2 For 1 Offers

Author
Discussion

blindswelledrat

25,257 posts

232 months

Friday 29th August 2014
quotequote all
bad company said:
Never mind the kids return to school next week and young tom won't be around as much.

Not very good at debate are you.
You cant debate with someone who doesn't acknowledge a single point that is made that is different to their own.
Its exactly as effective as trying to teach a worm to do the high jump

Tonsko

6,299 posts

215 months

Friday 29th August 2014
quotequote all
On non-food items, I don't really have a problem with it beyong vague misgivings about 'those companies must be swindling us somewhow' silliness. But foodstuffs, just encourages folk to buy more, and then potentially waste it as it goes off/isn't eaten etc.

Mermaid

21,492 posts

171 months

Friday 29th August 2014
quotequote all
Tonsko said:
On non-food items, I don't really have a problem with it beyong vague misgivings about 'those companies must be swindling us somewhow' silliness. But foodstuffs, just encourages folk to buy more, and then potentially waste it as it goes off/isn't eaten etc.
Good for large families.

TKF

6,232 posts

235 months

Friday 29th August 2014
quotequote all
bad company said:
In both cases I left the shop without making a purchase.
Quite right too. A man's gotta have a code to live by in this world. Well done for sticking to your principles.

TKF

6,232 posts

235 months

Friday 29th August 2014
quotequote all
Mermaid said:
Tonsko said:
On non-food items, I don't really have a problem with it beyong vague misgivings about 'those companies must be swindling us somewhow' silliness. But foodstuffs, just encourages folk to buy more, and then potentially waste it as it goes off/isn't eaten etc.
Good for large families.
Or people with freezers. AKA everyone.

wolves_wanderer

12,387 posts

237 months

Friday 29th August 2014
quotequote all
bad company said:
wolves_wanderer said:
I worked in a shop that did this sort of offer all the time and the price never went up to allow the multibuy to be subsidised.

With your complete unwillingness to accept any contradictory evidence, have you considered a career doorkncoking for the Jehovah's Witnesses?
So the shop just decided to give away the second item for nothing? As it was presumably not a charity shop this sounds unlikely.

The funding has to come from somewhere - if not the shop then the manufacturer.
banghead

Tonsko

6,299 posts

215 months

Friday 29th August 2014
quotequote all
Indeed. However, I think though by and large, it tempts people to buy more than they need. I think Mozzas tried an adaption of BOGOF to 'one free to freeze' as part of a process to reduce food waste. Exact figures are hard to come by of course, but people in the know seem to think that it's significant.

Oakey

27,566 posts

216 months

Friday 29th August 2014
quotequote all
Fartomatic5000 said:
This is how Mountain Warehouse do BOGOF offers, photo taken May 2014...

WOW, £14.99 is a bit rich for 500g of gas...


Let's just see what the previous price was, pre-BOGOF...


A total rip-off. Customer ends up paying £14.99 for two cylinders instead of £9.98 in this very special offer.
Erm, if the original price was £4.99, and it's BOGOF, then the price for 2 canisters should be... £4.99?

So they're actually screwing you out of £10

Disastrous

10,083 posts

217 months

Friday 29th August 2014
quotequote all
Similarly, in the airport recently, I reached the till in WH Smith, magazine and bottled water in hand, poised and ready to transact. Well, the devious bh on the till only fking 'pointed out' the array of confectionary in front of her and told me they were doing a so-called 'special offer' on Dairy Milks if I was 'interested'...!

I know!


"Oh is that right??" I replied, striking the perfect tone between condescension and incredulity. "And just who's subsidising your so-called special offer then? Because I can tell you it will NOT be me and my copy of 'Network Admin' magazine!"

And with that I threw the lot on the floor in front of her and left without making a purchase.

Sometime later, I purchased a drink on my Easyjet flight but as the water was a different brand, I shan't tell you the much higher price I paid as it's not relevant.

Needless to say, I had the last laugh and would be VERY surprised if that checkout girl tried too fool any more unsuspecting shoppers that day!

wolves_wanderer

12,387 posts

237 months

Friday 29th August 2014
quotequote all
Disastrous said:
Similarly, in the airport recently, I reached the till in WH Smith, magazine and bottled water in hand, poised and ready to transact. Well, the devious bh on the till only fking 'pointed out' the array of confectionary in front of her and told me they were doing a so-called 'special offer' on Dairy Milks if I was 'interested'...!

I know!


"Oh is that right??" I replied, striking the perfect tone between condescension and incredulity. "And just who's subsidising your so-called special offer then? Because I can tell you it will NOT be me and my copy of 'Network Admin' magazine!"

And with that I threw the lot on the floor in front of her and left without making a purchase.

Sometime later, I purchased a drink on my Easyjet flight but as the water was a different brand, I shan't tell you the much higher price I paid as it's not relevant.

Needless to say, I had the last laugh and would be VERY surprised if that checkout girl tried too fool any more unsuspecting shoppers that day!
I myself was ready to pull the trigger on a McDonalds burger, chips and drink the other day. Imagine my horror when I discovered that there is a discount for buying all three products together.

I summoned the manager and gave him a dressing down, leaving without buying anything. Unfortunately I am diabetic and subsequently crashed the car but at least my point was proved.

Countdown

39,883 posts

196 months

Friday 29th August 2014
quotequote all
Mermaid said:
Countdown said:
V8LM said:
BOGOF and the like is fine except when it involves medicines.
why excepting medicines?
Such promotions are to encourage consumption.

BOGOF, BOGOHP typically fully funded by manufacturer to encourage use/loyalty of their product against their competition. Retailers claim full discount from suppliers, and end up making a higher margin on the single items sold where the end customer has not taken benefit of the offer.
In the OP's case they can't encourage consumption because (a) Nobody takes more medicine than they need to and (b) medicines tend to have a relatively long shelf life.

Whilst much or all of the cost may be borne by the supplier, they also reap some of the benefits, in terms of increased market share, reduced marginal costs. IIRC retailers HAVE to achieve certain sales targets in order to benefit from the bulk discount prices provided by suppliers.

With regards to end-customers, only a nincompoop would struggle to work out whether they are better or worse off by utilising BOGOF offers. For non-perishables that you would purchase anyway they are a no-brainer.

p.s. the main supermarkets don't increase the price of single items to compensate as this would make them MORE expensive when price surveys are carried out.

Hackney

6,841 posts

208 months

Friday 29th August 2014
quotequote all
bad company said:
Mermaid said:
Such promotions are to encourage consumption.

BOGOF, BOGOHP typically fully funded by manufacturer to encourage use/loyalty of their product against their competition. Retailers claim full discount from suppliers, and end up making a higher margin on the single items sold where the end customer has not taken benefit of the offer.
clap
Except they don't. The retailer will only get a case price reduction if the promotion is a "money off", and therefore *every* pack will be sold at the reduce price.
A BOGOF or BOGOHP promotion will be retro funded from EPoS sales. Unless the manufacturer / supplier is a complete numpty.

blindswelledrat

25,257 posts

232 months

Friday 29th August 2014
quotequote all
This has all gotten under my skin.
I popped over to Tesco for a sandwich and was about to part with £2.50 of my hard-earned for a nice little chicken salad number when something struck me.
Bread, right, only cost £1.20 and contained enough bread for 10 sandwiches. Butter was £1, a whole chicken was £4 and mayonnaise was £1. Clingfilm was a pound too.
So I worked out I could have bought those, roasted the chicken, de-meated the carcass and then made a sandwich every evening to take to work for 10 nights for maybe £9. Admittedly the bread and chicken may have wretchedified by then but its not the point.
Less than £1 a sandwich is what it should cost.
Now obviously there is no way on this earth I am doing all that to make a simple fking sandwich, but then I have just proved that a sandwich only costs £1 so I am buggered if I am going to pay £2.50 for one.
THe upshot is that I am very very starving but proud of myself that Tesco has not made a fool of me.

Gandahar

9,600 posts

128 months

Friday 29th August 2014
quotequote all
In similar vein.

Mcdonalds do not do menu prices online but this is probably quite accurate.

http://www.fastfoodprice.co.uk/mcdonalds-prices/

Now looking at chicken nuggets

Chicken nuggets

x6 £2.59
x9 £2.99
x20 £4.19


Then I cross checked to see if this crazy scheme was true ( it is the internet after all)

Chicken Mc Nuggets 6 Pieces Sandwhich £2.19
Chicken Mc Nuggets 9 Pieces £2.49
Chicken Mc Nuggets 20 Pieces £3.99

So taking the average

x6 £2.39
x9 £2.74
x20 £4.09


Is it any wonder we have fat kids grabbing the 20 piece from the back seat of the BMW X6 whilst blubby mummy up front gives the money over?


TKF

6,232 posts

235 months

Friday 29th August 2014
quotequote all
Thanks for explaining economies of scale to us.

Hackney

6,841 posts

208 months

Friday 29th August 2014
quotequote all
bad company said:
wolves_wanderer said:
I worked in a shop that did this sort of offer all the time and the price never went up to allow the multibuy to be subsidised.

With your complete unwillingness to accept any contradictory evidence, have you considered a career doorkncoking for the Jehovah's Witnesses?
So the shop just decided to give away the second item for nothing? As it was presumably not a charity shop this sounds unlikely.

The funding has to come from somewhere - if not the shop then the manufacturer.
I know I haven't reached the end of the thread yet but you really need to take on board the views of some other people rather than sticking to the same logic.
On a BOGOF everyone will make less £ profit (manufacturer and retailer), the retailer will probably make the same %age profit though.

For example, my product costs £1 to make and I sell it for £2.50. I make £1.50 per unit
The retailer sells it for £3.60 and makes £1.10 per unit (31% margin)

For a BOGOF my cost remains the same, £1 but I now sell for £1.25 so my profit is only £0.25
The retailer sells for £1.80 and makes £0.55, but still makes 31% (margin maintained)
So everyone makes less money on each product, they haven't "just decided to give away the second item for nothing"
This is why on multi-buys the manufacturer would want to retro-fund the promotion rather than offer case discount. ie you tell me how much you sold on the deal and I'll give you the rebate, rather than assuming 100% buy-in to the deal.

The hope is that you drive loyalty / repeat purchase, although long term benefits are doubtful particularly in highly promoted categories like shower gel.

Gandahar

9,600 posts

128 months

Friday 29th August 2014
quotequote all
blindswelledrat said:
This has all gotten under my skin.
I popped over to Tesco for a sandwich and was about to part with £2.50 of my hard-earned for a nice little chicken salad number when something struck me.
Bread, right, only cost £1.20 and contained enough bread for 10 sandwiches. Butter was £1, a whole chicken was £4 and mayonnaise was £1. Clingfilm was a pound too.
So I worked out I could have bought those, roasted the chicken, de-meated the carcass and then made a sandwich every evening to take to work for 10 nights for maybe £9. Admittedly the bread and chicken may have wretchedified by then but its not the point.
Less than £1 a sandwich is what it should cost.
Now obviously there is no way on this earth I am doing all that to make a simple fking sandwich, but then I have just proved that a sandwich only costs £1 so I am buggered if I am going to pay £2.50 for one.
THe upshot is that I am very very starving but proud of myself that Tesco has not made a fool of me.
So you are lazy and you are complaining about it. Either stop being lazy or let the big corporations feed your lazyness at a cost. That's the complete point, surprised you have suddenly found this enlightenment to be honest.

When I was growing up in Heywood, Lancs, in the 1970's I had a single mum. So she used to make a chicken bought on Saturday last the whole week between us. You don't have the inclination that's all.

My mum told me some interesting pointers about those times. She used to go to Bury market where you could buy chickens cheap that had got mangled in the processing plant so you could get one without a leg cheap. She also said they sold cracked eggs cheap just to sell them on.

Cracked eggs and 1 armed chickens? Health and safety now would nail you for the first and Tesco's will never sell the latter. Perhaps we are just all getting a bit too fussy. How much waste is there in the UK?

My mum was brought up through the war though. She learnt through that to make things do. Something I appreciated in the 1970's growing up as she never took a penny from the state.

Cracking lady, aged 88 now and still going strong. She is still using her sewing machine, her Necchi machine she bought in the 1950's blew a bulb last week... guess what, having problem finding a replacement....

It's another world.

So don't complain about offers. This is the consumer society circa 2014, buy today as cheaply as possible and dump tomorrow as cheaply as possible.

Finally


"THe upshot is that I am very very starving but proud of myself that Tesco has not made a fool of me"

You are not very very starving, you are slightly hungry and we can stand Bob Geldof down.

tongue out






Edited by Gandahar on Friday 29th August 12:59

Gandahar

9,600 posts

128 months

Friday 29th August 2014
quotequote all
TKF said:
Thanks for explaining economies of scale to us.
I didn't actually, it's just that you didn't think about it enough and batted off that quick reply. M whole point is those are not economies of scale.

Look at the amounts again for each number of nuggets. That is not the economy of scale, it's marketing and getting you to go the extra bit.

wink


Countdown

39,883 posts

196 months

Friday 29th August 2014
quotequote all
Gandahar said:
In similar vein.

Mcdonalds do not do menu prices online but this is probably quite accurate.

http://www.fastfoodprice.co.uk/mcdonalds-prices/

Now looking at chicken nuggets

Chicken nuggets

x6 £2.59
x9 £2.99
x20 £4.19


Then I cross checked to see if this crazy scheme was true ( it is the internet after all)

Chicken Mc Nuggets 6 Pieces Sandwhich £2.19
Chicken Mc Nuggets 9 Pieces £2.49
Chicken Mc Nuggets 20 Pieces £3.99

So taking the average

x6 £2.39
x9 £2.74
x20 £4.09


Is it any wonder we have fat kids grabbing the 20 piece from the back seat of the BMW X6 whilst blubby mummy up front gives the money over?
Why is it cheaper to buy the Nuggets in a sandwich? Shirley you'd buy the sandwich nd throw away the "bread" element? Or maybe you could resell the bread thereby making even more "profit"/savings on the nuggets?

Winner winner chicken dinner biggrin

p.s. which part of the chicken do the "nuggets" come from? scratchchin

Gandahar

9,600 posts

128 months

Friday 29th August 2014
quotequote all
Countdown said:
p.s. which part of the chicken do the "nuggets" come from? scratchchin
Who knows

http://www.reuters.com/article/2014/07/25/us-china...

Same for beef, even the supermarkets got caught out with burgers etc a short time back.

The basic fact of the matter is that the supply chain is very long and each part of the supply chain wants to maximise profits. The end seller might be acting in good faith or not added to that.

Still, I want that kebab after a few pints on a Friday. Sometimes you have to live on the edge, especially when so tasty biggrin



Edited by Gandahar on Friday 29th August 13:06