
Loblaw is Freezing Prices on No Name Products to Ease Inflation
By Ambia Staley
October 17, 2022Inflation has been hitting Canadians hard at the grocery stores recently, and Loblaw is hoping to ease the burden by freezing the prices on their no name line of products until early 2023.
In a press release from October 17, the company announced that they will be freezing prices on more than 1,500 no name items effective now through January 31, 2023.
In an email to PC Optimum members, Loblaw President and Chairman Galen Weston, said, "Anyone who regularly visits the grocery store knows that over the past year the cost of food has increased rapidly. Maddeningly, much of this is out of our control." After writing about the no name price freeze, he goes on to add, "In the weeks ahead, we'll continue to lower prices [through PC Optimum], in our flyer, and across our stores, all designed to provide immediate relief from escalating food costs."
In addition to the price freeze, Loblaw announced that it has increased support for food charities this year by adding hundreds of thousands of dollars to food banks and food recovery programs among other charity efforts.
No name products can be found at more than 2,400 stores, including Loblaws, No Frills, Real Canadian Superstore, Shoppers Drug Mart, T&T, Atlantic Superstore, and Maxi. The brand offers a wide assortment of products, including pantry items, apples, potatoes, butter, eggs and more for an average of 25% less than name brand products.
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View allAll are dried apricots + sulfates, indistinguishable size difference, & Joe's, Selection & Great Value are product of Turkey...can't find country of origin for the No Name stuff.
I'd hope these gates are properly designed (and maintained) such that people can pass through in the event of an emergency, but I bet nobody thought of that when loss prevention is their only concern. The first time a store needs to be evacuated in a hurry, there'll be a crush of people stuck behind locked gates. Curiously, I looked up local building permits, and it reveals that the ones they installed at the RCSS in Kitchener cost $10000. They're particularly amusing at this store, because it effectively made a gigantic section of floorspace no longer usable for extra stock. The interior "fence" they installed is hundreds of feet long, but as others have said, would be easy to jump over for a motivated shoplifter. Maybe next they'll add barbed wire?
Crappy Tire has been a "jail" to customers for years. Want to exit via the automotive service entrance? 'Gotta be buzzed out by an employee. Want to exit without buying something? 'Gotta impossibly squeeze beside people lined up at an open till. If huge retail stores are going to treat customers like cattle, why don't they just resort to the Consumers Distributing (and Lee Valley) model of hiding all the merchandise behind the counter?
IOW are both the same size/grade and from the same country? Do they have the same preservatives, etc.?
The local Walmart has had visible security walking the store in pairs for about 3 months. First came the gates and the bars, then came the security walking the isles and hanging around checkouts.
Looks like this may be the new normal
Since last week they have put in new barriers and exit gates to make your grocery store shopping trip more reminiscent of a max-security prison visit. This in addition to the existing cameras and the narrow 80 metre ramp that's the only exit from the store.
I guess they anticipate a new level of attempted food theft at these prices.
Honestly, if Walmart can make a profit for 40% less, wth is Loblaws doing??
As the saying goes, "Good judgment depends mostly on experience, and experience usually comes from poor judgment."
Obviously sometimes those bets don't pay off and the store is left with (sometimes significant quantities) of extra stock ordered for the flyer period. A department manager is expected to look at previous sales of the item at a given price and forecast how many he/she can reasonably sell in the upcoming flyer given the extra space being used to promote the item (etc.) but again sometimes forecasts don't work out. This can be affected by what competitors are doing (does a rival chain have a similar item on for the same or better price at the same time?) or sometimes consumers just don't respond as predicted.
Rather than punishing Jeff, quality store management would support and guide him going forward to ensure ordering is a little tighter. Punishing someone for trying to drive sales on a particular item will only make them more risk-averse and less confident in their role in the future.
My point is, we should know what is and what isn't regular pricing. It's one thing to recognize inflation, but it's another to take a ridiculously low price outlier and say that's the norm.
There was an 8.5x11" sign, printed with the same graphics as every other sign in the bakery department, stating $1.25. Product was displayed on a wire cart beside one of the wood tables. Stock had been freshly removed from the freezer based on how cold they were. The best before tags were not close dated because store staff date these items when they're defrosted. There was also product on one of the wood tables where they usually are, with a smaller electronic shelf tag that also said $1.25.
That doesn't mean prices are decreasing: they are just rising less than last year.
Of course, grocery inflation last year was something like 11-12% (unless I look at my annual tab in which case it has doubled in the last 2 years).
$1.25 sounds like a price mistake to me. You can't even get a donut for that price.. let alone 6 tarts!
Didn’t prices already increase and now we’re going to see a larger increase?
Didn’t prices already increase and now we’re going to see a larger increase?
https://www.youtube.com/watch?v=Dc2GTDk8UJA
Randomly dropping the price over 85% on something regularly sold at all Loblaw banners (even SDM) suggests Galen's bean counters know some people don't realize $7.99 for his barfy butter tarts is pure greedflation.
I’ve also seen Ultimate Chocolate Chip Cookies go for $1 a bag.
Used to buy the New Treasures Parboiled rice from NF/RCSS for $12.99/8KG until March or April this year. Then it went up to $14.99 and now it’s $17.99!! (Pic attached)
Even products from their other house brand, the Rooster brand have been going up like crazy. The jasmine Scented rice 8Kg was $21.99/22.99 just last month. And now it’s $25.99 for the same bag.
in other words they took away product and did not lower the price.
meaning there is more shelf space due to package shrinking,and loblaws sells that space to another product,non no frills at a hefty price
Because it's COMPLETELY opposite of what a capitalist market is set up to do.
Many companies proclaim they are 'for the environment', or whatever else, but deep down they aren't doing it 'out of the goodness of their hearts' because, simply, they don't HAVE hearts. They're doing it because it brings them more money due to the marketing effect. People are willing to spend double or triple for an item at Whole Foods because they've done an INCREDIBLE job convincing the public that their product is 'better' for the planet, or health, or some other thing. Whether that's true of not in a particular example is not important.
'The war against the straw' is a clear example of this marketing stuff. Companies proclaim from the top of mountains that they are eliminating straws, and then give you a plastic cup with a plastic lid, and a paper straw, that doesn't work nearly as well as the plastic variety, so they give you two since they know the first one will 'melt' in the liquid before you're done drinking. It's lip service, a marketing ploy to get you to spend with them.