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Variety spices up food shopping as more stores compete

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Variety spices up food shopping as more stores compete

With the U.S. economy experiencing slow growth, persistent unemployment and stagnant household incomes, consumers are moving toward extremes when it comes to food shopping.

Cost-conscious shoppers continue to seek “extreme value and acceptable quality or better” at low prices, while shoppers who are less affected by the downturn have returned to upper-tier food retailers. And retailers who cater to the middle are finding their positions more challenging to maintain, trying to find a way to stand out from the competition despite being weakened by steps they took to deal with inflation.

That’s the conclusion of a report, “The Future of Food Retailing,” issued last week during a Webinar hosted by The Food Institute, an Upper Saddle River-based non-profit that tracks industry trends.

The good news for consumers is that food inflation, a hot topic in the food industry over the past four to five years, “is going to be moderate for the next four to five years,” said Jim Hertel, managing partner at Willard Bishop, an Illinois-based food consulting company that compiled the report.

Over the past five years or so, shopping habits have changed, with consumers moving some of their buying from traditional supermarkets to a wide range of non-traditional stores for food and groceries. And that trend is likely to continue over the next five years, Hertel said.

Years ago, traditional supermarkets were the only game in town, Hertel said.

Just look at North Jersey. Twenty years ago we had about six regional chains with a major presence in this area, and except for King’s, which was ahead of the curve in featuring prepared food and special events, there was very little difference among them beyond weekly sales and convenience.

Even with some comings and goings, that really hasn’t changed much. Except for ShopRite, which has built a loyal following through aggressive promotions, there’s not much consumer loyalty in the North Jersey marketplace, Hertel said in a follow-up phone conversation.

But competition has increased with the arrival and growth of shopping businesses as varied as convenience stores attached to gas stations and megastores four to five times the size of a traditional supermarket. And the competition is only going to increase, putting more pressure on the traditional supermarkets.

This is good news for consumers, because we will have a lot more choices as stores try to carve out a niche, to make themselves stand out from the competition. That could mean more and better offerings at the prepared foods or bakery counters, technological advances to make your shopping easier, or in-store events to build brand loyalty.


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Save Money on your shopping bills

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Save Money on your shopping bills

One universal of humanity, no matter who you are or where you come from, you have to eat. Unless you grow your own food, you will have to go to the grocery store to get it. That means money. Here are some very simple but highly effective methods for saving money on the food you buy.

Coupons

While you can find them everywhere, people rarely use coupons. If you are one of those people who does not use coupons, this phrase may change your mind. Free money. That’s exactly what coupons are, free money. If someone were to put money in your hand, no matter how small the amount, you wouldn’t throw it in the trash. That is exactly what takes place when you throw away coupons for things you buy; you throw away free money that the manufacturer gives you for buying their product. That $0.30 here and $1.00 there starts to add up.

Plan Your Meals

It sounds like it is unrelated to saving money on groceries but planning you meals for the week goes a long way toward helping you in this area. When you have a specific plan for what will be eaten each day, you can avoid falling into the trap of buying food that no one eats. Planning your meals does not have to be complicated. It can be as simple as saying, “Monday – Chicken and pasta”. From there, you know what to buy and are less likely to be tempted to stray from you money saving plan.

If your concerned about saving money while shopping for food at the super market, there are a few simple tricks that can help. First, always make a shopping list before you leave to the store. If you stick to your list, you will avoid buying those impulse items that look appealing while you are shopping. Make your list based on discounts in stores and stock up, this way you will avoid paying extra for food that you might need in a hurry. Experts also recommend that you shop the perimeter of the store first because this is typically where necessity foods are located such as fruits and veggies, meats, dairy and breads. The aisles are where you find things such as junk food and condiments which you are less likely to over purchase once your cart is full of other foods.

Supermarkets also like to trick you into buying pricier items by placing expensive brand names at eye level which makes you more apt to purchase them. They also place items that are appealing to kids at kids eye level, so watch out for this too. Next time, instead of buying the first item you see, look at the whole length of the aisle and you will find other brands which are cheaper, and of the same quality.

Any smart shopper will always go to the store on a full stomach. Shoppers who are hungry enter the supermarket and smell fresh bread and meats are more apt to shop impulsively. You should also leave your kids at home, because they will only egg you on to buy more goodies to please them that you wouldn’t ordinarily buy. Another great tip would be to go grocery shopping with cash. If you have a limited amount of money to spend, you won’t be tempted to over shop with the help of an ATM card or credit card.

By following these simple rules you should be able to cut down on your monthly shopping bill. Remember to keep an eye out for coupons in the newspaper and flyers and to shop around at different stores that have better prices for different items. After this, it should be smooth sailing.

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