SALES RESISTANCE

Southland Times, Issue 22999, 19 September 1936, Page 3

SALES RESISTANCE

OVERCOME BY BRANDING.

In a recent American investigation 186 executives of department stores were questioned as to their attitude to branded merchandise.

Of all 18G executives interviewed only 43—or about a quarter of the total —stated that they were not influenced by the manufacturer’s advertising when it came to stocking merchandise. Sixty per cent, of the 143 remaining store executives answered definitely that they would stock a product because it was advertised by the manufacturer; while 12 others stated that this was “sometimes” a consideration.

The advertising manager of one of the oldest retail organizations in the country said: “We frequently stipulate that a product shall be advertised before we stock it. Also, we stock many lines because manufacturers’ advertising has created a demand for these products which forces us to carry them and which makes selling profitable.” Of the 44 managers interviewed, 16 subscribed in general to the above stafement—that they were accustomed to stocking a product not solely because that product was advertised, but because the advertising had created demand which made it necessary or profitable to stock the product. One advertising manager reports: “We do not stock a product simply because it has been advertised, but because we get demand for that article as a result of the advertising.” Another says, in answer to this question, that while advertising is not the sole reason for stocking certain merchandise, it “is an additional inducement, because it makes our selling easier.” Still another reports: “For the last few months our sales have shown a marked improvement over the corresponding month a year ago. An analysis has shown that most of the products upon which we have made our best increases have been those which have been advertised nationally.”