Warehouse clubs are continuing to attract customers with their price, according to a study from HSA Consulting, reported Progressive Grocer (March 29).
When comparing retail prices for 97 perishable, dry grocery and sundry items in 19 categories in Miami, FL, Costco was the least expensive overall, and the top three club chains’ average prices were 24% cheaper than Walmart and Amazon, and more than 53% cheaper than Publix Super Markets for dry groceries and sundries. The price gap widened even further when perishables were added, the study found.
Club bulk-pack pricing and supermarket loyalty card prices both affected the study results, but no allowance was made for premium club member “cash back,” which would further reduce club prices by 1% to 2%, according to HSA Consulting.
In spite of competition, warehouse clubs have grown faster than overall U.S. retail sales. In fact, consumers will commonly hold both a warehouse membership and a Prime membership, but rarely two warehouse memberships, the study found.
But are warehouse clubs well placed to compete with Amazon? Many factors point to yes.
For the full story, go to this week’s Food Institute Report.
Animal agriculture is responsible for about 18% of human-caused greenhouse gas emissions globally, according to PreScouter's Meat Alternatives-2019 research. Reducing or stopping the consumption of red meat could help fight environmental issues from these emissions.read more
Chris focuses on fresh, canned and frozen fruit and fresh and dried vegetables for the Food Institute Report. In addition, he assists in compiling data for various Food Institute publications throughout the year. He is a proud Rutgers University alumnus with a degree in English, and has a background in web writing for a variety of industries, including legal, foodservice and small-to-medium sized businesses. In his downtime you can find him watching New York Yankees baseball, hiking, enjoying live music and spending time with his dog Kaiden. He invites you to contact him via email at email@example.com to talk about anything food-related.
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