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Survey. Finds U.S. Industry Not Reoching for 'Pqnic Button'

American business has wrestled with the "hard sell" in only two short periods since the start of World War II -1948 to 1949 and 1953 to 7954. Now. in a business climate of cutbacks in inventories and capital spending, most companies are well into the third "hard sell" period. To find out what American business is doing abbut it, Dun's Review and Modern Industry surveyed 50 companies across the nation. These findings are detailed with case history illustrations in a major article, "strengthening Sales in a lagglng Market" by Thomas Kenny, mirketing editor, in the March issue of the magazine.

fn summarizing the survey results, Kenny states, "No one is reaching for the panic button. Few are embarking on crach programs to revive sales. Instead, most are intensifying their regular selling efforts, while some are developing new approaches to ride out the recession."

One of the more dramatic case histories cited in the article is the case of a goodsize metals manufacturer, who prefers to remain nameless. This company has hit upon a new combination of marketing techniques. It was the only major producer in its industry to chalk up a higher net profit in 1957 than in 1956-and it is sure that 1958's sales and profits rvill top 1957's. The theme of the company's program is no cost reduction in the selling effort. While other activities of the company have been cut

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SASH AND DOORS

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Of course, this list doesn't in ony sense exhousl the possibilitias ovoiloble io monogement. Componies olso specify such miscelloneous meosurE3 o5: o Weeding out unoggressive ogenis qnd distribuiors

O Eliminoling slow-noving products

O Putting out new models eorlier thqn usuol

O Better pockoging

O Liberolizing credit terms

O Using truck-lroilers to demonslrole producis

O Increosing the use of premiums o Keeping solesmen better informed o Absorbing freight chorges ond trimming pricer back to the bone, the go-ahead signal is on for spend- ing in sales. This, of course, makes the need for selective and effective spending to boost sales more important than ever before. With the increased advertising _budget, the company has plans to step up its spending for market research and sales analysii in order to keep a close checkback on critical spending.

Fortunately, the company anticipated the turndown in the national economy some months before it became apparent to most people. As a result, the company began adding to its sales force early and now has ab,out 3/o more salesmen'than a year ago. At the same time, management has been cutting down the size of sales tet'ritories to help salesmen work their territories more intensively.

From the survey results, Kenny has prepared the following eight-point checklist of specific sales stimulants and

Soles illustrates each with case histories. These stimulants are being put to use by several companies-and may be of help to others.

1. Make everyone a salesman.

2. Seek out new distribution channels

3. Conduct special promotions

4. Move into growing markets

5. Develop new products

6. Keep advertising strong

7. Turn the slowdown to your advantage

8. Stimulate personal selling

Also included in the article are the results of a soecial Dun & Bradstreet survey of nearly 1,200 manufac[urers and wholesalers in 38 states who were asked. "Are vou making a special effort this year to maintain or build your sales volume ?" On page 64 are the answers which came from a wide variety of lines ranging from asbestos to zinc.