Wednesday, May 9, 2012

When NOT to buy bulk

It's common sense that the bigger packages are cheaper in the long run, right?
3 pound bottle for $2.65 vs 6 pound tin for $5.50


Maybe.

I think there must be some bizarre "sale" urge that causes us to buy completely unnecessary items (or unnecessary quantities of items) simply because they are cheap.  I recently bought a nice "date" dress (too short for church, but still nice looking) because it was $4.  Even though I haven't had a date in 2 years.  I just couldn't resist the sale.  In the same way, we "shoppers" see these irresistable bargains at bulk prices and just cannot pass them by.  So here are some common sense interjections to keep in mind when the urge to buy a 20 pound sack of potatoes next overcomes you.


Food that goes bad before you use it:   Sometimes, you don't use that 6-pound jumbo can of applesauce, and it grows mold in your fridge.  Of course, not in my house.  A 6-pound jumbo can of applesauce disappears within 48 hours of its being opened in my house.  But jumbo purchases that have gone bad before they're used in my house are most often fruits and vegetables.  I've bought canned pumpkin in a large can because it was on sale, used a cup's worth for some pumpkin bread or muffins, put the rest in the fridge, and before I know it, it's forgotten in the back and turned into compost. The smaller can would have been all I needed.  I've also had canned peaches turn before I eat them all, and when loaves of bread are "buy one get one free" you'd better plan on eating a lot of sandwiches or making homemade stuffing if you expect to use two loaves of bread before it molds.

Items that you don't need so much of to begin with.  It's that "shopper's desire" again - you can't pass up such an incredible sale.  For example, I very rarely drink alcohol.  I might have one beer in a week, if I have company or get out without my kids.  In January, I had company, so I went out to buy a six pack of bottles.  The six packs were $8 and the cases of 24 were $26.00.  4 six-packs would be $32.00!  I was so overwhelmed by the "sale" moment that common sense COMPLETELY left me and I bought TWO cases.  A little bit of math would have told me that I was only saving a quarter a bottle, and was spending $44 more than was needed to satisfy me and my guests.  As a result, I'm left with a whole lot of beer that I'm drinking about a bottle of a week.  Now, it's not going to go bad, really, but I could have spent $8 and been just as much the hostess.

Here's another example of a trap that I've fallen for in the past; same principle, smaller scale.  My local grocery store put a display at the end of the aisle: Lay's potato chips: Buy 2, get 1 free.  Now, this is a good deal, you think.  The normal price is $3.99 a bag, and the sale price is usually $3 a bag.  For this price, I can get three bags for $7.98, which is $2.66 a bagWhat a bargain!  But insert a little common sense here: How often do you buy chips?  I, personally, only buy a bag of chips once every other week or so.  They're not very healthy, or filling, considering their cost.  So I might have spent $4 a month on chips, buying them at full price.  Instead, by succumbing to this "I can't pass up such an incredible deal", I have now tossed 3 bags of chips in my cart, and now I've spent $8 instead of $4.  I will still (to the detriment of my diet) eat all 3 bags, I am sure, so I haven't "wasted" the extra $4 I spent, but I wouldn't have spent it in the first place if I'd had a little more self-control.  Like the beer, I could have purchased a smaller amount and been just as happy.

When you don't have the storage space for 50 pounds of potatoes. Or 10 pounds of onions.  I live in an old, beautiful house, but the "pantry" was converted to a bathroom sometime before we bought the house, so I have to be careful with how big the bulk packages are.  A good rule of thumb is, when in doubt, buy a "medium" sized package.  In the grocery store, you can buy onions individually, or in bags of 2 or 3 pounds, or in sacks of 10 pounds.  I buy a 2 pound bag most of the time, and find that's just right for me.  If I've got nowhere to put it, it doesn't really matter how much money I've saved.



When it's actually just cheaper to buy the smaller pack.  When I buy cat food, for example, I buy the medium-sized sacks of Dad's Original.  At my local grocery store, it's 15% cheaper than buying the largest bag available, even when the jumbo bags are on sale.  I discovered this just by comparing the price per pound.  Most of the time, it pays to check the "price per unit" on the tag.  Some aren't helpful, though, (one brand may list price per pound, another, price per ounce) and you still have to do some basic math. 

So one suggestion for calculating, when whoever printed those stickers at the stores decided to be most unhelpful, is to multiply, rather than divide.  I know that your junior high math teacher told you to divide to get price per serving.  Technically, this is correct.  To calculate a 6-pound can of applesauce, at $5.50, you divide $5.50 by 6, and get 91.67 cents per pound. A 3-pound jar, at $2.65, is 88.33 cents per pound.  But I have a calculator on my computer, and I don't usually have one at the store.  So I multiply, rather than divide:  2 of the 3-pound jars would be the same as one 6-pound jar, and 2 x $2.65 = $5.30.  So the smaller jars are cheaper (but not by much).

One last suggestion for price comparison: The price per unit isn't always as helpful as the price per serving.  For example: Those "snack packs" of crackers are divided into individual servings of 6 cracker sandwiches.  The unit price on the tag lists price per ounce, and they cost more per ounce than a large box of cheeze-flavored crackers.  However, when my kids get their hands on one of those large boxes of cheeze-flavored crackers, the three kids eat the whole box.  When the crackers are pre-packaged into servings, they eat a serving each at a time, and so the smaller box, which costs more per ounce and contains less, lasts longer.

In the end, ask yourself:
Do I really need this much? (2 cases of beer vs a six pack)
Would I be buying this much anyway? (3 bags of chips vs 1)
Is this going to go bad before I use it? (large tin of pumpkin)
Is the larger package actually cheaper? (cat food)
and Do I have the storage space for this much? (will it fit in my freezer/cupboards or not?)

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