W'hat Has The Past Year Meant to You and Your Business

By Floyd A. Dernier Lut'rbernrents Serwice Association, Los Angeles

To many lumber dealers it was jtst another year wasted awav. *orxir,g and planning to mike ends meet' While to ;it;"! it i.pt&."t.d -ot. irofits and greater opportunities for the future.

One lesson lumber merchants have learned is' that tfrrough co-operation there is strength, -and with a united force "ioncenirated on a purpose, results can be accomplished.

During the past year more constructive work has been started ind m-ore progtes. made toward eliminating evil a"a u"ethical practices- within the business of merchandising b"ildi"g materials than in many years, and the gratifyini results "cannot help but strengthen association work and *it. """tt individual'member riore willing to assume his part of the duties and exact from him a promise to conduct ti" bosiness in the same manner he rvould like to see his comoetitor oDerate. Confidence more than any other one thing can ani rvill bring about a universal merchandising ti.ti*, *t ere all rules o"f selling will be e.qual-a number.1 board is worth just as much in one man's yard a-s it ts tn another, plus transportation. There are no- good reasons for deviating from prices that are proven to be fair to dealers and custimers any more than ih Stetson hats, Nettleton $hoes, Ford automobiles and thousands of other staple commodities.

The days of pencil pushing in the lumber business, cheatins yourself in-order to take business away from someone etJe, is fast becoming a thing of the past. Experience-has taught that regardless of youi pencil pushing ability, others through lack of cost knorvledge will go you one better and ofier -their merchandise at or below replacement value, representing another sale consummated at a loss to the indultry of which you are a part. Any man who represents himself as a saleiman, whelher he be owner or employee, that hasn't pricle enough in his ability to make sales that reflect legitimate profits, has no business merchandising building iraterials-his place is back of a counter wrapping up com"modities that have been priced by someone else who understands what each item must be sold for to show a profit. No salesman can get a kick out of, or be proud of iales in which the publiJdictate the sales price,-o!--the other hand, every sile cotttu-mated through your ability as a salesman to properly explain the merits of your- goods and service makei you i bigger and better man' self confident, respected by all because yotl are a succbss, honest rvith yourself, your employer and the buyer'

Merchants in every line are fast learning that -only through association rvork. consistent advertising and helpful service can profitable business be created.

You must let the public know what you have to offer that they can use-and the more attractive vou can feature your meisages the greater will be their appeal. A certain lumber mirchant right here in Califoinia recently told the writer that over 65 per cent of his business was attracted to him through newspaper advertising, printed Bungalow Books and his complete plan service. Twice each week he carries an illustrated advertisement in his local paper, showing exterior and floor plans of an attractive home with a message advising he has arranged with a competent contractor to build this particular home complete, ready to occrlpy for a given amount of money. The price includes everything-plans, finances, materials and labor. Before this plan is featured in the paper the complete plans are procured-they are then turned over to one of his contractors to figure, after this they are submitted to the Building & Loan Company: every.detail is arransed for before his pany; arranged ppears in the paper. Certain allowances are proposition appears paper. Certain made in the specifications which permit t the prospects to select their own hardware. electric and plumbing fixtures, etc., and the business created is divided betrveen his contractors. In this rvay he is able to keep them constantly employed and he is disposing of his materials at a nice profit. All business consummated under this modern method is non-competitive to both himself and the contractors. After all his operations are simple and the wonder is that more lumber merchants do not conduct their business along this same line.

The public are, always have been and always will be, rvilling and anxious to entertain propositions regarding Home Building Service-they are not interested, however, in the prices of the various units necessary to complete buildings to meet and care for their requirements; what they want to knorv is just what it is possible for them to get for the amount of money they are able to invest either in cash or obligation.

It is easier to interest home buyers in a plan to build for them just rvhat they rvant than it would be to sell them a place already built, and yet, speculative builders and cornpanies dispose ol several thousand homes right here in California each year simply because lumber merchants do not offer any opposition.

Most lumber dealers give more thought 'to curtailing rather than investing money in creating business-this is a serious mistake. You have a very substar,rtial investment in your business, a certain fixed overhead that must be maintained regardless of the voltime of business you do, so that any inveslment you make in plan books, plan services and advertising applied to your business to increase sales cannot help but be very profitable.

Just try a plan of appropriating a given percentage of last year's business to be used in creating new business. then'be consistent and spend this same percentage each year regardless of how large it may amount to.

Remember, in every community there are a certain number of dollars available each year for investment. Are you making as strong an appeal to attract these dollars to your front door as the othei-business interests of vour town?