Bathtubs, Birdcages & Chevrolet – The Automotive Gold Rush
The late 19th century witnessed the dawn of a transformative era, one where the automobile, a nascent invention, was viewed with a mixture of skepticism and wonder. A Duryea Motor Wagon, a marvel of engineering at the time, surprisingly shared the spotlight with the albino, the giant, and the fat lady, headlining promotions for the Barnum & Bailey Circus in 1896, highlighting the novelty of the automobile in popular culture. Even astute businessmen like Montgomery Ward regarded the automobile as a fleeting fad, a sentiment echoed by many who failed to grasp the revolutionary potential simmering beneath the surface.
However, a select few visionaries recognized the automobile’s profound implications, foreseeing its potential to reshape society. Ransom E. Olds, in a prophetic interview published in Scientific American in 1892, eloquently captured the allure of the horseless carriage, stating, "…it never kicks or bites, never tires on long runs, and never sweats in hot weather. It does not require care in the stable and only eats while on the road." This insightful perspective underscored the inherent advantages of the automobile over its equine counterpart, foreshadowing its eventual dominance in transportation.
The unwavering dedication of pioneers like Ransom Olds and Alexander Winton propelled the automobile from a mere curiosity into a burgeoning multi-million-dollar industry within a remarkably short span. By 1900, "automobile mania" had gripped Wall Street and the world of high finance, sparking an industrial gold rush that lured established businesses and fueled the ambitions of both ingenious inventors and unscrupulous opportunists. This period marked the beginning of the automotive gold rush, a time of unprecedented innovation and entrepreneurial fervor.
The allure of this new industry was irresistible, prompting established manufacturers to diversify their operations and venture into the realm of automobile production. Peerless, a company renowned for its clothes wringers, capitalized on the bicycle craze of the late 19th century by expanding its product line to include these two-wheeled wonders. This strategic move paved the way for the company’s eventual rise to prominence as a leading manufacturer of luxury automobiles in the teens, showcasing the adaptability and foresight required to succeed in the rapidly evolving landscape of the automotive gold rush.
Similarly, Pierce-Arrow, another prominent name in the American luxury car market, traced its origins to Heintz, Pierce & Munschauer, a company specializing in iceboxes, birdcages, and other household goods. The transition from manufacturing everyday necessities to producing bicycles served as an intermediate step, bridging the gap between the old and the new and ultimately leading to the company’s successful foray into automobile production. These examples illustrate the diverse backgrounds of the companies that contributed to the automotive gold rush.
Herbert and Eugene Adams, prominent manufacturers of park benches and grave markers in Iowa during the 1880s, also succumbed to the allure of the automobile. Diversification came in the form of milling and foundry equipment, but their foray into automobile production was sparked by the internal combustion engine experiments of their company superintendent, Fay Oliver Farwell. The Adams-Farwell of 1905, distinguished by its rotary engine that "spins like a top," featured a unique design with cylinders and crankcase revolving horizontally on a fixed shaft, showcasing the innovative spirit that characterized the automotive gold rush.
The speculative frenzy surrounding the automobile industry often led to the formation of companies with questionable business models. In the summer of 1906, with a mere $22,000 in capital stock, George M. Harton, W.F. Heninger, T.M. Harton, and C. MacKalip incorporated the Amusement Company in Delaware. Their ambitious sales pitch promised the manufacture of "nickelodeons, carousels, automobiles, and other amusements," suggesting a broad and somewhat unfocused business strategy. In reality, the company’s primary sales were likely stock, highlighting the speculative nature of some ventures during the automotive gold rush.
Not all ideas, however, found eager investors. A.B. Andrews of Center Point, Iowa, in 1895, attempted unsuccessfully to garner support for his Andrews Spring Motor Car, an automobile powered by a spring-based mechanism inspired by a baby carriage. The design, featuring a device attached under the hind axle with winding gears and levers, aimed to utilize downhill momentum to recharge the springs. This ambitious but ultimately unsuccessful proposal reflects the wide range of ideas, both practical and impractical, that emerged during the automotive gold rush.
Benjamin Briscoe, a Detroit-based sheet metal manufacturer, initially stumbled in the automobile business with his investment in the Buick Motor Company. David Buick’s inability to transition from experimentation to production left Briscoe with little to show for his investment beyond a few prototypes. However, undeterred by this setback, Briscoe divested himself of Buick and partnered with Jonathan Maxwell, leading to the creation of Maxwell-Briscoe, a successful venture until Briscoe’s ill-fated attempt to use the company as a linchpin for the United States Motor Company in 1910. Briscoe’s journey encapsulates the risks and rewards inherent in the automotive gold rush.
Briscoe’s passion for the automobile persisted, even after the collapse of the United States Motor Company. He established the Briscoe Motor Corporation in Jackson, Michigan, in 1913, aiming to revolutionize the industry during a time of standardization. The initial model featured a unique Cyclops headlamp molded into the radiator shell and laminated papier-mache body panels, reflecting Briscoe’s commitment to innovation.
The 1916 Briscoe model, while abandoning the Cyclops headlamp, offered an unconventional sales proposition: customers could purchase a four-cylinder model and later upgrade to a V-8 engine by paying the difference and a small installation fee. This innovative approach to sales reflected the dynamic and competitive nature of the automotive gold rush.
The influx of capital into the automobile industry led to a proliferation of automobile companies, with nearly every town in America boasting at least one such enterprise. Enid, Oklahoma, was home to the Geronimo Motor Company, which produced automobiles, trucks, and tractors. Arkadelphia, Arkansas, saw the emergence of "Arkansas" in 1913 and the Arkadelphia Motor Company in 1919. Boulder, Colorado, celebrated the announcement by the American Machine & Manufacturing Company in 1909 that automobile production would commence before the year’s end. Buffalo, New York, witnessed the organization of the Bison Motor Company, dedicated to manufacturing automobiles and marine engines.
The sheer volume of automobile companies formed during the early 20th century underscores the feverish atmosphere of the automotive gold rush. Nine manufacturing companies were established in Birmingham, Alabama, while Jackson, Michigan, boasted an impressive 22. Even Butte, Montana, and Yazoo City, Mississippi, had their own automobile companies, highlighting the widespread enthusiasm for this burgeoning industry.
From Baden, Missouri, to Bettendorf, Iowa, and from Azusa, California, to Skagway, Alaska, inventors and dreamers found receptive audiences among businessmen and manufacturers. The surprise is not the sheer number of companies that emerged during this period, but the number that survived, contributed to technological advancements, and overcame significant challenges.
Even Chevrolet, an iconic American brand synonymous with automobiles, originated from diverse endeavors and narrowly avoided several setbacks. Named after Swiss-born Louis Chevrolet, the company was conceived by William Durant to leverage Chevrolet’s racing fame and to regain control of General Motors.
In 1923, the Chevrolet, a symbol of American culture, became embroiled in a corporate scandal and a flawed experiment, resulting in the first major recall by a major automobile manufacturer. This episode, centered around the air-cooled Chevrolet, serves as a reminder of the risks and complexities inherent in the automotive gold rush and the challenges faced by even the most successful companies.