Further to the first part of this blog which was about the market itself, now some simple (home) economics…..
As some of you may know, my background is 22 years as a Corporate Procurement professional and Process Change Project Manager.
That makes me very much a facts and data guy ! (I will not mention how many stalls are currently on the market versus the numbers quoted on the CDC / Sketts websites in part 1 of this blog).
Therefore, what I want to do in the rest of this blog is to show you the technique which is used a lot in procurement known as benchmarking, or comparing like for like, or as you might say comparing “apples for apples” – as we going to do exactly that.
One of the main stalls on Banbury market is a fruit and veg stall near the Druckers entrance to Castle Quay. On Saturday my wife and I went and bought apples, pears, clementines, an iceberg lettuce and tomatoes from that stall, as we regularly do.
As part of the online debates people often say that the market is too expensive or you can buy the produce elsewhere cheaper, and when my wife said £1.20 for an iceberg lettuce was very expensive in relation to Tesco for instance I decided to validate or otherwise her observation.
So I just wanted to do a small comparison to show the cost of the products we bought and what we got for that cost versus the costs I can find in some major supermarkets around the town.
This comparison obviously does not take into account the taste or the perceived quality but at least it shows how much you get and for what price and whether that fruit and veg stall is actually expensive in relation to other places where you can buy fruit and veg.
These prices were the full prices before the end of day “£1 per bowl” discounting started.
So to start – tomatoes – some retailers might call these vine tomatoes?
We paid £1.50 for a bowl of 12 tomatoes which weighed 930g. So the equivalent to £1.61 per kilo. Then onto the iceberg lettuce, which seemed quite large and dense in comparison to a small one I saw later in the day at the local Co-op convenience store which was 90p (but I don’t know how much it weighed so cannot compare it here).
We paid £1.20 for a lettuce which weighed 495g. So the equivalent to £2.42 per kilo.
Conference pears £1.50 for 8 of them weighing 1.29kg or £1.16 per kilo. Clementines next – £1.50 for a bowl of 16 weighing 900g or £1.66 per kilo. My main observation here is that most of them were very small, hence why we got 16 in the 900g we bought . Finally Gala apples, which we purchased 12 of, weighing 1.24kg, for a price of £1.50 or £1.21 per kilo.
The total cost for these items in Banbury Market was £7.20.
I then went online to Tesco’s online grocery service and I priced up the same basket of items via Tesco as we had bought from Banbury market. In each case where a number of options were available at Tesco I have selected the lowest cost per kilo item.
Where possible I have compared exactly the same weight but most of these are approximate weights, slightly lower than the weights we bought in the market. You will see from the photo extract below that the price per kilo of each item is detailed on the right hand side. The only item which was cheaper at Tesco was the iceberg lettuce and so based on this, my wife was correct (which is not unusual!).
The total cost for these items in Tesco was £10.17.
However, overall, the five items from Tesco were £2.97 more than the Banbury market fruit and veg stall or 41% more expensive (£2.97/£7.20).
Alternatively you could say that on these 5 items Banbury Market overall was 29% cheaper than Tesco (£2.97/£10.17).
I am aware that people will say that if you add the cost of parking in town to the cost of these items, then Tesco is probably cheaper, but I also took into account the fact with online shopping you have to pay for delivery so for this comparison I have ignored these costs and also I am aware that people will probably buy more than just these five items in one single supermarket shop, but this is just a small basket of goods as an illustration of comparable prices.
I am also aware that other supermarkets such as Sainsbury’s and Aldi exist in Banbury and once I’m able to collect their price data I will add these to this blog, but for the time being you can see that actually Banbury market is cheaper for these five items than going to Tesco.
Hope this helps.