DFPA Unveils Two Programs fo Stimulafe Dealer Sales

Three dealer-oriented promotions that ha-ve helped the plywood industry triple its sales ina decade-along with two new prog,rams that will be introduced in 1963were recommended for their value in fiehting the current competition/p.ofit squ"""r" in an address made to the annual convention of the Massachusetts Retail Lumber Dealers Association.

James R. Turnbull, newly-appointed executive vice president of the Douslas Fir Plywood Association, was the piincipal speaker at the December convention. trela at Boston's Hotel Statler ooCompetition probably has never been at a higher level and profit probably has never been at a lower level-for lotl of us," Turnbull said. "There are two possible ways out of our dilemma: Higher markups or higher volume."

He said his stafi has helped lumber dealers generate both greater volume and greater profit in "package selling."

He cited three examples of DFPA's work in this field: Vacation homes, farm structures and building components.

Can Charge Three Profits

The dealers who have used the promotional material supplied by DFPA for these markets, Turnbull said, have lifted themselves o'out of the fierce competition in boards and panels. You can charge three profits-on the material, the labor to assemble the package, and on the service you supply. So DFPA has helped increase volume and profits."

efforts are a survey of sheathing end-uses and a study of 'othe way plywood is identified."

TO STREAMTINE I.ABEIING

"We want to streamline our labeling to help the consumer get a clear understand. ing of our products, and we want to reduce the number of sheathing items you have to stock."

Turnbull said two major promotions are being prepared now for introduction in 1963.

.

Turnbull pointed out thar the plywood industry, has more than tripled it, .a1", since 1952. He said the answer was ,,effec_ tive, imaginative selling.,,

Turnbuil said there was no point in looking back at the mistakes or omissions that "forced our industries into this corner.,, He said DFPA has spent, in the last decade, o'over $34 million . . to help build up our volume, and yours."

He said current examples of association

He said market studies have indicated that home improvement ofiers as big a market for building materials as new homes and that the o'last, big, untapped home building market is among families that make $4000 to $6000 a year.'o He said DFPA would make it possible for lumber dealers to enter both these markets on a major scale.

"In both cases, financing was the first big stumbling block to be overcome. In home modernizinpl, liberal terms were avail' able through an FHA provision-but nobody was using it. We held a series of conferences. all over the country, to find out why. These meetings of contractors, dealers, Ienders and government people came up with the conclusion that a prohibition on discounts and origination fees made it impossible for lenders to use this provi' sion at a profit.

New Fha Ioan Poticy

'oSubsequently, FHA announced a new policy. Origination fees are now allowed, so this iool is available to you."