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Cost of living crisis: Why is the same block of cheese $6 more expensive at one Pak’nSave compared to another?

Author
Kirsty Wynn,
Publish Date
Tue, 23 May 2023, 2:37pm
Online shopping prices are different for a 1kg block of Rolling Meadow cheese at the Silverdale store compared to the Mangere store.
Online shopping prices are different for a 1kg block of Rolling Meadow cheese at the Silverdale store compared to the Mangere store.

Cost of living crisis: Why is the same block of cheese $6 more expensive at one Pak’nSave compared to another?

Author
Kirsty Wynn,
Publish Date
Tue, 23 May 2023, 2:37pm

PaknSave has come under fire for price variations in store with a 1kg block of the same brand cheese a staggering 60 per cent higher at its Mangere store compared to across town in Silverdale.

A block of Rolling Meadow Colby cheese is $15.99 at the South Auckland store and just $9.99 at other stores such as Silverdale and Mt Albert.

The price for the cheese at other Pakā€™nSave stores varies from $12.99 at Manukau and $13.99 at Albany.

A concerned shopper posted about the price difference on the community website Reddit pointing out a 38 per cent difference in the cheese at the Royal Oak and Silverdale stores.

Price comparison app Grocer found the highest price of $15.99 a kg at Mangere Pakā€™nSave - a 60 per cent difference.

Others commenting on the Reddit post said the disparity on the same brand item was ā€œconcerningā€ with one saying they noticed ā€œa tendency for higher prices in poorer areas, often the people living locally cannot afford to travel to find cheaper goods.ā€

ā€œYou see this reflected in fuel prices as well.ā€

But a quick check on the Grocer app shows most Pakā€™nSave stores in Auckland - including Mangere - offer the Pams brand of cheese for $9.99.

The one store that does not stock the Pams $9.99 block has the Rolling Meadow brand at $9.99.

The cheapest comparable cheese at Countdown was $11.90 and at New World was $16.50.

Emma Wooster from Foodstuffs, which owns Pakā€™nSave, said that despite the price difference on the Rolling Meadow brand, 1kg blocks were $9.99 at most Auckland Pakā€™nSave stores.

A concerned shopper posted the price difference for the same brand block of cheese to Reddit recently. Photo / Reddit

A concerned shopper posted the price difference for the same brand block of cheese to Reddit recently. Photo / Reddit

ā€œThe price of different Colby cheese products sold at our Pakā€™nSave stores will vary based on a number of factors, including the cost price at which the store purchased the product from the supplier and whether or not the product is on special,ā€ she said.

ā€œThe fact both stores have a 1kg block of Colby cheese available for $9.99 is great news for customers as it represents good value for money.ā€

Cheese wasnā€™t the only staple with a significant price difference between stores.

A head of broccoli was $2.99 in Mt Albert but was $1 cheaper at Pukekohe and Mangere - a 33 per cent price difference.

A 500g block of Anchor butter was $6.79 at Albany Pakā€™nSave but was 20 per cent higher at Sylvia Park where it hit $8.19.

Jessica Walker at Consumer NZ described the price difference between stores for the same branded cheese product as ā€œstaggeringā€.

ā€œA quick price check at the Pakā€™nSave stores closest to Consumer HQ shows three stores are also selling this item for $9.99, another has it for $11.89, and the most expensive is Pakā€™nā€™Save Porirua at $13.99,ā€ Walker said.

ā€œWe recommend people keep an eye on the Grocer app, which allows you to compare the price of the same product at different supermarkets.ā€

ā€œWe donā€™t suggest people hop between the supermarket chains to stock their pantry, but we are keen to remind New Zealanders thereā€™s little reward in being loyal to one supermarket chain, or particular store.ā€

Emma Wooster from Foodstuffs said Pakā€™nSave stores were ā€œworking hard to fight inflationā€ and said they had held food prices below inflation for 12 months in a row.

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