Cash Box Page 4 Week of July 1, 1946 IS THIS INFLATION OR a NEW PRICE ERA ?
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eiL. Mu. , 1 .C52^ V > 7, Rto ‘ . 3 - ^lAy I . (^4fc So , THE CONFIDENTIAL WEEKLY OF THE COIN MACHINE INDUSTRY That’s Why Every Location Owner Will Want a WurllTzer • Every man, woman and child in America who reads, rides or walks is seeing Wurlitzer’s i national advertising on billboards coast to coast — in full color pages in the Saturday j Evening Post, Collier’s, Look and Liberty. All rare being told to look for Wurlitzer’s Sign of It’s the greatest business-booster ever offered the Musical Note to find places where they location owners. It’s a tremendously effect- can have fun enjoying Wurlitzer Music. ive location-getter, working day and night for Wurlitzer Factory- Approved Music Mer- chants. The Rudolph Wurlitzer* Company, North Tonawanda, New York. *The Name That Means Music To Millions WuruTzer Wurlitzer’s ^'Triple Action” Advertising Campaign will reach htrfh9jy,..ivtrfwhcrt EXTEND ITS 1 feffarBffra'rfi p=!»S=!i.j=:;;j!=:/iip=;i|-e3 wgj=:rrr&'nT3is It »eFtttt wAKtwe stt-ecTiows j •2-OftSPlAI Vol. 7, ISo. 41, Serial JSumber 249 Week of July 1, 1946 By Bill Gersh The problems which confront the industry today, and This, too, will prove itself true in merchandising of which seem so vast and so incurable, are but of picayune almost every type of salable product. There will be mer- stature. They will be solved rapidly and with dispatch chandise machines which will feature food, drinks, within a reasonably short period of time. necessities of all and every type. This is coming just as surely as men grow old and die. For this industry has This industry has only just begun to grow. It has just begun to grow. been groping forward to a new greatness. It has felt, somehow, held back within itself. It seems ready for This business is headed for its greatest recognition and great expansion—^yet, somewhere, something seems to acceptance. It must, whether it does or does not so de- be pushing against it. sire, become a great leader in a great country of great industries. It is so destined because it is so efficient and Most of its members have their noses pressed too so economical and because it does the one thing better closely against the trees. They should step away to and easier and simpler than any other method yet been gain the full view the full significance of the great — known to man—it merchandises itself—silently and with possibilities which this field presents to them and to all completeness—to such an extent that the nation’s leading the business world. purveyors of food, drinks, necessaries of all types—have come to recognize it as their future method for efficiently Nothing new has been presented to this industry with and economically merchandising their products to the the opening of the post-war period. The same juke boxes, world. in more glamorous coat, are still here. The consoles, slots, arcade machines, merchandise vendors and service This industry has just begun to grow. These short equipment—are exactly what the trade knew years be- spasms of production lags—these small problems which fore the war. seem to so stifle this trade today—are but the growing pains which will soon solve themselves to help make this There have been a few new types of machines talked a greater and grander industry for tomorrow. about, and some shown—such as the frozen food, the hot dog vendors and a few others—but nothing yet which would mean the great development all looked forward to when the war was finished and the post war era got under way. All these problems of production—all these problems of sufficient supplies—will soon be cured, as man and nature combine to cure them. But, the bigger thought is that this industry has just begun to grow. Coinmen with vision, look forth to the day when this groping, especially in the coin operated music field, will have settled itself down to a single residue in the present boiling pot. When one type of equipment will replace what is today known as a juke box, as telephone wired music, as non-selective music and all sponsored and piped music into one type unit which will serve all these pur- poses and will, perhaps, televise itself to locations. There is a time coming when music as it is known today, will look like the buggy with the fringe on top compared to the jet plane type of automatic music of tomorrow. PUBLICATION OFFICES 381 FOURTH AVENUE, NEW YORK 16, NEW YORK And this is not solely confined to the music field. There ALL PHONES: MUrray Hill 4-7797 will be amusement products the like of which this in- CHICAGO OFFICE dustry never before dreamt of. There will be games of 32 W. RANDOLPH ST., CHICAGO 1, ILLINOIS a new and surprising type which will attract great atten- HELEN PALMER, Mgr. ALL PHONES: DEorborn 0045 tion and gain great followings. There will be amuse- LOS ANGELES OFFICE ment palaces of such outstanding attractiveness that the 422 W. 11th ST., LOS ANGELES 15, CALIFORNIA present members of this industry will gaze at them with hushed awe. MARSHALL MICON, Mgr. ALL PHONES: PRospoct 2687 I \ \ i I I •I j i i The Cash Box Page 4 Week of July 1, 1946 IS THIS INFLATION OR A NEW PRICE ERA ? Are Present Prices Indicative of the Coming '47 Market? Should Coinmen Stop Looking Back to Pre-War Prices and Accept Present Market Prices as Those of the Future? NEW YORK — There is a belief now machines which have been presented definite marked effect on the present current among many in the industry that have, each time, gone up higher in price. market price? All are in agreement that present price situation is not actual the Some equipment quoted at a certain price, a new price adjustment period is under inflation but rather a deflnite indication when introduced, has been increased more way and that this will not become notice- of what can be expected in the future- than once. This is to be expected as able until full production gets under way in regard to prices for all types of new labor wins more wage victories. The.se again. and used equipment. wage victories hike the prices of all ma- Whatever loss will be taken on the Their belief is that for too long many terials. Therefore, all prices must go up price of used equipment will first come in the trade have been basing their to meet this new labor price level. into effect sometime after production is thinking upon pre-war prices. These well under way. Some are expected men claim that no such thinking holds At the same time the law of supply to be caught short, but according to the good anymore — and that the industry and demand continues to function in economists of the present day this will should accept the present price situation each instance. While the demand is so — only be due to the fact that buyers v/ill in an entirely new light—as that of the great and the supply so short—naturally, tighten up as supply meets forthcoming post-war production era. prices will remain at a higher point. This demand on new epuipment and therefore price is one law which cannot be defeated just — the Some claim that this is an “adjust- of used machines is on the whims and fancies of a few who bound to crack to a ment period”. By that, they explain, certain point from would like to see all prices suddenly fall — which point on they mean that coinmen are now becom- prices will probably remain back to pre-war levels. There never again stationary. ing gradually accustomed to the prices will be equipment priced at such levels which will prevail in the years to come The average coinman foresees that the —if present wages for labor remain and that no new price set-up can even new machines, selling at the present what they are. be visualized. They feel that the present prices, will never fail to the low prices which they did during the pre-war so-called “inflationary” trend is really a But, as can be well imagined, prices period. After all, they must maintain some base “price adjustment era” which all industry will break to a certain extent when full where they will level off. The is undergoing. production again gets under way. This average drop of 50 per cent of the new will be due to the fact that factories, machine These men also state that the trade price in six months can be now turning out 50 and per expected, but with the 60 machines will go forth just the same even this price is far, far above what the week will, with the same number of men, prices at new high peaks as it would price of pre-war used machines perhaps turn out ten and twelves times were. were the prices to return to pre-war that many which, of itself, will lower status. They base their judgment on the There is, therefore, in, the belief of production costs and thereby reduce fact that the average worker is today leading coinmen much misunderstanding prices to some extent but, not to pre- going into a much higher wages bracket — at present as to what can be considered war levels. Used equipment will then and that this alone will hold up the prices “inflation” and what can be considered follow the trend of the production sup- of many products to meet increased to be “the new price period”.