Volume pricing

[NN5I]

Today I went to the local Staples store. Among the things I needed were some CD storage sleeves (the square envelopes with round plastic windows in front).

There were several offerings. My choice narrowed between a box of 50 plain white sleeves and an otherwise identical, same-brand box of 100 sleeves.

Price of a box of 50: $6.99. Price of a box of 100: $14.99. :whistle:

I'm not making this up. Honest Injun.

[Radio]

That's the hidden tax on people who can't do math.

[W7JZE]

That's the hidden tax on people who can't do math.

Yah, might be true Radio. My local SaveMart grocery store will sometimes run a store special on a small version of an item (like Tobasco Sauce) making 2 small ones (with more product) cheaper than one big one (with less product).

I shake my head and chuckle when I see both sizes having been pulled from the shelf. Only some people "get it".

We use Evaporated milk in many cooking items here (long story). Manager bought a big lot of "weird", small sized cans. About half sized. They didn't sell well. Big cans sell for $0.99 to $1.19 "depending". Little cans were not selling at all and after a month or so I walked in and saw a sign "Manager Special" $0.10 / small can.

I bought 'em all. About 100 cans!! Saved about $50.00 Why weren't people buying the small ones even then at $0.10?

Small ones aren't always more expensive "per" in CD Sleeves, Tobasco Sauce and evaporated milk... Occasionally, anyway :jitter:.

Mo-betta for us that can do at least simple maths :D.

[wa8yxm]

Some companies, are honest, They use a standard markup on most everything, in days of old that was 2.5 but some places it can be much higher (Bars for example Four, Five or even more times the cost of product).

Staples, it would appear is one of those.

Other companies. Like Comcast it is "How much and in how many ways can we gouge them". We will thus say no more about these crooks.

So how do you get a deal like that....

Factory makes a million boxes of fifty, sells 100,000 of them
They make 100,000 boxes of 100, sell 99,000 of them

They now have a whole warehouse full of boes of 50, so they mark 'em down, and Staples buys 'em at the discounted price, and passes the savings on to you the consumer.

And yes, it pays to read the prices.

[N3LYT]

I like it when they put "special" on a 16 0z bottle and 2 8 oz come out to the same price got to wonder what so special.

[Radio]

It's also interesting to note that in food stuff items it's often the packaging that drives the cost. Cereal and soft drinks come to mind. That's why cost per ounce is lower in the larger box.

Then there are "loss leaders"... products on which the store may actually loose money just to get you in the door. A liter of Coke is often 99 cents, (loss leader) while a 20 oz cold one is $1.50 in the cooler by the register. Remember the Radio Shack battery of the month club?

A friend of mine has a "Little Debbie" distributor route. One of his competitors had a sign that said "25 cents, or 4 for $1.00" so my friend "matches his price" and sure enough, sales go up!

Go figure. Or maybe not.

:think:

[Radio]

OH BTW!!

I have had a goal of a 35" waist line for some time now and have just achieved it this week.

Up from 34" :whistle: