Foodstuffs Cutting Prices on Essential Items by 10%

[Deactivated] on 11/05/2022 - 14:05
Last edited 11/05/2022 - 14:19

Original article on Stuff https://www.stuff.co.nz/business/300585457/foodstuffs-cuttin…

Supermarket operator Foodstuffs says it will reduce the price of 110 of the most purchased grocery items by an average of 10%.

Foodstuffs, which operates the New World, Pak’nSave, and Four Square brands, said it would reduce the prices on items to what they averaged during the 13 weeks between January 25 and April 25 last year.

Quin said customers shopping at New World in the North Island would see Value white toast, 600g, reduce from $1.40 to $1.19, a 1kg block of Pams edam cheese reduce from $11.55 to $9.99, and a 1kg of Value frozen mixed vegetables reduce from $2.59 to $2.19. 

In South Island New World stores, some examples of products in the rollback included 185g Sealord Tuna reducing from $3.39 to $2.79, and 1.5kg Pams rolled oats reducing from $4.29 to $3.94. The items will be labelled in store and online under “rollback”.

The full list of items would be available on Monday.

What do you think? I think it's better than that Countdown price freeze nonsense they announced last week. I might have to become a regular Pak'n'Save shopper.

General Discussion

Comments

  • akrotohur on 11/05/2022 - 14:17
    +3

    Those prices look okay, definitely better than what CD was offering to do.

    ps. I'm always a regular PnS shopper, Countdown has recently been downgraded to "reduced to clear only" for me since they are the most expensive…haha

  • Bill on 11/05/2022 - 14:29
    +1

    Much better considering the discounts are on actual food whereas most of the countdown price freeze is processed.

    From a different point of view though it could be taken that they were making an average of 10% unnecessary, exploitative profit on their 110 most purchased grocery items.

    • [Deactivated] on 11/05/2022 - 17:10

      You bring up a good point, while 10% off is an ok saving for us, for the supermarket that 10% reduced price will wipe off maybe 30%-50% of the profit they make on a product, and if they can afford to wear that kind of loss then serious questions have to be asked about just how much they've been making off these products and why these reductions haven't been offered earlier.

      I wonder if Foodstuffs is going to solely wear the brunt of this or will they force their suppliers to reduce their prices down to help offset their losses? If suppliers are involved then that opens up a whole other can of worms with even more questions that need answering.

  • Japo32 on 11/05/2022 - 17:09
    +1

    Any price discount on any retailer is a plus. At the very least people are getting better choices and the chains are getting (slightly) more competetive. Countdown's move feels like just marketing fluff. This is an actual discount amount.

    Also worth mentioning that Warehouse is steadily adding to their competitively priced staple goods. I did a price comparison earlier and some items (indo mie mi goreng, watties tomato sauce, oxo stock cubes) are ~20% cheaper than paknsave.

    I'm hoping later on when Costco opens they feel even more pressure.

    • The Hound on 11/05/2022 - 17:13
      +2

      Problem with TWH is stock availability. App says in stock but its not on the shelves. Bad Warehouse bad.

      • Japo32 on 11/05/2022 - 17:17

        haha yeah that's true. When I see milk on the shelf I feel like I've spotted bigfoot or something.

  • BDS on 11/05/2022 - 20:37
    +1

    I like supermarkets strategy first increase by 20-30% giving reason like supply chain issues and then reduce by 10% and they still get good publicity or feel good feeling respite to people.

    Overall in the past whenever fuel price increases that results in high inflation, increase in interest rates, less cashflow in the economy and the world will have low growth which are signs we have entered recession which is better than depression.

  • Drcspy on 12/05/2022 - 07:35

    I know a supermarket owner and they're not poor !

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