marketing vs value

Discussion in 'Homesteading Questions' started by ratherbefishin, Jan 13, 2005.

  1. ratherbefishin

    ratherbefishin Well-Known Member

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    I was in WalMart and checked out camping gear.Now Coleman is considered to be the premier brand name and Ozark Hills the utility brand.One 16 oz bottle of Coleman propane was advertised for $2.97 and the identical Ozark Hills brand was selling for 2 for $6.27-go figure!!!! I asked the stocking clerk and he said in all likelyhood both came out of the same factory , too.This was not a ''special'' it was just regular pricing.All things are not as they seem, you can't take anything for granted.I remember a local bakery selling sausage rolls, 8 cents each, 3 for a quarter.... and nobody ever questioned it-of course that was a long time ago
     
  2. Whistling Pines

    Whistling Pines Member

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    Colorado Rockies
    Strange, in all likleyhood the Ozark brand was probaly a newer item and thus priced higher. Watch and see if the Coleman brand goes up. You will notice that storebrand (private label) or generic items are not really lower priced than the competitors, but always lower priced than the name brand the store carries of the same item. Ironically most of the private label is made by the same packager using the same ingredients. I know of one pasta company that makes 8 different labels using all the same product. The buyers usually get a higher profit on the private label because of volume. In the case of Wal-Mart they beat the suppliers prices down so low no one makes any money but them and they continue to put the mom and pop shops out of business. I go to Wal-Mart because a buck saved is a buck., but I do think it is sad that someday the only place to shop will be Wal-mart. :(
     

  3. Ozarkguy

    Ozarkguy Well-Known Member

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    Right HERE, of course!
    .

    As they said in ancient Rome..."caveat emptor".....


    Tape 5 nickels together and feel how much it weighs. That's what MOST of the major supermarkets got caught about 5 years ago taping to the bottom of their produce scales.

    As they said in ancient Rome..."caveat emptor"....."Let the buyer beware"

    Ozarkguy

    .
     
  4. Windy in Kansas

    Windy in Kansas In Remembrance

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    Let's see, 16.4 ounces at $2.97 for $12.26 per gallon (4.23#s per gallon).

    With propane $.97 per gallon in bulk I think I'll buy in bulk and use an adaptor hose instead.
     
  5. MorrisonCorner

    MorrisonCorner Mansfield, VT for 200 yrs

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    As a manufacturer who private labels let me warn you that you're going to be seeing price increases all over the place in the coming months. The glass we use for packaging, shipping, ingredients, even labor, have all gone up and we've swallowed it for the past couple of years. This week our prices went up across the board between 5 and 20 percent.

    The guy putting the roof on our place appologized all over himself, but the cost of putting a metal roof on our place has doubled in the past 3 years due to the increased price of steel.

    So.. anticipate price increases because from here in the trenches I can see them coming. Consumers have become accustomed to discounting and have become "price sticky" (which means you know what you're willing to pay for something and you're willing to wait until whatever it is hits that price) and manufacturers and retailers have had to accomodate that as the economy soured.

    Now the economy is still funky, but we're getting hit with price increases from our suppliers and it is going to get passed on. I'd rather sell less and be profitable than sell more and lose money at it.

    When you're measuring profit in fractions of a cent per unit you start thinking "close down production... raise prices... close down production...?"

    If we don't raise prices we're going to be another empty factory.
     
  6. kppop

    kppop Well-Known Member

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    Dec 3, 2004
    Location:
    MI

    ***
    The Ozark brand has been in our Wal Mart here for a long time and I too have shook my head at their pricing. We use the small tanks when we go camping for our lantern. I think most ppl are looking at the package of 2 and not thinking what it would cost to buy 2 single items. It's a sales gimmick to make us think we are getting more for our money when we aren't.

    My sil worked for Wal Mart for years..Wonder bread makes their store brand bread and the pasta is the same as the name brand . There are a few others but I can't remember them all..she brought a list home one day to her dh because he refused to eat store brand food. It was a really interesting list.

    Some store brands are just plain nasty! lol Luckly most stores have a policy that if you dont' like their store brand they will give you the name brand in exchange.


    Kim in Mi

    Kim in Mi