Distributing the Fruit:
Moving Oranges from the Grower to the Buyer
Figure 1. A man operates a forklift at a packing house for an orange juice distributor. The boxes have labels containing the words "Exchange" and "Pure Orange Juice." [1]
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Railroads and Packing Houses
The citrus industry could not have grown beyond the local region without the expansion of the nation's railroads. In the early years of the California citrus industry, bottom lines were often negative due to inefficient paths of delivery and high transportation rates. By 1901, the citrus industry expanded enough such that poor logistics of citrus transportation and sale could risk the whole operation to lose out on millions of dollars. [2] A lot of money was at stake, so grove owners made developing efficient distribution processes a priority. The Santa Fe and Southern Pacific Railroads connected Southern California to the rest of the country in the late 1800s. This meant that Southern California growers could begin shipping crops across the country to consumers on the east coast where conditions were not so good for cultivating specialty crops like citrus. Around 1901, the Los Angeles Evening Express reported that railroads hauled thousands of railroad cars' worth of citrus from the region each year: "Here is a total of more than 30,000 carloads of crops, which must be moved mostly during the months of January to April, both inclusive, each year. The 20,000 carloads of oranges are likely to run to 30,000 any year when all things favor the crop. The lemon crop is increasing very rapidly and will before long be 10,000 cars, then 15,000." [2] As a result of their increased involvement with the citrus industry and their monopoly of distribution pathways, railroad operators charged exorbitant prices for carrying the perishable lemons and oranges. |
Before the growers organized into a cooperative, each grower contracted their own citrus crops out to different citrus buyers and railroad companies. The companies sent in pickers and shipped off the fruit by rail. The lack of communication among the growers led to unnecessarily lengthy train rides for the perishable fruit, since shipment schedules did not align with one another. Also, the supply of citrus fruit to different areas remained drastically inconsistent. The Evening Express captured the main frustrations among the grove owners: "First, no one knew what the others were doing, and as a consequence one city was glutted and another bare of oranges." [2] After setting up the citrus cooperatives and exchanges, the growers in each exchange gained control over which buyers to sell to and the ability to minimize "indiscriminate consignment" of their products. [2]
Figure 2. The two orange juice and navel orange Sunkist advertisements above demonstrate of how the exchanges and markets tried to convince Americans to buy oranges and citrus products. The exchanges, including Sunkist Growers, heavily marketed the consumption of citrus. [1]
Advertisements
Undoubtedly, what seemed like an insatiable demand for citrus made the citrus industry prosperous and profitable. The exchanges had the responsibility of advertising their oranges and convincing supermarkets to buy them. This job proved especially challenging when buyers knew of the poor citrus-growing conditions during certain growing seasons. If buyers knew about bad growing conditions, they refrained from submitting a large purchase order because they feared ending up with poor quality produce. [2] To convince potential buyers that the purchase would be worth their while, the exchanges devised marketing schemes that demonstrated the American appeal of oranges. The advertisements in Figure 2 exemplify how the citrus exchanges chose to market their fruit around the country. In the advertisement on the left, sponsored by the influential Sunkist exchange, the image introduced the virtues of the navel orange. Sunkist tempted its consumers with the rich, juicy, and delicious fruit (ostensibly in comparison to the Valencia orange variety). They also tempted the consumer with the health benefits provided by consuming oranges: "more vitamins per glass!" [1] Furthermore, the consumer can enjoy this seedless fruit effortlessly. The ad on the left suggests that although the navel oranges fit "every use," they are especially good for orange juice and captures the consumer mentality that orange juice played an integral role in a healthy breakfast. [1] Besides convincing the public that buying the oranges would make the general consumer happier and healthier, the exchanges had to convince the wholesalers to buy their particular brand of oranges instead of buying from a competing exchange. Originally, the stenciled name of the corresponding exchange on each box differentiated slatted wooden crates of one exchange from another. [6] However, the stenciling technique did not properly brand the products. As a remedy, and in an effort to increase sales, the exchanges hired artists to create extravagant and colorful labels to attach to the sides of the crates. Artists usually used stone lithography for most of the early labels. [6] The four labels featured at the right in Figures 3 - 6 were sent as samples to the California Avocado Association by the Schmidt Lithograph Company in 1921. [7] The company tried to convince the avocado exchange to buy labels from them as well. Study of the labels reveals the importance of marketing and advertising within the citrus industry. Each is colorful and intricate, broadcasting the name of the exchange or citrus association responsible for packing the oranges. Additionally, every label focuses on a characterization of the oranges and, by extension, of the exchanges that supplied the oranges. Artists presented the fruit as reliable, proud, superfine, and essential to a strong family life. [2] [3] [4] [5] All of these marketing techniques helped draw the wholesalers' eyes and convince them to buy oranges from one exchange over another. Products To offset the inefficiency of only selling the nicest, roundest, most beautiful fruits, growers also sold small or deformed lemons and oranges as processed "products." [8] A packing house did not risk sending out sub-par produce in normal shipments for fear of tarnishing their brand name. Clifford B. Pitzer, a Claremont area citrus rancher, recounted some of the ways that packing houses processed the lower-quality oranges: "Industrial products are things like bases for soda pops. The man who produces these buys from us, and we are not retailing it. We are not selling any frozen juices. We are making frozen concentrates, but we are selling them to someone who reprocesses them." [8] As a result, the packing houses and exchanges were able to sell all of their crops and maximize the profits. |
Figure 3. A fruit box label for Reliable Brand citrus. [3]
Figure 4. A fruit box label for Sunkist citrus from San Marino, CA. [4]
Figure 5. A fruit box label for Sunkist Superfine oranges from Arlington Heights. [4]
Figure 6. A fruit box label for valencia oranges from Sunkist, grown in Anaheim. [5]
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FOOTNOTES
[1] Paul Armstrong, Annual Report of Your Business for 1948, California Fruit Growers Exchange, McPherson Collection, Box 21, Folder 33.
[2] "Orange Shipping and Marketing A Controversy. Series of Special Articles Reprinted from Los Angeles Evening Express." Los Angeles: Evening Express Co., 1901. Print. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[3] Cock of the Walk, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[4] Superfine, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[5] Colonial Mother, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[6] Juanita Lovret. "Orange Crates Were Anything but Ordinary." The Tustin Area Historical Society. Web. Last accessed 12 Nov 2014. http://www.tustinhistory.com/articles/orange-crates.htm
[7] Schmidt Lithograph Co. correspondence, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[8] Clifford B. Pitzer (Claremont Citrus Rancher), interview by Enid H. Douglass and Caroline Beatty, 1964.
[1] Paul Armstrong, Annual Report of Your Business for 1948, California Fruit Growers Exchange, McPherson Collection, Box 21, Folder 33.
[2] "Orange Shipping and Marketing A Controversy. Series of Special Articles Reprinted from Los Angeles Evening Express." Los Angeles: Evening Express Co., 1901. Print. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[3] Cock of the Walk, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[4] Superfine, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[5] Colonial Mother, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[6] Juanita Lovret. "Orange Crates Were Anything but Ordinary." The Tustin Area Historical Society. Web. Last accessed 12 Nov 2014. http://www.tustinhistory.com/articles/orange-crates.htm
[7] Schmidt Lithograph Co. correspondence, William McPherson Papers (Collection H.Mss.0524), Box 21, Folder 33. Special Collections, Honnold Mudd Library, Claremont University Consortium.
[8] Clifford B. Pitzer (Claremont Citrus Rancher), interview by Enid H. Douglass and Caroline Beatty, 1964.