Grocery Store Economics

With the price of gas rising faster than a speeding bullet, this has now more than every become an important factor when you do your shopping. To save money, you need to start shopping all in one place and all at one time. To do this, you need to compare overall prices of the different stores not just what is on sale.

In the past, it may have been cost effective to drive to all the stores that had great sales but now it is a little too costly to do so. If you find a good sales ad and it included everything you are looking for, shop that store. Otherwise, you need to find the overall cheapest store.

For us, it seems to be the super Walmart. There are times that an item or two is cheaper else where but overall, we save more at Walmart.

Many stores try to suck you in with what is called a lost leader. Let's say they offer 12 packs of soda for $1.50. That is a killer price compares to Walmart's $3.99. However, since I only need one 12 pack of soda my savings would be $2.49. However, it will cost me a gallon of gas to get there at $3.77. Did I save anything? When gas was $1.00 a gallon, yes I would make the special trip but not now.

Consider all factors when running store to store. Always ask yourself what you are really saving when all factors are considered. Many people fail to think of the external cost when looking for a bargain.

Frugal living is about being smart not just finding the best sale.