CANTALOUPE MARKETING IN THE LARGER CITIES. 



13 



From Table 4 and from the records of the three cars shown in 

 Table 5 it can be seen that the average commission merchant and 

 wholesaler suffer along with the shipper as a result of low prices and 

 a sluggish market. 



Table 5. — Sales records of three ears of cantaloupes of poor quality. 



Freight 



Refrigeration 



Cartage 



Commission 



Net to shipper... 



Gross sales 



Car 1. 



$84.00 



57.75 



7.50 



10.63 



.46 



166.34 



Car 2. 



$97. 1.5 

 50.00 

 7.50 

 13.44 

 23.91 



192.00 



Car 3. 



$151.71 



27.55 



7.06 



18.09 



54.04 



258. 45 



The first car contained 300 standard crates of Arkansas cantaloupes of poor quality which arrived on the 

 market green; 125 crates spoiled and were a total loss. 



The second car contained 769 flat crates of Rockyford, Colo., cantaloupes which arrived in poor con- 

 dition, spotted and soft. 



There were 866 flat crates of Colorado pink meats in the third car which were held on track two weeks 

 before being sold because of an overloaded market. When unloaded, they spoiled quickly. 



In a poor season like that of 1914 the cost of handling perishable 

 goods is as high or higher per car than is the case in a year when the 

 market is in a healthy condition and prices are good. On the other 

 hand, the average returns per car to the commission merchant are 

 lower, since his gross sales, on which his selling charge or percentage 

 of gross profit is based, are greatly reduced. The wholesaler who 

 invests his money in the outright purchase of the cantaloupes must 

 do his regular work of handling a car under conditions which reduce 

 his profits in a marked way. The slow movement of the fruit means 

 greater loss through deterioration, while the heavy receipts of melons 

 often compel him to cut his prices in order to effect sales, thereby 

 reducing his margin of profit. It is a well-known saying in the 

 wholesale and commission trade that no one makes money when stuff 

 is cheap, a statement which has been born of long experience. As a 

 rule, the losses occasioned by a poor year are felt less keenly by the 

 jobber and retailer. They buy in smaller quantities from day to 

 day, and their financial risks are therefore much less. 



From the data in Table 4 the gross margins of the retailer of canta- 

 loupes may appear excessive. The average retailer is burdened with 

 high overhead charges not generally appreciated by the public at 

 large In most cases he operates under heavy expenses, such as rent, 

 clerical, delivery, and telephone service, the comparatively large 

 expenditure for accounting due to the wide extension of credit, and 

 the actual money losses which result from worthless accounts and the 

 deterioration of the perishable products handled. 



