bigger pack, better value

CodeMonkey

Dunnes have 1.75 litre cartons of Tropicana for 4.99 euro. On the carton is the phrase "bigger pack, better value". However, the 1 litre cartons are being sold for 2 euro. So that's 2 litre for 4 euro... That's like about 42-43% more per litre.

I've noticed these price difference before but never quite such a big difference. They are either ripping off unsuspecting customers thinking they are getting better value by buying the bigger pack, or they are a bunch of incompetent morons who knocked down the prices of the 1 litre cartons but not the 1.7 litre ones. I don't buy it enough to remember what the 1 litre were priced at before.

Can they be done for false advertising since the 1.7 litre pack clear says "bigger pack, better value"?

xbox36016

yap that is right

rubadub

xbox36016 wrote: »

yap that is right

What? are you saying it is false advertising.

Bit of a strange one, I think I have seen it before but I just ignore the fronts of all packets, unless they state a price, then I think by law they must only charge that price.

It is not Dunnes advertising on the pack saying better value, it is tropicanas. Due to economies of scale many smaller pack items are cheaper.

I dunno if "better value" is a legal term meaning cheaper though, even if dunnes themselves did advertise it as such.

abitlonely

rubadub wrote: »

Due to economies of scale many smaller pack items are cheaper.

Smaller packs are cheaper because you get less. Diseconomies of scale can't
explain larger packs having a higher per kg/ml price (unless it's more expensive
to, say, make 1 large pack rather than 2 small ones and that people would be
willing to pay for it.)

Genghis

Did you notice if Dunnes had the cost per litre under the price on the shelf? I notice this is standard in other stores Aldi, Tesco, superquinn I think

rubadub

abitlonely wrote: »

Smaller packs are cheaper because you get less.

I meant cheaper per unit weight/volume

Very often larger packs will have higher prices. Look at smirnoff 1L bottles. I have been drinking ~15years and always keep an eye on prices. I have never once seen a 1L smirnoff red bottle that was cheaper per ml than the 700ml. I presume the 700ml bottles are produced locally, and maybe the 1L are imported, or else just far fewer 1L bottles made. Same with tropicana cartons, I expect the big carton could cost more than the small one (per ml). i.e. the 1L carton might be 20cent, and the 2L 50cent (more than double). Packaging can make up a huge % of the products cost.

abitlonely wrote: »

unless it's more expensive to, say, make 1 large pack rather than 2 small ones and that people would be willing to pay for it.)

I think this is often the case.

Also manufacturers sometimes have "trial" small packs which are very cheap as an incentive for people to buy. Of course they could also be preying on peoples ignorance and assumption that a big pack is cheaper. Again- I do not know if "value" is a legal term. they did not specfically claim it was cheaper per L

Genghis wrote: »

Did you notice if Dunnes had the cost per litre under the price on the shelf? I notice this is standard in other stores Aldi, Tesco, superquinn I think

Yes, and very often they are incorrect too, watch out for that.

gerrycollins

pricing comparisons.

Have a look at Barrys tea Red label 80's,2 of them are cheaper than 160pk in most multiples. One of the batchelors size beans are cheaper then the smaller size in price per kilo comparison.

The reason is simple,these are loss leaders. The products are sold and a hit is taken on the profit to reflect the price so that the product is sold at the same price as their opposition.

Tropicana is another where targeting the smaller pack ensures that the price looks low. A bigger pack having a better price per kilo/ltr yet the end price appears v high and thats all most consumers see, the end price not the price per kilo.