Loss Leaders: Use Them to Your Advantage
Supermarket marketing executives are always using different angles to get you in their stores and spending money. One way is through the use of "loss leaders".
You can usually find or spot loss leaders on the isle end caps, advertised in the circular (front page placement), priced ridiculously low, and limited on how many you can purchase. It may be a national brand or the store brand.
The concept is simple, they will dramatically cut their margin, sell the item at cost, or sell it below cost to attract you into their store. While you are there they count on you purchasing other items-- most will be at full price and full margin. You will probably buy enough to offset the cost of the loss leader.
I consider myself a savvy shopper-- I know the average prices of most everything I buy, I stock up on sales, and I save coupons for things I use.
By knowing the average prices on the goods I usually get-- I know a real sale when I see it. When I do see one-- I stock up. This means I have a small inventory and I can wait to buy those items again-- when they are on sale again. I usually increase the bargain by using coupons with sales.
You are probably figuring out where I am going with this . . . I usually come to the register with a cart full of loss leaders, deeply discounted items, and coupon items. Net result-- big savings for me, supermarket marketing executive loses. Because I always have some backup, I can afford to beat them at their own game.
For more ideas on saving see my posts The Real Grocery Shopping Secret and Four Keys Ways to Make the Most of Sunday Morning Grocery Coupons and Circulars
Posted by DDFD at 10/4/2008 2:09 PM 
Categories: Money Savers, Consumerism, Frugality, Groceries
Tags: Money Savers Groceries Frugal Frugality Consumerism
Categories: Money Savers, Consumerism, Frugality, Groceries
Tags: Money Savers Groceries Frugal Frugality Consumerism
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