Calculating the unit price of grocery items can really help you save money at the store, whether or not you clip coupons. With different brands and sizes of food product, it can often be difficult to know exactly what you are spending until it is too late and you are checking out at the cash register.
Here is how to calculate the unit cost at the grocery store, so you can always get the best deal. Unit pricing can help you maximize your purchasing power.
Where Can I Find the Unit Price
Most stores have to display the unit price on their products when they display the cost of the item. Usually this is in an orange or yellow box to the left of the price. The price will be displayed on the shelf directly below the item. Items that are on sale will also have the unit price reflecting the sale price.
With some goods, such as packaged meat, the unit pricing may appear on the package itself.
Understanding the Unit Price
Reading the unit price can be confusing. For example, olive oil may have a unit price of about $51 a gallon. This can get confusing when all you want is 16 ounces of the stuff.
In general, the lowest unit price for the same or similar items, the better deal that you are getting. Compare your 16 ounce olive oil at $51 per gallon to a 25-ounce bottle of the stuff at $44 a gallon. The larger bottle has a lower unit price, so you’ll pay less per ounce, even if the price tag is higher since you are getting more oil.
Buying in bulk, as long as you can use something before it goes bad or expires is usually a good way to save money, and the unit price will back this up.
Apples to Apples
With unit pricing, it is important to compare apples to apples, or in other words, make sure that your are looking at the same units of measurement. Comparing gallons to pounds may get confusing and misleading, so look for the declaration of the unit. You’ll see it under the unit price and it will say “per ____.”
Bad Assumptions
Unit pricing can also reveal the bad assumption that buying in bulk or buying generic brands will always save you money. Sometimes a larger container will cost you more per unit, and a name brand may cost less than a generic brand.
By knowing how to read and calculate the unit price, the guesswork is gone, and you’ll be able to tell right away if you are getting the best value for your money.