'Price-cutting is the name of the game' at grocery stores
SEATTLE -- The grocery price wars are heating up, with no end in sight.
Safeway just redesigned its yellow-shelf tags and slashed prices again in an "everyday low price" campaign.
It's the latest salvo in an all-out price war that started last year.
"In my 33 years in the grocery business, I've never witnessed any time like this where customers are so starved for value," said Greg Sparks, president of Safeway's Seattle division.
In September, Safeway launched a similar program at all of its Von's stores in Southern California. Albertson's has been promoting it's price reductions since summer. Some Target stores are expanding their food sections. Virtually all value-based grocery chains have price cutting promotions. To quote one industry insider, "Price-cutting is the name of the game."
Wherever you shop, if you want the most value, watch the newspaper specials. Whenever possible, only buy what's on sale. And don't pass up those instant manufacturer's coupon dispensers attached to the store shelves.
Name-brand manufacturers are offering more specials now in order to compete with increased demand for cheaper store brands. Take the manufacturer's coupons and use them later when the items go on sale.
And watch your timing with manufacturer's coupons. Manufacturers typically drop prices on larger items at the beginning of the month, and smaller items at the end of the month.
As for how long the price wars will last, that's anyone's guess. But Sparks says Safeway's everyday price cuts are here to stay.
"These prices are going to stay down. This is not a promotion" this is a long-term commitment," he said.
Safeway just redesigned its yellow-shelf tags and slashed prices again in an "everyday low price" campaign.
It's the latest salvo in an all-out price war that started last year.
"In my 33 years in the grocery business, I've never witnessed any time like this where customers are so starved for value," said Greg Sparks, president of Safeway's Seattle division.
In September, Safeway launched a similar program at all of its Von's stores in Southern California. Albertson's has been promoting it's price reductions since summer. Some Target stores are expanding their food sections. Virtually all value-based grocery chains have price cutting promotions. To quote one industry insider, "Price-cutting is the name of the game."
Wherever you shop, if you want the most value, watch the newspaper specials. Whenever possible, only buy what's on sale. And don't pass up those instant manufacturer's coupon dispensers attached to the store shelves.
Name-brand manufacturers are offering more specials now in order to compete with increased demand for cheaper store brands. Take the manufacturer's coupons and use them later when the items go on sale.
And watch your timing with manufacturer's coupons. Manufacturers typically drop prices on larger items at the beginning of the month, and smaller items at the end of the month.
As for how long the price wars will last, that's anyone's guess. But Sparks says Safeway's everyday price cuts are here to stay.
"These prices are going to stay down. This is not a promotion" this is a long-term commitment," he said.