1) Loblaw’s Reduced Discounts Match Competitors While Retaining Higher Margin

METRO HAS BEEN MARKING ITS NEARLY EXPIRED FOOD ITEMS WITH UP TO 30 PER CENT OFF FOR OVER TWO DECADES

Courtesy of Barrie360.com and Canadian PressPublished: Jan 17th, 2024

Ritika Dubey, The Canadian Press

Loblaw’s decision to reduce steep discounts on soon−to−expire food is a move to match its competitors as the demand for marked down groceries rises, experts say.

Until recently, Loblaw Cos. Ltd. — which owns grocery brands including Loblaws, No Frills, Zehrs and Valu−Mart — offered last−day discounts of up to 50 per cent on items nearing expiry.

The grocer said Monday it now offers 30 per cent off on last−day sale items across the board to be more predictable and consistent, spokeswoman Catherine Thomas said in a statement Monday. Loblaw previously offered between 30 and 50 per cent on last−day sale items, she said.

Lisa Hutcheson, a retail analyst at J.C. Williams Group, said in an interview Tuesday that the shift in discounts is in line with competitors that typically offer a 30−to−50 per cent window on items nearing expiry.

Competitors including Metro Inc. have been offering discounts in the 30 per cent range for a long time.

Metro spokeswoman Stephanie Bonk said the grocer has been marking its nearly expired food items with up to 30 per cent off for over two decades — “a long−standing practice.”

Price reductions depend on several factors, such as the quality of the product and proximity to the expiration date, she said in an email. Besides, the grocer has partnered with food recovery and rescue services such as Too Good To Go and One More Bite.

Markdowns in grocery stores are more acute than other retail businesses due to short shelf life, Hutcheson said. In turn, grocers are extremely mindful of expiration dates on their items — especially for produce, bakery, deli and dairy.

In Loblaw’s case, she added, the grocer is minimizing margin erosion by offering less than 50 per cent and likely moving up.

Michelle Wasylyshen of the Retail Council of Canada said grocers have welcomed more and more Canadians to their discount stores and increased offerings of private−label food items. She added the grocers are also relying on other factors such as clearance prices and projecting inventory based on sales to reduce sales.

Demand for discounted food items has gone up, giving more wiggle room to grocers to sell items at a lowered discount rate, Hutcheson said.

“What drives markdowns for retailers is whether it’s selling or not selling,” she said. If an item is selling quickly at 50 per cent markdown, it likely would sell at 30 per cent off, Hutcheson added.

While there was always a customer base for discounted food items, finding deals on flyers or apps, demand for lowered groceries has gone up because of the financial pressures and high inflation — encouraging the grocer to reduce discounts.

“Any discount is a benefit for the customer and so will the customer shop it anyway for the price,” Hutcheson said.

Although, she noted that Loblaw’s discount strategy is “unusual” at this time of the year.

“January is a month of bills and there are a lot of mortgage renewals (for Canadians), so it seems like not a great time to do this strategy,” she said. The changes would be a shift for people who have come to rely on last−day discounts, Hutcheson added.

2) Loblaw Reducing Discounts On Food Items Nearing Expiry

Courtesy Barrie360.com and Canadian PressPublished: Jan 16th, 2024

Brampton

Loblaw Cos. Ltd. confirmed that it’s no longer offering discounts of up to 50 per cent on items nearing expiry.

Spokeswoman Catherine Thomas says the grocer is instead offering 30 per cent off on last-day sale items across the board in order to be more predictable and consistent. 

Thomas says in a statement that Loblaw has always offered between 30 and 50 per cent on last-day sale items. 

She says the grocer offers many ways to save through promotions and flyers, and also offers deep discounts on food nearing expiration through Flashfood, an app that connects consumers with discounted food at retailers. 

Food inflation at the grocery store has been in the spotlight even as it’s slowed from multi-decade highs, with grocery prices rising 4.7 per cent year over year in November. 

Canada’s biggest grocers, including Loblaw, have been under pressure from the federal government to stabilize food prices. 

3) NYC Chef’s 6:1 Method To Grocery Shopping Goes Viral, Saying It Cuts Cost, Food Waste, and Time At The Store

WHAT’S TRENDING WITH MJ

MJ BradfordPublished: Jan 19th, 2024 9:09am, Courtesy of Barrie360.com

If you think you spend too much time in the grocery store more than a few times during the week, this method is worth a shot.

A New York City chef has a simple solution called the “6:1 method.”

Chef Will Coleman posted how to use this technique on TikTok. The video has received over a million views.

He suggests grabbing “six veggies, five fruits, four proteins, three starches, two sauces or spreads and one fun thing for yourself.”

https://www.tiktok.com/embed/v2/7319664712189234474?lang=en-US&referrer=https%3A%2F%2Fbarrie360.com%2Fgrocery-shopping-viral-method%2F

He says the method will cut costs, and you get better quality food items instead of paying for high-priced foods that are prepackaged or processed.

In an interview with “The Post,” he explained he came up with the method from a need to streamline his shopping experience.

He says this will help reduce expenses and stop you from making unnecessary purchases.

It also goes a long way to alleviate food waste.

“I was frustrated with spending excessive time in stores, wasting groceries, and exceeding my budget. I designed this method to simplify the process and address these challenges.” He says.

Coleman says the 6:1 method will also work for a larger family; you have to tweak it by grabbing a few more single items.

https://www.tiktok.com/embed/v2/7320333525562101038?lang=en-US&referrer=https%3A%2F%2Fbarrie360.com%2Fgrocery-shopping-viral-method%2F

His TikTok account is loaded with tips on how to make it work for you, so check it out