I am sure that most of the members here have had a supplier come and want you to switch to their house brand. I just went through such an experience with pineapple and thought I would share the results.
I currently use a well known brand of pineapple which I purchase from one of the wholesale club stores in my city for pricing reasons. I was sent a sample of my supplier’s house brand in an effort to get that portion of my business.
I did a blind taste test with all my staff and several of my customers. The results were 100% preferred my current selection. Now here is where it got interesting. In order to determine the actual cost difference between the products I weighed the contents of the cans and found the house brand contained nearly one pound less product.
I then looked at the cost per pound and discovered the house brand would cost 26% MORE than my current choice.
The moral of this story is don’t assume cans of a product are equal across brands. Find out the actual yield of an ingredient when you are calculating your costs.
I currently use a well known brand of pineapple which I purchase from one of the wholesale club stores in my city for pricing reasons. I was sent a sample of my supplier’s house brand in an effort to get that portion of my business.
I did a blind taste test with all my staff and several of my customers. The results were 100% preferred my current selection. Now here is where it got interesting. In order to determine the actual cost difference between the products I weighed the contents of the cans and found the house brand contained nearly one pound less product.
I then looked at the cost per pound and discovered the house brand would cost 26% MORE than my current choice.
The moral of this story is don’t assume cans of a product are equal across brands. Find out the actual yield of an ingredient when you are calculating your costs.
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