Transcript GROCERY GURU

GROCERY GURU
Strategies for Super Market
Shopping
Tips for shopping 
Don’t grocery shop when you are hungry.
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Go alone.
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Take a list. (60 cents of every dollar are
unplanned purchases – impulse buying)
Elevator music
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Stores play slow music to keep you moving
slowly. This is another method to keep you
in the store longer.
Smells
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Many stores will have a bakery or deli
toward the front of the store. They will
purposely pipe the smell throughout the
store to make you hungry.
Continuity Offer
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A continuity offer is a
special offer that
requires repeated trips
to the store. It might
be a set of dishes you
can earn, turkey
bucks, video rentals,
photo printing,
pharmacy, banks etc.
Power of the Perimeter
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Stores are arranged to
keep you in longer.
The longer you stay the
more you will spend.
Demand items are basic
foods that shoppers need
and thus seek out.
Demand items like meat
and milk are located in the
back of the store, making
you walk past the other
items.
Milk
Meat
Canned and packaged aisles
Front doors
End Aisle Display
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Displays of merchandise
attractively arranged at the
ends of aisles.
A shopper who selects
from an end aisle display
will usually not look at the
normal store display, thus
undercutting the
competition and
eliminating price
comparisons.
Impulse buys
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Impulse buys are unplanned items bought on
impulse. App. $.60 of every $1.00 is an impulse
buy.
Grocers usually make more money on impulse
buys than on sales of staples like bread, milk and
dry groceries.
Merchandising means getting shoppers to spend
more time in the store thus increasing the
likelihood of impulse buys.
Loss Leader
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Loss leaders are sale items sold at such a
low price the store makes very little or
actually “loses” money. This is done to get
shoppers into the store so they will spend
money on other items.
$$$$$$
Multiple pricing
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Multiple pricing makes
you think the product
is cheaper by selling
you more than one at
a time…for example
3/$1.00
Shelf talkers
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Shelf Talkers are bright colored signs on the shelf, many times
hand written, which call your attention to a product. They may
say “new” or “special buy” or “power buy”, etc. They tend to
lead you down the aisle.
Store brand
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Store brands or
private labels are
brands that are sold
only in one store or
chain of stores.
Store brands are
usually priced lower
than advertised
national brands.
Mounds $2.79
Western Family $1.49
Bakers $2.19
Layered merchandising (Shelf
placement)
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Higher priced brands
are placed closer to
eye and hand level.
The bargain brands
are usually harder to
reach and see.
National brand
Generic or store brand
Tie Ins
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Tie ins are items that are
used together and placed
near each other to
promote buying. Often
one is on sale and the
other is at full price.
By the apples you might
find fruit wash, apple dip,
etc. By the meat you may
find marinades, etc.
Dump display
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For a dump display the
stores will take products
(especially ones from past
holidays) and pile them in
a basket or cart.
The disorder of the display
makes you think that they
must be sold quickly and
therefore are cheaper.
Package Dating
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Packages of perishable
foods have dates printed
on them.
Sell by date or best if
purchased date is the date
the product should be off
the shelf.
Those items with later
dates are usually put
toward the back of the
display.
Sell by Jan 07 04
Unit Pricing
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Is the large box a better deal than the small
box?
How can I tell?
Compare the same unit
What is the unit the product comes in?
Ounces, Pounds, number of servings,
number of pieces?
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Now- figure the cost of the product
divided by the number of those units
and that will tell you how much 1 unit
of the product costs.
$2.00 ÷ 10 oz. = 20¢
Therefore each oz. in this problem
would cost 20¢
Do that with all the products you are
comparing and you will find out which is the
cheaper buy.
1. a 25 oz. box costs $4.00
 2. a 40 oz. box costs $6.00
 3. a 30 oz. box costs $5.25
Which of these boxes would be the best price
per oz.?
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Figure the unit price for these:
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1.
2.
3.
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5.
12 oz. can of milk costs $.75
15 oz. bottle of Pasta sauce is 2 for $4.00
25 lb. bag of sugar costs $11.49
15 oz. can of Chili costs $.88
2 lb. of corned beef costs $4.30
Price per serving
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Price per serving is figured the same way.
Divide the price by the number of servings.
Formulas
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Price per unit ……price divided by unit
p
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u
Price per serving ……price divided by
number of servings.
p
s