22 BULLETIN 639, U. S. DEPARTMENT OF AGRICULTURE. 



Table XVI shows that the cost of delivering a quart of milk in the 

 city is dependent upon many things besides the average number of 

 quarts delivered daily by each delivery wagon. The most economical 

 delivery was effected by a dealer who sold bottled milk exclusively, 

 but delivered in relatively large quantities to retail stores only. The 

 dealer whose delivery cost per quart was the highest had comparatively 

 small average sales per wagon in relation to the proportion of sales 

 made to wholesale trade. The figures suggest possible economies in 

 milk distribution . if all sales were made through the medium of 

 established retail stores. The table, however, does not indicate the 

 cost of delivering to the consumer by the retail stores. 



The item " investments in delivery equipment " includes horses, 

 barns, wagon sheds, automobile trucks, delivery wagons, and sundry 

 articles used in delivering milk. The reasons for the wide variations 



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Fig. 8. — Relation of size of business to fluctuations in daily sales at wholesale and retail. 



in delivery investments per gallon delivered are the varying propor- 

 tions sold at wholesale, and the fact that some of the larger dealers 

 had unusually high-priced horses and very costly stables. Such un- 

 usually large investments in delivery equipment are maintained for 

 advertising as well as for direct utility. (PL III, fig. 2.) 



Figure 9 illustrates the cost of city delivery in relation to amount 

 of sales on 14 city delivery routes. Routes Nos. 1, 7, and 9 were en- 

 gaged in a strictly wholesale delivery of bottled milk to retail stores, 

 restaurants, and hotels. The business on the other routes consisted 

 mainly of retail delivery at the family door, with only a few de- 

 liveries to grocery stores. 



The heavy line in the figure shows the variation in the value of 

 daily sales on the routes. Pasteurizing and bottling expenses at the 

 city plant are included in the item " cost of goods." The item " cost 



