DE LUXE GOODS FOR DE LUXE CUSTOMERS 69
The Model Stock Plan’s three full lines, as we have seen,
are carefully set at the price levels which best fit mass-selling
needs. Nevertheless, the Model Stock Plan provides a
method of winning the de luxe trade and thus gaining for the
store the reputation that is priceless for increasing its mass
selling even of staple merchandise. Moreover, the Model
Stock Plan method will earn a substantial total profit on
the de luxe operation itself.
Practically all stores, even if go per cent of their goods
are sold at the lower price levels, make some effort to gain this
recognition for top-quality trade, especially in style goods.
Most frequently the effort takes the form of buying and
displaying prominently a relatively few single pieces of
merchandise at price levels far beyond their customers’
Pocketbooks, and, usually, in styles more advanced than
their customers are ready to buy. They do this to impress
the customers with the store’s familiarity with top-quality
goods in advanced styles. The store buys these pieces in
the full expectation of selling them later at heavy mark-
downs. Such unorganized gestures toward de luxe selling
are costly, and the cost must, of course, be made up in the
prices of goods at the mass-selling levels.
We know, then, that any store will be benefited by actually
selling, and having the reputation of selling, de luxe goods.
Under the Model Stock Plan we have such a set-up that we
can sell de luxe goods at a direct profit instead of merely
going through the motions of selling them at a good-sized
oss.
As we know, the department head in charge of the highest-
priced full line is definitely limited in his buying range by
the price he can afford to pay for an article and still make a
net profit on it. So the Model Stock Plan provides ready
made a place above the highest-priced full line where the
de luxe departments can develop, in charge of separate depart-
ment heads, without friction or clash of interests. In provid-
ing this place, which is clearly and definitely above the
highest-priced full line, the Model Stock Plan overcomes the
obstacles that hitherto have been in the way of the most