Thursday, March 15, 2018

Retailer’s Dirty Little Secrets.....

It has been a while since I have addressed this issue.   I have been researching a little m,ore for an class, so I have found more....

Food for thought.....70 percent of a stores profit comes from impulse buys.   There gai is your loss. 
It is no accident that the first thing you see when you walk into a door of the store is something tempting you.    Winco has junk food , tons and tons of junk food.   Topped off with a bakery cart.  They want you to lower your resistance and fill your huge cart.  

We have bags that clip on the grocery cart.  This instantly shrinks the cart.  It also keeps the food off of the bottom of the cart .   Studies have shown the a big percentage of those carts have fecal matter on them.    Yuk is all I can say.   

 Their slow music can add 12 percent to your cart. 
Bringing family members with you can add 10 percent PER person to your cart.   

Face it, you can’t do the math in your head and make good decisions if you are distracted with a child whining they want something that has been strategically placed in their eye level, or how many of us have got to the veggie department to have a child announce that he has to go potty?  LOL 

Its money in the bank to leave them home with the other parent.  If you are single, consider trading babysitting duties with another parent.   Or see if you can leave them with a family member.   

The best bargains are often in the back corner of the store.   After they show you the two dollar plus  for six English muffins in the front of the store (Fred Meyers) , they have 12 English muffins for 1.67 back by the eggs.   Ditto sandwich rolls at winco.  

Manufacturers pay slotting fees.   Basically, that is rent for the eye level shelves.  When its a big retailer, they can pay as much as a million dollars for end caps and eye level shelves.  The retailers no doubt are passing that expense on to you.   The grocery stores make more money from slotting fees than they do selling food.    

Store brands are cheaper than their major brand counterparts.   Often, they are the same item, in a store brand wrapper.   Years ago, my sister worked for a frozen food distributor.   She got to bring home the transition labeled boxes of veggies.   They had two wrappers on them.   The .66 milk green chillies that are winco brand are .66 cents.   The name brand is 1.28.   

In the UK, they figure that 20 percent of the customers give them 80 percent of their profit.   Its the customers that fill their large carts.  

Stats show that if you touch a product, you are more likely to buy that product.   

Non food items have the largest markup.   The store cant buy the quantity that other retailers buy.   You can be much better off buying that article with a coupon somewhere else.   

Eggs, sugar coated cereal and diary have the Biggest markup in the store.   

Those fancy stores have a huge markup on everything.   To their credit, when you carry a lot of specialty items and a lot of items, it just cost more to keep track of all that.   More to stock, more to inventory. You are going to pay for the experience.   

Those racks by the checkouts are nothing but a blast of impulse stimuli.   
I did see an eyeglass repair kit.   It was inexpensive and a real life saver if you wear glasses.   

 


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