Grocery prices drop for first time in a year, but shoppers not seeing relief at register (2024)
‘I have two kids now, so feeding them has really just done a toll on our budget’
ROANOKE, Va. – Nowadays, a trip to the grocery store can cost hundreds and you’re likely leaving with less.
For the first time in a year, inflation data shows that grocery prices have dropped. According to the latest Consumer Index Report, grocery prices fell by 0.2 percent from March to April. The price of meats, poultry, fish, eggs, fruits, and vegetables all dropped in April. The price of cereals, bakery products and dairy increased.
Have the day's biggest stories arrive in your inbox every day at 8 p.m.
Although the spike in food prices is slowing, local shoppers say their dollar doesn’t go far.
“I think something people forget is it’s compounding. So yeah, it’s 1 percent now. It was 2 percent before then. But over time, it builds and builds and builds. Prices aren’t going down. So feeling the effects of that, for sure,” said one shopper, Matthew Pendleton.
“[Prices] are definitely a lot more than I remember them being,” said another shopper, Caitlin Bigman.
Even though inflation on food prices has stalled, Pendleton said he’s still feeling the sting at the register.
“I come out with less stuff. make more choices. Might take a little bit longer. put something back on the shelf. think about it a little bit more. So Just more selective in what I’m actually buying,” said Pendleton.
Overall, food prices are up 2.2 percent from last year. The cost of dining out is also up 26 percent since before the pandemic, which has many Americans cooking meals at home.
Another shopper, Caitlin Bigman, said it’s getting harder to feed her family.
“I have two kids now, so feeding them has really just done a toll on our budget,” said Bigman.
She said she has to make choices about what foods fit in her family’s budget.
“Get more creative. Try and pick things, meals, that I can kind of use the same things over and over again, so we’re not doing grocery runs all the time,” said Bigman.
“Maybe in the beginning, it was reacting to the market and now I think it’s just, kind of, greed,” said Bigman. “You have to buy food. There’s not an option. So, you’re going to pay what you’re going to pay.”
10 News asked Kroger how the company sets its food prices and got a statement that reads:
“As a company, we strive to provide the best value to our customers while remaining competitive in each geography we operate in. Our pricing strategy considers various factors such as competitive activity and customer preferences. This approach allows us to adapt to the unique dynamics of each market, remain sustainable, and offer pricing that is both fair and competitive.
Kroger is a destination for fresh affordable food with zero compromise on value, quality, or convenience. Kroger also offers our customers a variety of ways to save through our loyalty program where customer can take advantage of weekly sales, digital deals, fuel points and Our Brands savings and additional promotions and special offers.”
Food prices are expected to continue to decelerate in 2024 compared to recent years. In 2024, prices for all food are predicted to increase 2.2 percent, with a prediction interval of 1.2 to 3.2 percent.
Food shoppers can finally breathe a slight sigh of relief: After years of increases followed by months of plateau, grocery prices fell last month. Grocery prices retreated 0.2% from March to April, adjusted for seasonal swings, according to inflation data released Wednesday by the Bureau of Labor Statistics.
Did you know that you can negotiate prices, especially when food is approaching its “sell by” date? That date doesn't necessarily mean a product will go bad by then — but it does mean the item's price isn't final.
It is contrary to the fundamental principles of market economics to regulate what sellers charge for their products or impose a rule that they cannot vary their prices for the same goods when selling them to different customers.
Third-degree price discrimination occurs when a company charges a different price to different consumer groups. For example, a theater may divide moviegoers into seniors, adults, and children, each paying a different price when seeing the same movie. This discrimination is the most common.
Bread now costs over $2 per pound — $2.03, to be exact, as of January. Last January, the same pound cost just $1.89 for a year-over-year increase of 7.7%. A standard loaf of sliced white bread weighs 20oz, which means a loaf costs about $2.54, so $20 can buy you just shy of eight loaves.
It happened because Bidenomics spent and printed record amounts of money over the last four years. Like any other good or service, the value of money depends on supply and demand. If there is more money in the economy than the market can absorb, its value will come crashing down, and prices will increase.
According to officials with the US Department of Agriculture, 2024 could be the year it happens, at least by a little bit. Last week, the agency released its Food Price Outlook for the new year. In the report, USDA officials predict that grocery store prices will fall by . 4%, after seeing a 5% increase in 2023.
Global food prices are expected to ease further in 2024 and 2025 (2 and 3 percent, respectively) as the global supply outlook continues to improve. Despite recent declines, inflation-adjusted food prices in 2023 remain at levels comparable to the food price spikes of 2007-08 and 2011-12.
Looking at overall food inflation, the annual rate for March 2024 was 2.2%. That's down from the shocking peak of 11.4% in August 2022, but still higher than the 20-year average of around 2.7%.
If you want to maximize the chances of paying low prices at the grocery store, shopping mid-week may be the way to go. Specifically, many experts advise shopping on Wednesday and Thursday.
If you want to catch the cheapest deals on groceries, the secret is to shop on Wednesdays. I talked to registered dietician Emily Woody and nutritionist and meal prep expert Eleesha Lockett to get their insight on why Wednesdays are billed as the all-around best days to shop for groceries — here's what they had to say.
The president does not control grocery prices in the U.S. Instead, “prices generally are set by sellers, and price change typically comes from market forces,” according to Steve Reed, an economist at the U.S. Bureau of Labor Statistics.
Two common examples of indirect price discrimination are coupons and quantity discounts. Coupons offer discounts for products and are especially common in grocery stores, where they are usually provided in a free newspaper section at the front of the store. Coupons discriminate on the basis of the cost of time.
Wal-Mart's success, however, is not universally admired. In fact, it is often accused of engaging in anticompetitive business practices. Many smaller retailers and some consumer advocates allege, for instance, that Wal-Mart intentionally and unfairly quashes competition through extremely low prices.
A seller charging competing buyers different prices for the same "commodity" or discriminating in the provision of "allowances" — compensation for advertising and other services — may be violating the Robinson-Patman Act.
Second-degree price discrimination, which is also called product versioning or menu pricing, is normally applied through: Quantity discounts, such as special offers to customers who buy in bulk over those who buy a single product.
Introduction: My name is Corie Satterfield, I am a fancy, perfect, spotless, quaint, fantastic, funny, lucky person who loves writing and wants to share my knowledge and understanding with you.
We notice you're using an ad blocker
Without advertising income, we can't keep making this site awesome for you.
