1. Budgeting and Shopping Strategies

2. Establish a Food Budget
A budget is a plan for managing money
Can help consumers get more for their money
Good PLANNING can help consumers create tasty, nutritious meals within their budget

3. Shopping Strategies Create a categorized shopping list Take calculator
Helps consumer remember what he/she needs
Decreases time in the store
Saves money
Take calculator
Helps keep track of spending
Create a categorized shopping list
Makes your shopping more organized and easier to complete
Take calculator
Helps you keep track of what you spend while you shop.
Avoid shopping hungry or tired
You will spend more money if you shop hungry or tired.
Shop alone
You will save money shopping alone. No children telling you they want this and that.

4. Shopping Strategies cont.
Avoid shopping hungry or tired
Customers spend up to 15% more on food whey they shop hungry because they give in to impulse buys
Shop alone
Not being persuaded by others to make an impulse buy

5. Shopping Guidelines and Advertising Strategies
Loss leaders
Sale items that are sold at a low price to get customers to the store to purchase the item in hopes that the consumer will also purchase other items
Coupons
Coupons offer savings on specific products
They should only be used on products that a consumer would purchase anyway
Rebates
Rebates are a partial or full refund from the maker of an item
Consumers pay the full price for an item, complete the rebate coupon and send it to the manufacturer and are then given a check for the rebate
Beware of Loss leaders
They get you into the store to purchase the bargain and often end up buying extra items.
Impulse buying
Items you did not intend on buying
Most popular and profitable items are at eye level to encourage buying
End isle displays
Layout of store
Set the most sought after items in the rear of the store. This forces shoppers to walk past other items that may be purchased on impulse.
Shelf placement of items
Place more popular brands and more expensive brands at eye level

6. Shopping Guidelines and Advertising Strategies
Impulse buys
Most grocery purchases are on impulse or unplanned
Grocers typically make more money on these impulse buys than on sales of staples such as bread, milk, and eggs
Layout of store/shelf placement
Layout: Common food items are often placed at the back of the store to force customers to walk past merchandising temptations
Shelf placement: best sellers and other leading brands are placed in the “Bulls-Eye zone” front and center at eye level
Coupons usually offered on national brands; check cost of other brands to compare.
Use coupons when the final cost is less than other comparable brands/products.
Coupons are often used to get consumer to try new products.
Consumer often purchase items they don’t use/need because of the coupon incentive.
Rebate coupons – often require original receipt and proof of purchase. Hard to sometimes track; additional time and postage incentive.

7. Shopping Guidelines and Advertising Strategies
Package dating
Some packages are stamped with a date that indicates freshness and how long it can safely be used
Sell-by date: last day the product should remain on the store shelf
Use-by date: last day on which the product will still have high quality
Define:
Price per unit – ounce, quart, pound or other unit to show the best value.
How to figure out:
Unit price/cost per serving = total price divided by the number of units/servings.
Where to find on label:
Unit pricing is often figured and listed on the store shelf.

8. Shopping Guidelines and Advertising Strategies
Unit pricing/cost per serving
Unit pricing is the cost per ounce, quart, pound, etc.
Usually listed on the shelf label
Calculated by dividing the item’s total price by the number of units
Interpret package information
Food labels are part advertising and part information
Understanding labels and distinguishing facts from claims is an important shopping skill
Unit pricing is a way to compare brands and also different size packages/containers of the same brand.
Largest package isn’t always the least expensive per unit/serving size.
Larger package even if it is cheaper per unit not always best buy if the product isn’t going to be used before the
expiration date or spoilage.

9. Practice Unit Pricing Which is the better buy?
7-pack of plastic rings for $0.77
8-pack of plastic rings for $0.80
A 4-pack of wooden boxes costs $ What is the unit price?
$1.15 per box
Answer: 8-pack of plastic rings for $0.80*
Answer: $1.15 per box

10. Practice Unit Pricing Which is the better buy?
7-pack of ice cream bars for $1.12
9-pack of ice cream bars for $1.53
A 6-ounce tube of paint costs $ What is the unit price?
$2.57 per ounce
Answer: 7-pack of ice cream bars for $1.12
Answer: $2.57 per ounce

11. Practice Unit Pricing Which is the better buy?
4-pound bag of oranges for $5.88
6-pound bag of oranges for $8.34
A 2-foot piece of copper pipe costs $ What is the unit price?
$0.65 per foot
Answer: 6-pound bag of oranges for $8.34*
Answer: $0.65 per foot

12. Summary
Become a better consumer by understanding what information is on food labels.
Be careful with your money.
Budget wisely.
Be cautious of advertising strategies.
Understand how unit pricing works.

13. Next Two Class Periods Food Label Lab Comparison Lab
Name brand vs. store brand
Food Label Lab
Make Calzones and create a label for your food.