead of 25e, securing $7.20 for the caso 

 instead of only $6.00. His profit then is 10<- 

 a section, or H3V:!% of the selling pric<'. 

 Some retailers e.xpect even a higher niargiTi 

 on comb honey, because of the loss from 

 leakage or inij)roperly graded honey. Comb 

 honey varies so much that it is a ditticnlt 

 matter to establish anything like a standard 

 selling price, either jobbing, wholesale or re- 

 tail. I Avisli to emphasize that comb honey, 

 not selling in anything like the volume 

 that most breakfast foods, table syrups, etc., 

 do, sliould be ;nid- is sold at a higlicr mar- 

 gin. 



Xow what is true 

 between the retail 

 and wholesale price 

 is also true between 

 the Avholesale a n d 

 jobbing and between 

 the jobbing and ])ro- 

 ducers' price. The 

 larger tlie vohnne of 

 sales, the smaller the 

 profit per case mav 

 be. 



If honey is selling 

 in carlots at 12c a 

 pound, a roadside 

 seller should not re- 

 tail honey by the 

 roadside at only a 

 cent or two cents 

 above the price in 

 carlots. Or speaking 

 of comb honey, if the 

 price of comb honey 

 in carlots is $4.50, a 

 roadside seller should 

 not sell that same 

 comb honey at $4.75 

 or $5.00 a' case. It 

 costs perhaps $1.00 a 

 case to sell comb 

 honey in a small wav. 

 The '25c or 50c, as 

 may be, cannot begin 

 to pay the cost of 

 making the sale. Fre- 

 quently the bare cost 

 of selling an article 

 is around 25% of its 

 first cost. The cost of 

 selling must be tak- 

 en into consideration 



when arriving at the selling in-ice. wlietlier 

 if be retail, -wholesale or jobbing. 



Where the ]iroducer is selling direct to 

 the consumer, he not only has the labor of 

 selling, but he also runs the I'isk of losing 

 the occasional bad account and he must se- 

 •cure the necessary publicity. All these costs 

 should be taken into consideration. Tlie 

 consumer, as a rule, ought to be able to 

 buy cheaper from a producer than from a 

 retailer, for the consumer is thereby paying 

 ]iart of the expense himself, such as trans- 

 liortation charges, storage, etc. Neverthe- 



less, it is a great mist.ake f'dr the ]pr(>ducer 

 to retail honey by the section or by the jar, 

 as the case may be, at anytliing" like the 

 price that he would sell to a wholesaler or 

 even to a retailer. If it cost $1.00 a case 

 to retail comb honey, that dollar should 

 certainly be added to the selling price. Too 

 many ])roducers forget this, and not only 

 lose the difference but they thereby jeopard- 

 ize their own business in the future and 

 that of their neighbors. Certainly they are 

 not asking the question, ''Am I my brotli 

 er's keeper?" 



It is not possible in tlie space allowed 

 liere to discuss fully the cost of canning or 

 bottling honey. Generally speaking, the 



30% 



This diagram .show.s where the consumer's dollar goes. The various costs 

 iciven here are based upon honey packed in ]4-ounce jars and distributed 

 ihroush the regular trade channel.-^. The costs will vaiv for the different 

 sizes of packages. In bottling for local trade only the broker's share job- 

 <hare and outgoing freight are eliminated, l)ut the cost of adv'ertis- 



ber'.' 



ing ;i!id other selling expense? 



us well as labor and u> 

 increased. 



e of machinery are 



smaller the package tlie greater the cost of 

 that package in proportion to the cost of 

 the honey. The above diagram shows how 

 tlie consumer's dollar is divided when he 

 buys honey in 14 oz. jars. If he buvs in 

 very small bottles, the cost of the bottles, 

 labels, labor, selling costs, etc., are still 

 greater in proportion to the amount of honey 

 he receives, but in larger packages these 

 items are proportionately less. 



I have made the statement that this is 

 the time for constructive, consistent and 

 continuous effort in selling honey. I will 



