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Old 22.09.2011, 19:39
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Buy One Get One Free

I'm versed in the ways of business life, I understand rudimentary economics, I understand consumer behaviour and the mechanics of retailers. I understand "elastic demand" - that higher availability of something will translate into higher consumption. I understand that certain products have this characteristic.

For example, if you have no chocolate, or peanuts, or beer or crisps in the house right now, more often than not, you will do without. You probably won't walk out of the house to buy them now. But if you have them in the house, you will be tempted....your usage of these products will increase. It is good for the manufacturer to incentivise you to have them in the house

So the "buy one, get one free" offer was born. People take more, and consume more...

Can anybody please explain why UK retailers sell toilet roll and deodorant as Buy One, Get One Free?
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Old 22.09.2011, 19:44
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Re: Buy One Get One Free

Swiss retailers nearly always have toilet rolls at 40% or 50% off. Check http://www.aktionis.ch/ and one will have it. I've not bought full priced toilet paper in the 1.5 years I've been living in this country.

I assume they treat it as a (loss) leader. I suspect they still make a profit.
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Old 22.09.2011, 19:56
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Re: Buy One Get One Free

Not surprising as the Swiss are full of sh***e - or so EFers often say
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Old 22.09.2011, 19:57
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Re: Buy One Get One Free

Are, now maybe you are too young to remember the early Thatcher days?

By the late 1970s, with the rise of concern about environmentalism, many people came to think that colored toilet paper was bad for the environment because of the dyes used in it, even though they are vegetable dyes which are harmless to the environment, and therefore the public stopped buying colored toilet paper and the manufacturers stopped making it. Consumers noticed higher sales of plain toilet rolls and empty shelves. Panic buying resulted and there were suddenly no toilet rolls to be seen anywhere in the length & breadth of the kingdom. People whom travelled regularly to France and Germany suddenly had a new circle of friends; even the bank manager was very pleasant again.

And so the BOGOF technique was born. The spare packet is put in the attic, just in case Margaret Thatcher is brought out of retirement, but it was probably not her fault.

http://en.wikipedia.org/wiki/Toilet_roll
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Old 22.09.2011, 19:59
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Re: Buy One Get One Free

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Can anybody please explain why UK retailers sell toilet roll and deodorant as Buy One, Get One Free?
Huh? Am I the only person who uses a roll on deodorant to cleanse my butt as the crowning finalé whilst the paper disappears down the U-bend?
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Old 22.09.2011, 20:00
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Re: Buy One Get One Free

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Are, now maybe you are too young to remember the early Thatcher days?

By the late 1970s, with the rise of concern about environmentalism, many people came to think that colored toilet paper was bad for the environment because of the dyes used in it, even though they are vegetable dyes which are harmless to the environment, and therefore the public stopped buying colored toilet paper and the manufacturers stopped making it. Consumers noticed higher sales of plain toilet rolls and empty shelves. Panic buying resulted and there were suddenly no toilet rolls to be seen anywhere in the length & breadth of the kingdom. People whom travelled regularly to France and Germany suddenly had a new circle of friends; even the bank manager was very pleasant again.

And so the BOGOF technique was born. The spare packet is put in the attic, just in case Margaret Thatcher is brought out of retirement, but it was probably not her fault.

http://en.wikipedia.org/wiki/Toilet_roll
That makes more sense than anything else I heard on the topic!
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Old 22.09.2011, 20:04
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Re: Buy One Get One Free

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Can anybody please explain why UK retailers sell toilet roll and deodorant as Buy One, Get One Free?
In the big chains, most of these offers are decided on by the marketing folk for the chain, and they basically inform the suppliers what the promotion is, once they've decided. They tell them what and when the promotion is, how much the supplier is going to supply at their "promotional" and at what price to the chain.

Since the chains compete, and each chain controls the product placement and promotion of said goods, not just through tv and other external advertising, but also via positioning within the stores themselves (e.g. aisle-end displays, which height of shelf the product is on, and so on - there's a whole science grown up around just this!), then for the supplier, it's effectively "an offer they can't refuse".

The chain itself loses little or nothing in the way of profit on such "specials".
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Old 22.09.2011, 20:05
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Re: Buy One Get One Free

Of course they make a profit, like that post the other day reporting clothing stores buying cheap goods to fill the racks for their sales, fake mark-downs too.

Check out Mass Motivational Research, Dr. Ernest Dichter and Vance Packard if you want to know where we made a wrong turn.

http://www.dichter.ch/e/index.html
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Old 22.09.2011, 20:08
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Re: Buy One Get One Free

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Not surprising as the Swiss are full of sh***e - or so EFers often say
Well, you don't need to use tp if it stays inside
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Old 22.09.2011, 20:12
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Re: Buy One Get One Free

I know that the BOGOF concept is big in the UK, although I'm not so sure about in CH. However, my husband informed me that the concept failed completely in Germany as, according to him, the Germans are far too cynical and skeptical about such offers, and would immediately think that they are being ripped off. Strangely enough, the same does not apply to items that are marked as being 50% off
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Old 22.09.2011, 20:15
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Re: Buy One Get One Free

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Since the chains compete, and each chain controls the product placement and promotion of said goods, not just through tv and other external advertising, but also via positioning within the stores themselves (e.g. aisle-end displays, which height of shelf the product is on, and so on - there's a whole science grown up around just this!), then for the supplier, it's effectively "an offer they can't refuse".

The chain itself loses little or nothing in the way of profit on such "specials".
It does lose....so does the manufacturer. It destroys value. Nobody treats themselves to an extra polish just coz they have more in the cupboard. Its a crazy idea.

Works for beer, wine, crisps, sweets.....doesn't work for bogroll
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Old 22.09.2011, 20:27
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Re: Buy One Get One Free

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Huh? Am I the only person who uses a roll on deodorant to cleanse my butt as the crowning finalé whilst the paper disappears down the U-bend?
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That makes more sense than anything else I heard on the topic!
QED.

Tom

(too short)
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Old 22.09.2011, 20:31
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Re: Buy One Get One Free

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It does lose....so does the manufacturer. It destroys value. Nobody treats themselves to an extra polish just coz they have more in the cupboard. Its a crazy idea.

Works for beer, wine, crisps, sweets.....doesn't work for bogroll
Ah, but it does work, for the retail chain, tho maybe not so much for the suppliers

To continue the scatological theme, consider how long you can make that last third of that last bog roll last, knowing that there's no more in the house and won't be 'til you get a chance to shop again, and that the alternative is torn-up pages of 20mins; now compare that to the amount you'd use knowing that there's another 2 dozen rolls in the cupboard

It might not seemto make sense, but it really does work like that- as I said, it's Big Business, it's making money for them, even in things that one might consider commodities
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Old 22.09.2011, 20:34
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Re: Buy One Get One Free

In the UK it has been proven to result in tons of fruit, veg and meat thrown away - as people can't resist a 2 for 1 offer, but then don't have the time or organisation to freeze or cook and freeze excess. And very few households can eat 2 huge bags of satsumas before they go off (even in the UK where fruit are sold unripe most of the time).
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Old 22.09.2011, 20:36
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Re: Buy One Get One Free

Apropos, BBC HD and BBC Two are currently playing If Walls Could Talk: The History of the Bathroom.

I'm sure TP will play a starring role.
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Old 22.09.2011, 20:42
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Re: Buy One Get One Free

I always thought that the BOGOF concept was an american thing, usually a way to clear out overstocks or food nearing the 'sell-by' date. I always avoid those things since it's usually for 2 of something I would either never consume or would take forever to consume. I've noticed here they do a lot of 3 for 2 offers which, again, I don't take advantage of because it's not that great of a deal and it would take a few weeks to consume.

I'm pretty sure that whatever the deal is, it isn't in the consumers favor...but that's just the yankee in me.
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Old 22.09.2011, 20:46
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Re: Buy One Get One Free

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Ah, but it does work, for the retail chain, tho maybe not so much for the suppliers

To continue the scatological theme, consider how long you can make that last third of that last bog roll last, knowing that there's no more in the house and won't be 'til you get a chance to shop again, and that the alternative is torn-up pages of 20mins; now compare that to the amount you'd use knowing that there's another 2 dozen rolls in the cupboard

It might not seemto make sense, but it really does work like that- as I said, it's Big Business, it's making money for them, even in things that one might consider commodities
Now you're talkin' - I never thought about stretching out resources....where is the economically minded Mod when you need him!
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Old 22.09.2011, 20:47
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Re: Buy One Get One Free

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I always thought that the BOGOF concept was an american thing, usually a way to clear out overstocks or food nearing the 'sell-by' date. I always avoid those things since it's usually for 2 of something I would either never consume or would take forever to consume. I've noticed here they do a lot of 3 for 2 offers which, again, I don't take advantage of because it's not that great of a deal and it would take a few weeks to consume.

I'm pretty sure that whatever the deal is, it isn't in the consumers favor...but that's just the yankee in me.
Nope.....its the bit in my first post......they want to increase consumption or else you are just selling stuff cheap!
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Old 22.09.2011, 20:49
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Re: Buy One Get One Free

Thing is the consumer can benefit- by freezing, or cooking and then freezing - or sharing with family, friends or neighbours - but most are too busy to even think about doing it- and food ends up in the bin, time and time again.
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Old 22.09.2011, 20:51
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Re: Buy One Get One Free

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Thing is the consumer can benefit- but freezing, or cooking and then freezing - or sharing with family, friends or neighbours - but most are too busy to even think about doing it- and food ends up in the bin, time and time again.
Is the freezing to avoid the burn of organic bog roll? (see other thread)
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