1944 Radio Rentals

1944AugRadioServiceDealerShown here in the August 1944 issue of Radio Service Dealer magazine is the proprietor of Acme Radio Service Co., 880 Third Avenue, New York, NY.

Before the war, he got half of his business from repairs and the balance from sales and rentals. But there were no new sets to be sold, and labor shortages made service problematic. So he focused on rentals to the point where they represented 75% of his business. He acquired used sets, refurbished them, and put them into circulation.

He did this by canvassing all of the hotels within ten square blocks. He managed to place ads in rooms and elevators, but his real success came from the fact that he paid a flat $1 commission to the clerk or bellboy who made the sale. For the bellboy especially it was a lucrative proposition, since when he delivered the set and plugged it in, he was probably going to get an additional tip. Hotels were packed, and it became a very lucrative part of his business.

Good record keeping was key, and the magazine offered some suggestions. The article suggested that a set could be rented out for an average of 100 days per year at an average rental of $1 per day. The magazine noted that the resulting $100 was “many, many times over the original cost of the average midget or table model radio that would be used for rental.”