PRINCIPLES OF SUCCESS IN TRADE.

Colonist, Volume II, Issue 202, 27 September 1859, Page 3

PRINCIPLES OF SUCCESS IN TRADE.

The following judicious and. practical hints are taken from a Lecture delivered at Crosby Hall, London, by Mr._Alde'rman Mechi, and appended to his recently published volume on Agriculture :— Value of CoNXiDENCE.-r-There is no tie so strong in worldly matters as self-interest; therefore, if you act with integrity to your customers, if you have the ability to obtain and place before them the article they require, with the necessary accompaniments of civility, attention, and good feeling, you will win their confidence and connection. I have alwayß found it advantageous to treat my customers with the utmost latitude of liberality in regard to their exchanging, or even by returning the money for an article not approved. In fact, I say to.them, ' Do here as you would in your own house ; please yourself if you can.' Thus liberality begets liberality. I have seldom found it abused —except occasionally by a churl who is neither satisfied with himself nor anybody else. A rigid . and prompt attention to jobs, or small matters, is very essential, and too often neglected ; and yet customers are as often offended; by these neglects as by more important on.s. Confidence is a plant of slow and careful growth; but when you have, the confidence of the people, again remember it may be lost. If, in full reliance on thisconfidence, you relax in those sound principles which obtained it, you must expect a retributive reaction. Your old friends, your customer., will complain, and perhaps hope and believe the first offence arises from accident; but they will never forgive you for a second abandonment of just principles. Stock.—The accumulation of old stock ruins many a tradesman. His taste and judgement are inferidr to those of his customers; they reject the untempting, though oft-tendered, and consequently old-fashioned or deteriorated article. A great evil attends this. The buyer is disappointed ; he purchases from a more able and successful contemporary who, probably, secures his custom in perpetuity. Remember to watch a hanging article; it may be much approved, but appear too dear in the public view. If you, are assured of tbis, reduce the price at once either to or below cost price, and avoid the pattern for the future. Every wise man will take stock of his goods at least once a year; he will value them, if well bought and in good J saleable order, at cost price; but if old or unsaleable stock, the value at which they could be then bought should be taken to exhibit the real state of his affairs. Young beginners are apt, naturally enough, to be too sanguine and hopeful; but remember (until you have ascertained your average weekly or monthly sale) to err on the safe side by ordering too little rather than too much; you can always add to them when necessary. But suppose you are satisfied about the amount you should order, the next and most important consideration is the classifitation of your stock. The public are very good judges of what suit 3 them, and generally leave you an abundance of what they don't want. It may be either in quality or price. A wise tradesman will endeavour to allot his capital in fixed amounts to the various branches of his trade, with a view to his own convenience and the wants and wishes of his customers; and this is no easy affair in an extensive trade, particularly where there are frequent changes of fashion. Take especial care never to be short of the running or everyday article.. Attraction by Display.—Experience has taught me that, with all articles of luxury or taste, it is good policyto devote a considerable portion of your capital to plate-glass and elegant cases. I have, therefore, as far as possible, discarded drawers and boxes, and substituted the visible for the invisible. Thus, whilst you are busily engaged, your customers' eye may be attracted by some object which presents itself to view, whereas, if immured in a drawer no such pleasing result could take place. _ Cleanliness.—Above all things, in our dirty city, is cleanliness. It will pay you, in a fanoy business, to wash down your front once a month, and re-paint the whole outside once a year, Which is my practice. Of course the outside, so far as it can be reached, must be washed down every morning—the windows cleaned everyday. Some of our draper's shops are good examples in this way.' It need hardly be said that the personal appearance of the shopkeeper and his shopman should harmonize with the other ar> rangements. Finance.—Beware of over-trading; it has ruined thousands, from the humble shopkeeper to the greatest merchant. However large your capital, if you overtrade your are lost; for, either by over-stooking, or by giving undue and and unlimited credit, embarrassment must overtake you. Credit is capital, if properly used. In all trades, particularly if expensive, take stock annually at least, with an account of all you owe, and all owing to you, keeping a separate account of your personal or private expenditure; and bear in mind that, without being miserly, it is consistent with comfort and independence to spend rather less than you get. Whilst it is your duty to be punctual in your own payment, it is equally sound policy to collect at regular and stated periods the debts owing to you. Accounts do not improve by keeping, and no honest man will object to pay when called upon, when in his power. Remember that this is a world of vicissitudes and changes, and that a good debt now, may, by force of circumstances, be worthless three months hence. . Collection of Accounts.—There is nothing which causes greater loss to a tradesman than an arrearage of book-keeping, and a neglect of regularly collecting accounts., Cost what it may, make it therefore, an infloxible rule to have your books posted daily, and your quarterly or other accounts sent out at the exact period. Then come 3 the difficulty of collection. You may have to call twenty times or more ere you meet with your debtor; so, do not depend on the casual use of one of your shopmen, but devote a specific time and person to the collection, even if you pay a commission. It may be a good policy to do so, taking care to employ an honest, regular man. Having collected your accounts, take ; care to enter them as paid. Nothing gives more offence to a customer than an application for a paid acoount. If you have doubtful or bad debts, transfer them to a separate book, and don't estimate them in your assets. Oeder.— * Order is Nature's first law.' disorder an infringement of it. A place for everything, and everything in its place, tends greatly to the economy of time, which is, in fact, money. Unless you have a fixed and permanent place, properly numbered for each class of articles, you will be frequently ordering that which t.you really don't require, and of course occasionally loae th-a sale of what, yon hays, wiia- , glased, ; ;..:-.■■ ...-,..*,

Advertising.—ln my opinion, advertising is a legitimate means of making known the wants and wishes of both , buyers and sellers. It is merely making an extension of your shop front inthe newspapers; whether the article be seen there or in the window, in both oases its qualities remain to be tested. It can never answer to advertise a bad artiole. By advertising a good one, you extend your connection, which might otherwise be limited by the nura-' ber and class of people who happen to pass your door, and their connections.