The island of misfit foods: Why is Grocery Outlet so cheap?
About a mile from my house there’s a slightly shabby strip mall housing a Dollar Store, a Ross Dress for Less, and something called a ‘Grocery Outlet’. For two years, I’ve driven past that sign — on my way to Costco, Fred Meyer, and Trader Joe’s — without ever giving it a second thought. I’ll pick through thrift-store racks for clothes, sure, but I’m a snob about food, and ‘Grocery Outlet’ smacked of discards and dregs.
After six months of only part-time employment and a pared-down budget, though, I start eyeing the sign more speculatively. One day I gather up my cloth bags and my determination and head over to expand my grocery comfort zone.
Inside the Grocery Outlet
The building is old, with scuffed tile floors and aged metal shelves. The shopping carts are battered cast-offs from other stores. But the lighting is bright and everything is clean. The warehouse-style setup, stacked cardboard boxes cut open for access to the cans and boxes inside, is familiar to anyone who shops in a club like Costco or Sam’s. My fellow shoppers are a cross-section of ages, races, and economic classes; the only thing I don’t see is someone in a business suit. That’s typical of Seattle, though — not even Whole Foods gets customers in suits.
Making the circuit of the store, I discover all of the categories that one might expect from any supermarket — canned goods, produce, dairy, snacks, frozen foods, household cleaners, beauty products, paper goods, pet food, vitamins, and so on. Only the service counters, like seafood and deli, are absent. Everything is well-organized by type and the displays, while low-tech, are tidy. Some of the items are there for obvious reasons, like dented cans or corner-crushed boxes; others are a mystery. I warily check ‘best-by’ dates but find nothing alarming.
I recognize a lot of brand names, but there are unknown labels too. I am surprised by the number of ‘organic’ offerings, bemused by the aisle of random toys, and startled again to see a wall of discounted wines. The cheapest is $2.99 but some are close to $20 per bottle; I am not enough of a wine connoisseur to assess the savings. I do take home a German Riesling for $3.99. It turns out to be quite good, at least to my uneducated palate. When I come back the next week there are only three bottles left; I hoard them all.
The Island of Misfit Foods
Imagine a grocery store that sells only loss leaders, and you’ll have a pretty good idea of what shopping a salvage store is like. There are no ads, of course; every visit is a surprise. A Seattle Yelp contributor calls Grocery Outlet ‘The Island of Misfit Foods,’ which is as apt as it is funny. Most of the offerings are one-time bargain purchases; once the current stock is gone it’s replaced with something else entirely. One week I snagged two cartons of perfect large organic brown eggs for 99 cents per dozen; another time they had no eggs at all. The ice cream selection might be pints of Ben and Jerry’s or something labeled in Spanish.
This particular store is clearly making an effort to function as a regular grocery by keeping certain staples — such as milk, cheese, a cross-section of produce — always available. Prices for these items are equivalent to common grocery loss-leader or sale prices ($1.99 for a gallon of milk, $1 for a one-pound bag of pre-cut carrots). One oddity is that all produce is sold by the piece, with no scales in sight, making it difficult to compare loose items like broccoli or squash that are elsewhere priced by the pound.
There’s a clear distinction between what I’ll call the ‘stock’ produce and the ‘deal’ produce, however. ‘Deal’ produce comes in much greater quantities and rotates as unpredictably as anything else in the store, and can be a much better value.
As you might expect, produce is also the most hit-and-miss category, quality-wise. I saw avocados that looked nearly mummified, and bought jalapenos that tasted like bell peppers, inexplicably lacking any hint of heat. On the other hand, I found perfectly good red, orange, and yellow sweet peppers at 50 cents each, which knocked my socks off. (For comparison, the best sale I’ve ever seen was $1 each, and $2-$2.50 is typical.) I walked in last week just as they were setting up a luscious display of Driscoll’s organic raspberries at $1.50 per 6-ounce carton. I don’t usually pay the premium for organic groceries, but this was a steal, comparatively: later that day I saw the exact same size and brand at a regular grocery for $4.49.
If you also shop a warehouse club and have the ability to store large quantities, you’ll find that some items are still cheaper that way. Grocery Outlet has one-pound bags of frozen edamame for $1.29; I buy a 6-pound bag at Costco for $6.99, or $1.17 per pound. It helps if you keep a price book (or have an exceptional memory).
My grocery needs skew heavily toward fresh and frozen items and away from the ‘shelf-stable’ cans, bags, and boxes that of course make up most of a liquidator’s stock, but I’ve found plenty of pantry items I could use: cans of olives, vegetable broth, Heinz ketchup, a box of Kashi cereal at $2.49. Right after I started making my own bread I found five-pound bags of whole wheat flour for $1.99 each, 46% cheaper than the best local grocery price.
Locating Grocery Liquidators
I don’t see Grocery Outlet wholly replacing any of my current stores, but it’s earned a solid place at the front of the rotation. I’m accustomed to checking the loss leaders and produce sales each week, then planning meals around what’s cheap; this is just an extension of that strategy. A chat with an employee reveals that my store gets shipments on Mondays and Fridays; produce and frozen foods come in Monday morning and are on display by early afternoon.
How do you find an ‘Island of Misfit Foods’ near you? In the western states, try Grocery Outlet’s web site. Otherwise, gnivas.com has a list of salvage food stores organized by state. (Call ahead though, as some of the listed stores have gone out of business.)
If neither of these turn up something in your area, don’t give up — there are thousands of independent stores not listed here. Try searching the web for your location plus ‘grocery surplus’, ‘grocery salvage’, ‘banana box’, ‘discount grocery’, or — if you live in Ohio, Pennsylvania, or Indiana — ‘Amish grocery’.
Most grocery liquidators are independently owned, and even the chains like Grocery Outlet are independently operated franchises. So your local store may be quite different from mine. It’s worth checking out, though, even if you’re a food snob like me.
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There are 84 comments to "The island of misfit foods: Why is Grocery Outlet so cheap?".
Check unit pricing carefully at a place like this. While I’m sure that it varies from store to store, the grocery outlet in our area had few things that were better priced than the Winco grocery store where I usually shop.
Another tip: shop local ethnic grocery stores. We have a large Vietnamese community in our area. I’ve found that produce can be as much as 50% cheaper, and common spices show the same savings. Excellent tips Karawynn.
Wow, I’ve never heard of this concept, but it’s a fantastic idea. “Grocery” is an area of our budget that we struggle with at times and this would certainly help us with select items.
Lately, we’ve been trying to ONLY buy what’s on a pre-determined list in order to control our impulse purchasing. Have you found that it’s a little harder to control yourself in a set-up like this? I can imagine I might go a little crazy buying stuff I might not need just because it’s a great deal.
On the other hand, if you are getting it at a big enough discount it would surely still be worth the occasional non-planned purchase. How do you deal with this?
Great resource, I’m off to search for some local stores back home!
We love the local Aldi store, just remember they don’t take credit cards (at least ours doesn’t!)
Good article with interesting links and well-written.
Checking the links, though, there’s nothing in our area. Also, at this point with two working parents and two children, we only have a finite amount of time to make it to the grocery store. We plan meals in advance and shop from a list, so it’s more critical that we get what we need when we need it. Visiting more than one store in a trip becomes very time consuming — although we will hit up Trader Joe’s and BJ’s about once every 6 weeks, as TJ’s has a lot of stuff that only they do well, and BJ’s does some other stuff well in bulk.
Interesting … don’t think we have these in Toronto, at least not that I’ve heard of. From the photos it looks nicer than several of the non-liquidator supermarkets around here! I’m guessing the “element of surprise” aspect could go either way … fun or very annoying.
Kris and I have a Grocery Outlet near our house, too. I included it when I did my survey of which has the best prices: grocery stores or farmers markets?
We don’t shop at Grocery Outlet as much as we could. I’m not sure why. It is a sort of adventure. And a Big Lots lives next to our Grocery Outlet, so we could conceivably hit up both at the same time.
“We plan meals in advance and shop from a list…Visiting more than one store in a trip becomes very time consuming”
And if you’ve got kids in tow, it can be simply impossible! If you’re already planning meals in advanced, then you’re most of the way to our solution.
If you can plan meals out 3 weeks, you can hit up Costco/Sams Club one week, a discount store the next, and a standard grocer the following week.
We typically buy our meat and staples (flour, rice, sugar, etc.) at costco. The next week we’ll go to a discount grocer and get any canned veggies and boxed goods (cereal, rice-a-roni, etc.) that is on sale and fits into our meal plan. The last week, we’ll hit up the local regular grocery for things like spices, ice cream, veggies, lunch meats and the likes.
I do duck into the real grocery store about once a week for milk and produce as needed, but the trips are so quick I don’t even get a cart.
You’ll have to add “Western Maryland” to the list of places with Amish grocery stores; I live in the farthest-west county in Maryland, and we have one not far from where I work that my family and I shop at quite frequently. They are fairly small, but they do a pretty good amount of business in their specialties, which are things like sodas/bottled drinks, canned fruits, bagged chips and pretzels, etc. They also sell locally made jellies, jams, and cheeses that are well worth the trip on their own. It’s always a scavenger hunt, and Karawynn and others are correct in saying that you cannot always get everything you need, but $50 in groceries goes much farther there than at Wal-Mart or Food Land, which are the only real alternatives here.
Don’t have one of these in California. Interesting though. Makes me a little hesitant going to an “outlet grocer” bc I immediately think of lower quality food, rightly or wrongly.
The only grocer we have that’s cheaper, but awesome is Trader Joe’s! Love Trader Joe’s as it always comes out 25% cheaper than Safeway. Wholefoods is the best though. Love their dry-aged rib-eye steak for $20/lbs.
Rgds,
RB
I like your tip of keeping a price book. I have a spreadsheet I keep where I put the regular price at Wal-Mart and at the regular grocery store. Then every week when the sale ads come in, I record the sale price of items that I would normally buy. I also keep a column for the lowest sale price that I have ever seen on that item. This lets you know if the sale is really worth it or not. My family was making fun of me for it until they saw the grocery store receipt that said our total was $30, and I had saved an additional $20!
When I was a poor college student in Cleveland we made a game out of grocery shopping, we had plenty of time and no money.
The two stores we hit up the most were Marc’s, which was a cross between a low end grocery store and discount department store, and the Everything is a Dollar store.
Marc’s was like the store in the article, and adventure every time you went in. I once bought yards of fabric so my mother could make curtains out of them. Another time I bought luggage for Spring Break. Though my best trick was their 50 cent shower liners, it was cheaper to replace them then to actually clean the old one.
The dollar store you had to pay more attention to, things may have seemed a great deal, but were really not. The best deals there were usually Juicey Juice and the bagel bites. It also was way easier to budget while you were there, if you had 10 dollars, you could get ten things (plus tax).
Lastly we went here a few times as a child, but if anyone reading this is from around Pittsburgh you probably have heard of it. In the small town of Dunbar PA near the WV border there was a store, or more appropriately a series of stores called Peachen’s. It was a ramshackle grouping of buildings selling any thing from groceries to building supplies. They had built a shopping mall of the place by adding three ways to an adjoining building and making it a new store. Last I remember they had grocery, diner, sporting goods, department store, hardware, heavy building materials, and a shoe store.
The first of the month folks would come down out of the mountains to get their monthly supplies. Interesting place, not sure if it still exists, it was a fire trap in the 90’s.
Since you mentioned Big Lots, I’ll add this. I tried buying groceries at Big Lots for a while, and I assume it’s likely comparable to the Grocery Outlet in terms of where the food is coming from. Doing some unrelated legal research, I came across a case that discussed how Big Lots “re-dates” foods to permit lengthier expiration dates and how this practice was nevertheless compliant with FDA regulations. After that, I was a little hesitant to buy food there again.
I don’t think we have something like this in our area, but I’ll start googling to see. One idea that did pop into my mind while reading this, and I’ve done this for years is this: Whenever you find a great deal on something foodwise that can be shelved to use later, or preserved (I found an awesome deal one time on peppers in the middle of winter one time, for example, and bought about 20 of them, came home chopped them up and pooped them in the freezer for later use in chili, etc..). If it is something that your family eats all the time, and you know how much you normally spend, and you find a great deal…stock up!
I have a PriceRite close to my house. It’s an awesome place to pick up staples like flour, sugar, herbs and spices, canned beans and pasta. The produce is hit or miss. I’ve been very pleased with the bagels and bread selection also. I save a ton of money shopping at the PriceRite. I know a lot of people who won’t shop there because of the area of town it’s in. If it’s going to save me 40 to 60% on my groceries, I really don’t care where it is.
I’m with Jason. A neat idea for those with the time to do multiple grocery trips looking for bargains, but not useful for those under significant time pressure. And while I do love a good deal, I’d rather just use that time to make more money. 🙂
We have an Aldi nearby that has lots of great discounts. Also on weekends there’s an unofficial produce market at our nearby flea market. Fresh avocados for $1 each, fresher and cheaper than anywhere in town. look around, there’s always somewhere for cheap fresh food!
This whole article could have been:
Grocery savings tip: Try shopping at a discount store, they’re often cheaper.
And maybe a short list of discount chains in different parts of the world.
At least, I think it could have been. I mostly stopped reading around the time you decided to list all the different sections in a grocery store (They have canned foods!? How novel), and skimmed the rest. No more grocery store reviews, please.
I know this comment comes across as harsh, but I couldn’t think of any way to make it not seem that way and still get my point across. I’ve got a limited amount of time available before work in the morning while I drink my coffee to find something interesting on the internet to read. Usually GRS works quite well for that, but… not today.
I love the Grocery Outlet in my town. The cheese section is my favorite. I have found great prices and new types of cheese. Its always interesting what they have. Once there was a new brand and cheese that I liked and it actually showed up at Costco and Whole Foods a few weeks later! Probably one of the worst things is the candy selection is cheap!!! I’ve found great chocolate buys, darn it! Oh and the people that work at my store are really nice too!
I shopped, all the time, at Grocery Outlet when I was in college; they had the best deal ever! Especially, with my lack of income as a college student. Ah…I remember those days.
Winco is very new to me. My family, who frequented Costco, now shop there and have great things to say about it. I’ve been hoping to stumble upon a location near my home. So, thanks for the tip on gnivas.com.
I thought this article was great. The detail helps with the comfort level for those who have not tried discount stores.
I have recently begun shopping at a Grocery Outlet and I go once a month or so The time commitment isn’t very big, but its a great place to get things like granola bars which my 2 year old loves but I don’t like to spend $$ for.
Great article. Interesting read, I found a few places in Ohio but none close enough to drive there. It did make me think outside the box though, in regards to saving on grocery money.
Great article!
I’m so pleased you reviewed the Grocery Outlet right by my house! I, too, went through a very similar thought process over this store, eventually embracing it in all its quirkiness.
The only problem is that as a mom of two young kids who switches off work with her husband, I’m usually the “single mom” and can’t take both kids out grocery shopping with me to more than two places in a single trip.
My best deal ever at the Grocery Outlet was a huge, and I mean huge, plastic bin of laundry detergent for $6. I have been using up that bin for almost 2 years now!
@J.D. – Never buy food at Big Lots. Seriously. Wasted a ton of money figuring that out. Most of it is bad. Only good food I’ve ever bought there is canned tuna. Even their canned sodas were expired — bleh!
@RB: The equivalent in California is Food 4 Less. If you live in an outlying area (*really* outlying), you can also shop at Winco, which is AWESOME. (My boyfriend turned me on to Winco since he’s from Oregon.) We have, on occasion, made a “date night” out of Winco by driving up there with a big cooler and buying tons of stuff.
I love Big Lots for consumables like toilet paper. Also, they have liquid laundry detergent sometimes that is even cheaper than Trent can make it. 😉 I even got a smokin’ deal on blank CDs and DVDs there. Also cleaning supplies, hand/dish soap, all that stuff. Just NOT food! Resist the temptation!!
My time is more valuable now than shopping for cheap stuff, though I still really enjoy it. I usually placate myself with every-so-often trips to WalMart for most common items, DSW for shoes, and TJ Maxx for household and clothes.
-Erica
We have a Grocery Outlet within walking distance from our house, and shop there all the time.
One important thing that wasn’t mentioned in the post: make sure that you check the expiration date on perishable foods such as dairy or meat products. It is not uncommon for us to find sour cream or lunch meat for sale at GO that is only a day or two away from the printed expiration date.
Overall though, we love it. We’ve also noticed a lot more people shopping there lately…
I had the same initial wariness about Grocery Outlet for a long, long time – it always looked kind of sketchy to me – but now I go there weekly. Some of the prices you can’t beat.
Nice article about a fun store.
We go fairly often and stock up on staples and some of the fun, discounted items that they sometimes carry.
For what it’s worth, after working for years in the food-processing industry, I can tell you that most of the “off-brands” are the same product sold at the regular stores under recognized labels. In the case of canned foods, when the product is initially canned, it typically isn’t labeled, but simply stored. It gets labeled just before shipment, depending on which distributor/brand places an order. If there is a surplus, the cans will get a “house-brand” label and shipped to discounters or outlets. The “house-brand” labels have largely replaced the black and white “generic” labels you used to see on shelves.
In the case of dry goods, they are often stored in bulk and then packaged just before shipment.
Frozen goods are treated a bit differently, since they typically have a shorter shelf-life, but the rules still apply. For example: the store brand “shoestring potatoes” are probably shorter McDonald’s fries. McD’s likes them to be 3-4″ long, the store brand bag is probably mostly 2-3″. Processed on the same line at the same time, but sorted by size in the packaging area.
How exactly did the author determine there was a “cross-section…of economic classes” represented? I prefer that the bloggers I read NOT stereotype by appearance…
For those in Seattle, I find it’s worth it for me to drive an extra 20 min to MacPherson’s Fruit and Produce in South Seattle. They have fantastic deals on fresh produce – 2x to 3x cheaper than QFC or Safeway on many items. Note that they tend not to stay fresh as long (maybe 1-2 weeks as opposed to 2-3 weeks from supermarkets). You can read more on Yelp. My favorite quote from a review there is: “The hallelujah chorus should be playing at MacPherson’s all the time, because that’s how I feel here; especially after going to the national chain grocers.” And I agree. More reviews at: http://www.yelp.com/biz/macphersons-fruit-and-produce-seattle
Solid present tense usage if you ask me 🙂
You’re shifting between your tenses.
I liked this post because I never would have gone into a place called “Grocery Outlet” but I might have to check it out.
@J.D. and others who posted about BigLots. Definitely do NOT ever buy anything edible from there. I used to work there in high school and so I know how disgusting the food can be. Just because it has a name brand, doesn’t mean that was the original label. Also, anything seasonal is probably from 3 or 4 years ago because they just save everything that doesn’t sell and put it out the next year.
Great article, and interesting to read!
I don’t have any Misfit Food type stores near me, but I do have a Dollar Store, which is great for things like toothbrushes, hairbrushes, laundry baskets, etc. You can get name brands (ie, Colgate, L’oreal, Rubbermaid) for a buck. (they have some groceries, but they’re usually suspect).
Lara: I’ve read about Winco; it’s said to be far cheaper than the other chains we have here, even Trader Joe’s. Sadly, the nearest one to me is almost an hour away.
Baker, Jason: I’m more of an opportunist; I buy loss leaders and work out ways to use them on the fly. If you’re a hard-and-fast list shopper, or stick to a strict meal plan, Grocery Outlet might be of less use. That said, if you buy much in the way of shelf-stable products (cereal, cookies and crackers, bottled juice, canned anything …), I’d still suggest hitting a liquidator once a month or so. Odds of list-matching on that kind of stuff would be high.
I like MichaelM’s plan — sounds like a slightly more streamlined version of what I do. 🙂
RB: there are scads of Grocery Outlets in California! Did you check their store finder?
Karawynn, you live in my neck of the woods. I occasionally shop at the Grocery Outlet (or, the “Gross-Out” for short) myself.
Very helpful article!
Like the writer, I’ve been driving past a grocery outlet for much of the past year. I drive by, slow down, take a long hard look, like I’ll somehow be able to discern whether it is truly a bargain somehow without actually going in. Sounds like it might be worth a stop by occasionally. I especially appreciate the fact that you talked to the employees and got the scoop on how/when the inventory changes.
Yeah, but do places like this take coupons?
In regards to Tyler Karaszewski’s comment. Ugh… never more have I wanted to follow a link and send them a message about what a camel’s hind end they are.
I loved this article.. very informative for moms and those who spend a lot on groceries (aka people with families). GRS needs more estrogen.
Oh I also wanted to add that we have a “Stupid Prices” in my town. They are very interesting. One thing is ours sells items discounted from Costco. For example I recently got Kirkland tuna cans. At Costco they sell in packs of 8 or so and if the cans get loose from the pack they don’t sell them individually. Stupid Prices gets that inventory and then sells them individually even cheaper then per can price at Costco. Also leftover clothes from Costco come in at a discount. Worth checking out.
Thanks for the BigLots warnings, everyone. I’m frightened now … 🙂
As several people have pointed out, you’re basically trading time for money, which makes it most useful for people who have more of the former than the latter. (JD asked for ‘frugality’ posts, which does sort of skew toward money-saving strategies rather than time-saving ones.) For me, the cost savings outweigh the extra couple of hours I spend per month, but this is partly because it’s so close to where I live. Gourmet Magazine’s ‘Extreme Frugality’ columnist drives two hours to get to the closest liquidator! Which is way beyond what I’m willing to do … but then our circumstances are different.
Love this. I’ve been putting off checking out the Grocery Outlet in town because I, too, am a bit of a food snob. Now I might try it out! Apparently they have great deals on cases of wine, like bottles that would sell for $10 at Safeway at $20 or less per case.
We have Grocery Outlet here and we go on occasion. They can have very good deals there. They often have misc. non-grocery items too. My wife found some very good bargains on her brand of makeup and I’ve bought Sudoku books for 50¢ each.
I think the name is unfortunate. ‘outlet’ doesn’t really make people want to buy food. But the food is just fine in my experience.
From their website, Grocery Outlet has locations in the West coast in these states: California, Oregon, Washington, Idaho, Nevada and Arizona.
Hey, for everything finance related (grocery shopping tips included) check out this awesome Q&A with Daniel Bowen, a guy who was featured in Forbes last month:
http://thepopfix.com/2009/08/03/bowen/
@kristen, I’m sure that places like this don’t accept coupons. I usually save BIG money on groceries using coupons by stacking sales, promotions, double coupons, rebates, ect. to get things dirt-cheap or even free! I realize not everyone wants to take the time or energy to use and collect coupons, but it can be worth the time for familes who are really struggling with their grocery bill. For instance, last week I ended up with 10 boxes of Chez-It crackers and 10 boxes of cereal for free after rebates. Of course, you have to take the extra time to mail in the rebate, but to me it’s worth it.
Also, I love ALDI for the staples like bread, butter, milk, flour, sugar, ect. Their produce is of good quality as well and I end up paying only a fraction of the price that I would anywhere else (Including SuperWal-Mart, whose produce quality leaves much to be desired!).
Very interesting.
Food is one of those areas where I refuse to bargain shop, I figure I’m eating it (I don’t want to encourage potential future health issues by eating cheap processed food). That being said, several years ago I quit buying prepackaged food, and oddly I’m actually spending much less now that I eat real food (food as close to it’s natural form as possible). Meat is the most expensive to buy fresh locally, but I’m eating a little less and since I’m saving so much on my fruits & veg by shopping at the farmer’s market and growing some of my own it helps offset the cost.
I have found that my local farmer’s market has the best prices for fresh in season produce. If it’s in season it’s much cheaper than some out of season tasteless product shipped from thousands of miles away. Don’t overlook local farms & local farmer’s markets for healthy food that’s inexpensive.
Think outside the grocery store box and you’ll be rewarded with deliciuos fresh tasty inexpensive fruits & veg.
We moved here from a small town a couple of years ago. When first living in the small town, people used to mention the “Bent Can Store”. We finally checked it out, and it was much as described in the above article. We’d go in every few weeks and check out the deals.
Now as a busy mom of four small children (from 8 down to 18 months) with no such store anywhere around, I still manage to keep to a pretty reasonable budget by planning ahead and shopping with a list. Yep, it can be done even with children in tow (with my husband deployed every other year, that’s not optional). Our stops include the commissary, Sam’s Club, a statewide food co-op, , the local farmer’s market and a farmer (for fresh milk). We buy organics as much as possible to include all meat, most dairy, and fruits and veggies as available. We do budget $400 a month now that there are six of us. I’d like to get that lower, but without some “splurges” in there I think we’d eat out more.
RE: Karawynn @ 40 – Indeed. It even varies considerably from week to week at our local GO. We frequently purchase dairy and meat products and most of the time there’s no problem. We just have to be careful to make sure they’re not going to “expire” a day or two after we buy them, because that does seem to be the case occasionally with what we find on the shelf.
I also agree with the other commenters that local fruit stands are the way to go for produce. My wife and I have a couple of rules about things we don’t buy at Grocery Outlet. No produce, and no plants. They’re just too hit-or-miss for us, and the local fruit market has superior quality at the same price.
This is so interesting! We have a Korean grocery near us, actually quite a few in Northern VA, and they have good, very varied produce at good prices. But I think they make up for the low produce prices with the very expensive imports. I was astonished to see that you pay around $1.99 per gallon of milk. Here in NoVA, it is $3.50 for conventional milk, $2.99 if you are lucky. Wonderful article! Abbie
My family has been going to the Grocery Outlet since I was about 10. We used to call it “The Canned Foods Store” cause that’s about all we got there. You cannot beat their prices on canned tomatoes (a staple around my house) and cereal. Often they will be a test market for certain products, hence the cheeses that you wind up seeing at Whole Foods after a month or two. I find I go there about every 3 months to stock up on certain items like canned tomatoes, fruits, shredded cheese, cereal, oil, and frozen lunches and pizzas (they have Amy’s Organics most of the time for less than half the price of Whole Paycheck). I spend about $100 and have enough of those things for three months. Supplement with fresh foods weekly from Fred Meyer or Trader Joe’s (I’m a Seattlite too) and produce stands. Yes, MacPherson’s is the most beautiful and wonderful produce stand in Seattle. I agree. And every now and then I make the pilgrimage to Winco in Kent for bulk foods and spices.
Canned Foods Outlet! That’s what it used to be called!
My mom and I used to go there every week to conserve the grocery money. I’m still alive, and I have fond memories of all the awesome shampoo with yellow price tags
My 2 cents: My initial reaction to this article was “oh no, not another save-money-on-groceries article”. Then I saw that it was a post from a potential new writer for GRS and I thought “oh noooo, why did she shoot herself in the foot with this topic? Did she not read the monthly rounds ups and comments to know that some people don’t really care about this?”…and then I went over to simple dollar and read a much more valuable article (to me anyway) on finding the balance between buying the basics and making it yourself to save money versus buying some things premade to save yourself some equally valuable time!
I’m glad to see that most people enjoyed the article given what I’ve read in the comments though.
really cool article! went to the site you mentioned for finding grocery salvage stores and surprise, surprise!! My area has none. In fact, my state isn’t even listed. One of the neighboring states is but everything is at least a 3 hour drive from my house. figures. anyway, it’s a great idea!
I have to agree with Tyler Karaszewski; I didn’t find this post valuable. It seems like a pretty simple concept for such a long post. It also seems like one of those common sense things, like, “wash your clothes — you can use them more than once!”
I am one of those generally tired of save-on-groceries stories; however I found this one intriguing (never heard of Grocery Outlet) and well-written. Also, obviously useful to enough people to be worthwhile. Thanks Karawynn & JD. 🙂
Unfortunately, my area does not have any grocery outlet stores. But I have lived near them before and loved them! Just like with other stores, you get to know which ones have the best prices if you were there enough. I had a problem with shopping too much!
Regardless, I enjoyed your article and the title. I love the reference to one of my favorite Christmas specials 🙂
Here in the Baltimore metropolitan area, we have a discount grocery chain called Aldi’s. It’s fantastic! Milk is at least $1.00 cheaper per gallon. Cheese is half-price of the other grocery stores. Eggs have been running 85 cents to 95 cents a dozen all summer. Toilet paper is at least $1.00 cheaper for 12 rolls than Walmart. They also have fresh in-season produce at much cheaper than other stores. Plus they have interesting and cheap specials on clothing, bedding, backpacks, all kinds of things. My sister tells me that even though the special prices are advertised as starting on Sundays, it pays to go earlier because on sale items seem to be put out as soon as they arrive and may all be gone on or very limited by Sunday. The good news is you can still save money on groceries there anyway. I’ve averaged paying about $10.00 per bag (a regular plastic grocery store bag, not a specialty reusable bag) of regular groceries and dry goods. The only thing that was not a good deal was their laundry detergent or their paper towels. The meats are good prices but the beef cuts just don’t look like what they are labeled on the package. The frozen poultry and fish are great prices, though.
I loved Grocery Outlet when I lived in Coeur d’Alene, ID. Never knew what bargain you’d find. 64 ounce V-8
was fairly regularly there @ 1.99 vs. over $4 at other
grocers!
Also, they had a 20% Senior discount on Wednesday AMs.
Their canned fruits and vegetables were generally the
lowest around.
To RB@ Rich, Grocery Outlet is HQ in California; lots
of stores there. They started in the Bay Area right
after WWII and I believe today they are completely
debt free.
By all means SHOP THEM!
I’m not aware of any such stores in the area I live in, and a general web search, as well as a search on the sites in the post turned up nothing close by.
Does anyone know of outlets in the Atlanta area? And if so, what do you think of them???
Thanks!
Amy #50, you might want to take a look at JD’s reader survey (July 12). Please read the results, particularly on the subject of frugality (72.6% come here for tips on frugality).
I agree with a previous commenter who said this blog could use more estrogen. The comment section could do with a lot less snobbery.
Thank you, Karawynn, for sharing your experience with Grocery Outlet. We have one not too far from us, and I’ve always wondered what kind of place it is. In fact, this is the second time in recent days I’ve read good things about Grocery Outlet. I’ll make a point to stop in and see what it’s like.
We have grocery outlet in nearby area, I should check it out. I have tried Ranch 99, Mexican and other ethnic stores of cheaper and reasonable deals on vegetables, fruits and ethnic items.
Zengirl
Cool. Someone else calls it the “Gross Out.” Grocery Outlet is one of my favorite chains of stores. There are four locations between my home and work. If you have checked out a Grocery Outlet store and weren’t impressed, try a different location if there is one near by. There is one store that is dark and nasty and never seems to have anything that I want to by. I went to that location twice but never again. The other three are clean and have great deals. They have the best deal on cheeses. I recently got a wedge of sage derby cheese for $2.50.
Alas, there are no such stores listed around me. Overall the concept is intriguing. I currently use a mix of Sam’s and local stores. I really like the conversational style of Karawynn’s writing. Feeling like J.D. has let us in on a secret that has helped him is what keeps me checking GSR. GSR has provided many ways to improve quality of life and at the same time save money.
Great post on getting the most out of your grocery budget.
We have a grocery store near our house that is super shabby, but offers deals on bulk foods, and near or out of date pantry items.
It’s definitely hit or miss. I’ve gotten pantry items from Trader Joe’s, organic crackers and the like, for $1 or less.
The best part though is that we can walk to it. And in the same shopping center we have an Indian market, an Asian market and a Middle Eastern market AND Goodwill! It’s a veritable paradise for frugalites and foodies alike.
Make sure to ask neighbors and friends, and keep searching if nothing comes up in a google search. Our market doesn’t come up under grocery outlet, or similar searches.
Great article, Karawynn!
>> @10.RB @ RichBy30RetireBy40
>> Don’t have one of these in California.
Not only is Grocery Outlet is here in California
…see
http://www.groceryoutlets.com
… but also many 99c Stores sell food, cheaper sometimes than FoodMaxx…
http://www.99only.com
http://www.foodmaxx.com
Being that I worked in the grocery business for 4 years, I understand your pain. It’s usually great to google for local farmers markets. Groceries are such a costly thing that we all need to adjust based on our own preference. I shop local and cheap. Others enjoy the finers thing.
Good luck to all!!!
Dave
LifeExcursion
Kevin: I did one superfast web search and found ‘ATZ Salvage & Variety’ in Atlanta. There may be others — try the Google search suggestions at the bottom of the post.
Darwin, AJP: I live in far north Seattle, too far to trek to MacPherson’s regularly. I envy your proximity!
It’s nice to hear stories from both the Grocery Outlet old-timers and the folks who, like me, have been skeptical but might give it a try. Thanks everyone!
JD — I hope you find somebody better for this staff writer idea than either of the articles so far, or you’ll be losing readership.
We have discount stores/outlets like that in Italy, most famous is German Lidl. There’s one in my city, but it’s a quite depressing place. This one sounds more inviting. 🙂
The prices are very good though – of course. Medium price is €1 for item.
I usually don’t leave comments and I usually don’t like articles on how to save on the grocery budget.
This article however, especially since it’s by a prospected staff writer, promted me to say something.
I really liked the article! Altough a little detailed for my taste, it get’s the point across real well. Living in Europe I have no opportunity to visit an outlet grocery store but we have things that are similar to the concept and I’ve been buying there for some months now. Even their generic items are often wonderful quality and for a fraction of the price of the brandname items at a ‘regular’ grocery store.
Sure, I’ve bought some misfits. But you live and learn and in the meantime we’ve shaved about 30% off our grocery budget!
Thanks for the great post.
JD–Some of your readers are real jerks!
#10 RB – Thanks to #63 Seeking Lemonade for setting your sass straight. There are about 75 GO’s in CA.
#20 Esther – Winco is the best! Great for bulk foods. They have a huge number of items in the store in both regular and warehouse sizes. They take coupons and they are employee owned. They pay very competitive wages. Hint: Green price tags indicate temporary price reductions. I generally avoid their Health & Beauty Aids section: better prices/deals available elsewhere, including GO. Cleanliness of stores varies, early in the day is best, just like most places.
#26 The Tim – Amen, brother! Always check the expiration dates at GO.
#29 KSR – Lighten up already! If, for example, you can’t tell what kind of area you’re in by observing the visual clues around you, I fear for your safety.
Karawynn – Plan a trip to include a long stop at Winco, it’s worth the drive. Bring your coupons, your price book, your pantry list and a large ice chest. You will want to stock up. See my notes to Esther – you won’t be disappointed! Very nice post, by the way.
Regional Note: I kept finding amazing deals & better prices at the Berkeley, CA store on Fourth Street. I asked and was told that the buying offices are there, so lots of items are there and nowhere else. Check your region to see if there are local buying offices and shop that store if feasible for even more bargains.
Wine Note: I once found a wonderful red that blew the cork out of Two-Buck Chuck. Of course it was gone when I went back for more. I called every GO that was reasonably accessible to me, a friend or family member. I finally found six cases of it in a store near my sister’s house – they had forgotten to put it out! I bought two cases at $3.00 a bottle. Delicious!
On a semi-unrelated note – I visited Karawynn’s Pocketmint site and she has some interesting posts on credit cards – so for you guys that weren’t overly interested in the grocery story, maybe check out her site and see what else she does. Her credit card “trilogy”, if you will, is worth a read.
Interesting, that site had a bulk spice store listed that has dirt-cheap spices. Check out the MA listing. (Unfortunately that’s the only one.)
I vote for ALDI, as far as grocery store chains go. In fact, the last I heard, ALDI, which is a discount grocery store chain, profited the highest among grocery store chains worldwide. They do it by operating with very low overhead. For example, plastic bags are not free and they don’t employ people to return shopping carts; they instead require you to use a quarter to get a cart and in order to get your quarter back you must return the cart.
Every time we go, we find extremely good deals. After a while, you figure out what types of food taste good and go specifically for them. For our other shopping, we coupon-clip and go to warehouses. It works well.
Count me in the group who enjoys the practical posts like this more – the ones that give concrete ways to “get rich slowly”. I usually skip over the ones that deal with psychology and sound at all motivational.
There aren’t any outlets near me, but your post was interesting. I’ll have to keep an eye out in my travels.
I love the grocery outlet in town. It’s fun to try new local wines (Sonoma and Napa County) at rediculously cheap prices. My husband and I did a lot of research on the wines there and found an AMAZING cab for $4 which is normally sold for $20 – and bought cases for it for our wedding wine. Yessss, bargain!
I live in Oakland and we’ve got a Grocery Outlet – I’ve only been in there once, but perhaps I’ll give it another whirl! I think it would lead me to impulse purchases – wine, particularly – but I suppose I could just budget for that and call it good.
Very informative, practical article. Well done.
This is my favorite of the guest posts. Karawynn has a great, engaging style, and I found this post really informative.
Like Karawynn, I had never been inside an outlet-type grocery store. Now I feel like I have, and I’m intrigued. Will it be my primary shopping place? Probably not — but I’ve learned intriguing detailed information that has definitely opened up a new possibility for me.
Well done Karawynn!
Thanks for posting this great guest blog! I love Grocery Outlet, and have been shopping at our Central Washington store since I was a child.
The finds vary, and I’ve learned to stock up when there is an excellent price. It’s one of the best places to buy coffee (if you aren’t picky on brand) and creamer.
Great article! I own one of these so called ‘misfit’ grocery stores in Dexter, MO. I can appreciate all comments about this article also. It seems like the most common concern about shopping at these discount grocery stores are the ‘sell by dates’ on the canned and boxed products.
I think it’s mostly the thought of eating something that is ‘out-of-date’ that bothers most people. In reality these dates don’t mean much. The USDA required canned food manufacturers to put expiration dates on products in 1995. Studies prior to 1995 showed that properly canned food may last for decades. Simply put, if a can don’t loose its seal, not leaking or swelled, it’s not bad. For example, the military wanted to know if it needed to dispose of the hugh storage of ‘C’ rations. Their study showed no need to dispose of billions of dollars in canned rations! Myself and many other soldiers, in the 60’s and 70’s ate rations dated in the 40’s! Now my comment about the quality of these foods; I gained weight on these military rations so I guess the quality wasn’t all that bad after 30 years!
The dates now on cans or boxes are required by the USDA. It really worked well for the manufacturers because that caused people to start literally throwing away perfectly good food and they are in business of processing consumable food. Since it was a requirement and they had to have a sell by date. They simply pulled about 2 years out of the air as the date they would use and they also make it clear that these dates are not ‘safety dates’ but mostly pertain to quality, These dates were not based on any research. There are no standard for this and except for infant formula and some baby foods, product dating is not generally required by Federal regulations.
I have an outlet near my house and I usually shop there first. Then whatever I don’t find, I put on my list for my usual grocery store. It is a good idea to know the prices of most items you are interested before you buy them from the outlet store. I have had a few cases where an item I wanted was literally a penny difference in price. I had a coupon for it, so it made NO sense for me to buy it at the outlet. I simply bought it at my regular grocery store and used a coupon with it and got it for less. Know the pricing. That helps alot in comparison shopping in general.