2 Tips For Buying in Bulk: Is It Cheaper?

There are so many articles arguing one side or the other if buying in bulk is the cheaper option.

Well, is it?

It's confusing when you hear both sides of the argument and you still don't know which one is the cheaper option. Therefore, I decided to do my own case study and found that there are some items that buying in bulk is the smarter option, and some items that are not.

Here are my receipts after shopping at Sam's Club and Wal-Mart for the same items. Click on the link below to see which is cheaper: http://themoneysavinggarden.blogspot.com/2012/10/which-one-is-cheaper-sams-club-or-wal.html

Just because it's in bulk, doesn't mean it is cheaper.

While warehouse clubs do offer some good deals, not everything in the store is cheaper than its discount store equivalent. Many stores, such as Kroger and Walmart, have started selling bulk items. For example, you will see double packs of body wash, pens, and cereal boxes.

To really see which item is the better buy, calculate the "per unit" or "per use" cost of each size. 

Product sizing is typically tiered in thirds, making math more difficult on the fly. However, armed with a calculator (or even a cell phone, which usually offers a calculator utility), a frugal shopper can convert prices to unit costs and make an educated buying decision.

Example of fabric softener choices:
$10.99 for 120 loads – $.0916 per load
$6.84 for 90 loads – $0.076 per load

The 1.5 cent difference doesn’t sound like much, but if the larger container was offered in a 90-load size at the same unit price it would cost about $8.24 - a $1.40 premium over the smaller package.