Reducing Cost of Distributing Milk in California

Abstract

A great deal of popular misconception is current regarding the economies that can be made in fluid-milk distribution and regarding the ways such economies can be effected. Generalizations about overlapping routes and excessive advertising costs tend to confuse rather than clarify the issue, because such generalizations overlook the fact that certain types of operation are responsible usually for only a relatively small proportion of the total expenses of distributing milk. For example, the advertising expenditures of most distributors usually account for considerably less than one-quarter of a cent a quart of milk. Attention should be focused on rationalization of the milk-distribution industry as a whole rather than on one or two aspects or phases of distribution. All things considered, the fluid-milk-distributing industries of our various cities are probably no more inefficient-in many ways perhaps more efficient-than most other industries involving processing and distribution. Because of the vital importance of the product handled, however, it is logical for the general public to expect that every effort should be made to eliminate inefficiencies in fluid-milk distribution, even though they may be tolerated in other industries. With this most enlightened distributors would