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I have been keeping track of prices of generics and brand-names at discount supermarkets like Aldi, local supermarket chains like Kroger, Ralphs, etc, and superstores like Super Walmarts and Super Targets.
In general, the breakdown goes like this:
Supermarket (Reference Value): 100% But do you compare prices on per unit ounce,pound,or some other value that is constant store to store?
Discount Supermarkets: 75-100% of supermarket price. Meaningless
Superstore: 120-150% of supermarket price. Meaningless
It astonishes me that anyone shops for food at superstores. Generally the produce is older, shipped further (often from foreign suppliers--with who knows what kind of safety controls--processed through US distributors). The meats are almost always pre-packaged (and thus you can assume they are also older). Processed foods are the same, but they cost about 30% more than at the supermarket. "Sale pricing" bring a few items down to 110 - 120% of the supermarket pricing, but few things are usually on sale. Bulk sales can bring items down below regular supermarket prices, however, supermarket sale pricing and bulk pricing almost always keeps every item lower than what you will find at a superstore. And then there's coupons...
Discount supermarkets are a toss-up. Because they stock fewer items and off-brands, usually there are a dozen or so staples which will always be cheaper if bought from a discount supermarket. When they are in stock and/or on sale, produce in discount supermarkets can be up to 50% cheaper than in regular supermarkets.
I wonder if these trends are only regional. This information comes from the Midwest. Has anyone else compared superstore and supermarket pricing in other regions?Some price trends are regional but not all.
While applaud your effort to cause a worthwhile discussion unless the cost per item can be compared on an honest " red apples to red apples" and not "red apples to yellow apples" basis there can be no conclusive comparison to be had. Your posted comparison does not do that. Sorry.
That said, your basic premise that savvy sharp eyed math minded shopping will make a huge difference in your food (as well as all else you buy) cost.....you are oh so correct!
Way to many people just "run" to the store grab something then then complain that their food budget is killing them! Well...Duh! When you throw money at anything you're bound to waste 90% of that money due to your incompetence with money! And yes I ment to use the word "incompetence" 'cause that's what it is!!
Sorry, I was writing, and then I decided to quote a guy from the 1st page who talks about WalMart's pricing schemes. I assume he is associated with the grocery distribution industry from his insights.
I agree with the rest of what you say, and I encourage you to post examples of what is cheapest at WalMart as opposed to your local groceries, along with your best guesses at comparison pricing. I don't have any love for WalMart, but if they were, indeed, cheaper, I would purchase items there. I've just hunted for all my staples repeatedly there and never found better prices than at groceries and discount stores.
I do not suggest that anyone who shops at WalMart is brainless, simply that they may have not bothered to check prices properly. My whole point is that you should do comparison shopping in your area and not assume that superstores are giving you the "deals" they claim.
My list pricing is my best estimate at red apples to red apples due to different packaging. Bananas are easiest as they are simply price by the lb everywhere. Other items are harder, but there are common prices like /gallon for milk. Cheese is a good example; at Aldi, cheese is sold in 8oz packages for $1.79 for all types. At Kroger, regular price for 8oz is $2.44, but there are ususally 3 types (the type rotates) on sale in packages of 16oz for 3.00 (labeled as $6 for 2) while I have never seen a sale price at WalMart, and the usual price is $2.XX. Thus, you can see where my Kroger: 1.50 vs Aldi 1.79 vs WalMart 2.XX comes from. But don't trust my mental math. Go check for yourself.
It's also true that some of the discount items may cross borders or not be subject to quality controls, but that's really difficult to quantify.
I agree that grape prices have been amazing lately! I used to shell out 1.6X/lb for seeded red grapes at the Chinese market (the cheapest I could find, midwinter). Aldi is selling them in 2lb packages for ~1.50 here so they must be in season somewhere. Needless to say, I've been eating tons of them!
Edit: Those egg prices are for a large dozen and cheese prices for 8oz. You can get $0.89 eggs at my local Kroger, but they're a medium sized dozen.
The only thing I've consistently found at a lower price is Muir Glen canned tomatoes. My Walmart sells organic milk, but I get milk delivered from a local dairy for ~$.20 less per gallon. Frankly, I seem to get the best deals from the bulk bins at my local Whole Foods...really!
On a personal note, I find that shopping the superstores increases my overall spending for the month because it's so easy to get distracted by all the non-essentials, which somehow find a way into my cart despite my best efforts to stick to the list.
Yeah, some how I walked out of Costco with $50 worth of non-food stuff the other day....
Having been in the Grocery/Inventory trade for 23 yrs...grocery clerk...Inventory clerk and Supervisor and then to owning my own Inventory service for 15 yrs can relate to some of the items...prices...sales etc.
Grocery stores have sales people visiting the buyers to sell their product. The amount (number of cases/truck load/box car load) will determine the price a store operator pays.
A small operator is going to pay a higher price per case then a multi purchase buyer AKA Walmart. There is a certain mark up a store has to make to cover cost of operation. Thus a item may be .89 cents at one store and $1.49 at another. A store the size of Walmart may be making the same margin of profit per item as a small operator...the only difference would be the initial cost of said item.
There are also "Loss Leaders"...an item that is sold at or near cost as a gimic/come on to a customer who will end up spending money on other things. Profit is made up on the bottom line at the end of 13 weeks (QTR).
The one thing NOT mentioned in the above posts other then prices was the BRAND in question...which does make a difference in quality.
Buy two cans of peaches 1/2's & sliced...open and see the difference in quality. Same could be said with unknown or out of country labels. Also have noticed the canned fruit from China being different and how the can will rust quickly after being opened...difference in the metal quality...something to think about.
Perhaps it is different shopping habits which causes the disagreement. I visited Aldi, Kroger, and WalMart this week so the prices are fresh in my memory.
I only buy what is on sale or priced the lowest from where it is the cheapest rather than buying set items for each week. I eat what is in season and therefore the least expensive. An example list of staples with this weeks prices includes:
These are example per unit (gallon, lb, etc.) prices. You can talk all you want about market studies, consumer behavior, and so-called "Every Day Low Pricing" however, the reality is that, to savvy consumers, WalMart is a bad deal for frugal people on most items any way you slice it. A smart shopper will check their local circulars and get their week's groceries based on sale items at grocery chains and NOT from the superstores.
Now, for the majority of non-frugal impulse buyers, maybe WalMart is a better deal, but don't try to tell those of us who actually use our brains when we shop that a buck fifty is a dollar, 'cause it ain't.
WalMart might source their produce from local producers, but ask local producers if they prefer WalMart's/Target/Etc's cutthroat and bullying tactics to those of the historical grocery distributors. If you really care about local producers
1. You will probably have to diverge from "frugal" when you make your purchases and
2. WalMart/SuperTarget/etc. are certainly not the answer.
Thus they are more expensive on sale items, which can make up your entire week's worth of groceries if you identify them by spending 5 minutes glancing through your local circulars. Thanks for proving my point.
I doubt you'll find a frugal shopper who goes into any grocery store and buys anything which is not promotionally priced or on sale. This is the frugal message board, not the "everyday consumer" message board.
WalMart/Target/Etc. target their pricing policies for a different set of consumers who are not frugal, thus they are a bad deal for frugal people. I'm glad that someone with insight into WalMart's workings came by to agree with me and provide proof to support my initial premise. Thanks!
Excellently detailed post. I too buy my groceries based on weekly sale items and not from a list.
[quote=sponger42;13194110]Perhaps it is different shopping habits which causes the disagreement. I visited Aldi, Kroger, and WalMart this week so the prices are fresh in my memory.
I only buy what is on sale or priced the lowest from where it is the cheapest rather than buying set items for each week. I eat what is in season and therefore the least expensive. An example list of staples with this weeks prices includes:
I want to know EXACTLY which Aldi's store is offering one gallon of milk for $1.1X because that is NOT consistent with the price sheets that they publish, This week's price was $1.89 in Chicagoland. Where are they offering it for 0.70 less?
I get all my groceries from the local store because it's close by and I have 2 growing boys so I have to go often.
I will stock up on stuff at costco on occasion.
In general, I buy what is on sale at the grocery store and will stock up whenever there is a good deal on a non-perishable.
For example, big sale on ketchup? buy 3-4 bottles and then cruise by the meat to see if steaks or salmon etc. are on sale.
If they have a big sale on something I use...then I will load up.
Walmart and Target generally have cheaper prices on non-food items and some non-perishable items. They don't do as well on the perishable items.
This is what I have found as well. Target is cheaper than the supermarket on pet supplies and some non-perishables like paper towels, toilet paper, etc. However when it comes to food the supermarket is almost always cheaper, but not always. I do comparison shop and take note of items I buy frequently to figure out where they are cheapest. Most food items are cheapest at the supermarket and I shop sales and clip coupons too. Meat and produce prices at Super Target are outrageous; you are paying a lot extra for convenience.
Where I live there are two Tom Thumbs, a Kroger, and a Sprouts nearby as well as a Super Target so I am able to shop multiple stores for the best deals on everything on my list.
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