• Home
  • Start Here
  • Blog
  • Free Resources
  • Shop My Filofax Store
  • Shop TBM
  • Courses

The Budget Mom

Real Women. Real Life. Real Finance

  • Home
  • Products
    • Live Rich Planner
    • Budget By Paycheck
  • Blog
  • FREE RESOURCES
  • COURSES
  • Shop my Filofax store
  • Shop TBM
MENUMENU
  • BUDGETING
        • Categories

        • Budgeting Basics
        • Budget Guides
        • Budget Tips
        • Budget Recaps & Overviews
        • When creating a budget, most of us focus on tracking our expenses, but tracking your income is just as important. This includes knowing your starting balance.

          What is Your Starting Balance & Why Does It Matter for Your Budget?

          Most of us have invisible money scripts that hold us back from reaching our financial goals. Learn what the three most common money beliefs are and how you can start taking steps to change them. 

          3 Money Beliefs That Might Be Holding You Back

          A wedding is a stressful event for many people because they overextend themselves financially. Learn the six steps you can take to plan a wedding you’ll be proud of on a budget you can afford.

          Wedding Budget 101: Plan for Your Big Day Without Breaking the Bank

  • SAVE MORE
        • Categories

        • Cut Expenses
        • Extra Income
        • Saving Tips
        • If you need to earn fast cash, selling household items online is the easiest way to do it. Here are 20 things in your home that you can sell right now.

          Need Cash Fast? 20 Things In Your Home You Can Sell Right Now

          You don’t need a coupon or a limited time offer to get the best price possible. Thanks to price matching, you can get the best price wherever you shop.

          How Price Matching Can Help You Achieve Your Savings Goals

          The cost of printer ink can add up quickly, especially if you frequently have to print off documents. These eight steps will help you cut down on the cost of printer ink.

          8 Ways to Save Money on Printer Ink

  • FRUGAL LIVING
        • Categories

        • Beauty & Health Tips
        • DIY
        • Family & Money
        • Food & Drink
        • Frugal Living 101
        • Household Tips
        • Holidays & Occasions
        • Kids & Money
        • Forget about a New Year’s Resolution! Try setting a New Year mindset instead. It might not seem like much, but your mindset can make or break your financial goals.

          How to Improve Your Financial Mindset to Achieve Your New Year’s Goals

          It’s not too early to start helping your child build their financial future. If you want to help your child start investing, here are the steps you’ll take to get started.

          How Can My Child Start Investing?

          For many people, the holidays are a stressful and expensive time of year. Learn how to host a holiday dinner without blowing your budget this year.

          7 Steps to Hosting a Holiday Dinner on a Budget

  • DEBT & CREDIT
        • Categories

        • Credit Cards
        • Credit Report & Score
        • Debt Basics
        • Get Out of Debt
        • Loans, Etc.
        • It’s easy to swipe a credit card, but paying it off is an entirely different story. Here’s what you need to know about the true cost of buying on credit.

          Revealed: The Ugly Cost of Buying on Credit

          Should You Buy Your Leased Car?

          Collection accounts can be stressful, but you can bounce back. Learn how to handle collection accounts and improve your financial picture.

          Has Your Debt Been Sent to Collections? Here Are Your Options.

  • FINANCE 101
        • Categories

        • Financial Planning
        • Investing
        • Retirement
        • Tax Tips
        • It’s not too early to start helping your child build their financial future. If you want to help your child start investing, here are the steps you’ll take to get started.

          How Can My Child Start Investing?

          Just because someone has a large house, luxury vehicle, and brand name clothes, that doesn’t mean that they don’t have money worries.

          What It Means to be “Cash Poor” and How to Avoid It

          The Rule of 72 is a simple mathematical formula you can use to estimate how long it will take to double your investment. Here’s how it works and why it’s essential!

          What is the Rule of 72 and Why Does It Matter?

How I Save Money Every Month Buying Generic Brands

October 9, 2019
Food & Drink

Share754
Pin280
Share
Tweet
Email
1K Shares
  • Bio
  • Facebook
  • Pinterest
  • Latest Posts
Kumiko Ehrmantraut

Kumiko Ehrmantraut

Some links below are from our sponsors. Here's how we make money.
Kumiko Ehrmantraut
Kumiko Ehrmantraut

Kumiko Ehrmantraut

Kumiko Ehrmantraut

Latest posts by Kumiko Ehrmantraut (see all)

  • Need Cash Fast? 20 Things In Your Home You Can Sell Right Now - January 14, 2021

Some people swear by brand names, saying generic brands are inferior. Have you ever compared the ingredients? I have; the results might surprise you.

When I started budgeting, I discovered I spent $800 a month on food just for me and my son. I know he's a growing boy, but let's face it — $800 a month for food is a lot of money for the two of us. I knew it was one area where I could make the most improvement, and I decided to buy generic brands to save money.

I am by no means a blazing a new trail here. A lot of people save money every month when they buy generic or store brands. I know some people swear by brands, and that is OK. We like what we like. If you know somebody who loves Jif peanut butter, then you know they are not going to eat another major brand, never mind a generic or store brand. But you should at least try them, here's why:

  • They are growing faster than major brands
  • Their business model eliminates a lot of expenses
  • How I personally save every month buying generic brands

When I say generic brands, I am also referring to store brands or private labels. Back in the 1970s, grocery stores started selling a no-name brand. It didn't matter if it was a can of peas or a box of cereal, the packaging was the same: A white package with black lettering. While the packages were not attractive, the prices certainly were. And, people bought the, allowing them to pocket savings every time they picked up one of those no-name products.

Generic brands are growing faster than major brands

Retailers, grocery chains in particular, started creating store brands. Food distributors started their own private labels that they offered to grocery stores that didn't have their own line. The Private Label Manufacturers Association did a survey and reported in 2018 that private label sales reached $5.5 billion. This was a jump of 4.4 percent. Would you be surprised to learn it was four times the growth of major, national brands? When you look at sales figures for store brands, it was $129 billion. The PLMA believes there might be another $40 billion in sales that were not included in the survey. That's a lot of money being spent on generic, store and private label brands.

The survey also showed most people like us regularly buy generics, store brands and private labels. Part of the reason why is because they are produced under very high standards. They are made following the same quality standards at the national brands. What I find funny is when you look at some of these relatively unknown brands sold at discount grocery chains, like Save-a-Lot or Aldi, is that the packaging sometimes have the same colors and similar designs as the major brands. This is kind of funny because when generics burst on the scene, the package design was non-existent.

  • Read: Save Money Meal Planning: The Freezer Challenge

Here is something you might not have known: Sometimes those national brands manufacture products for store brands. So, you are getting the same, exact quality as the major brands. There are some Walmart stores, and it depends on what region the stores are in, that sell Great Value salty snacks like potato and tortilla chips that are made by Frito Lay. So, instead of paying $3 or $4 a bag, you will pay closer to a buck a bag. Not bad, right?

The business model of generic brands cuts a lot of expenses

So, you might be wondering, how in the world can companies make these products that have a similar taste and similar quality for 30 to 60 percent less. It comes down to this: Marketing. Think about how expensive it is to hire a creative team to come up with a marketing and advertising campaign; then produce high quality video for ads that will run across the country on national television networks, regional networks, local stations, cable channels, and the internet. Then, think about all the radio networks and radio stations. Then, there are national, regional and local magazines and newspapers. This is millions and millions of dollars each year. Guess who pays for all of that marketing and advertising? That's right, we do.

  • Read: A Meal Plan Solution for My Food Budget Problems

The companies that manufacture the products under generic, store or private labels do not have to spend money marketing. They just need to get to trade shows and pitch their products to food distributors, wholesalers, brokers and grocery chains. They pass these savings on to you.

How I save money every month

I hope you are beginning to see that when you buy generic brands, you are not really sacrificing taste or quality. In fact, sometimes the generic is the exact same product as the national brand. Here is my recipe for saving money with generic brands:

  • Be willing to try them
  • Return them if you don't like them
  • Compare the cost per ounce

Be willing to try them

If you are in the minority and have issues with buying anything other than a national brand, do yourself (and your budget!) a favor by at least trying them. You truly have nothing to lose.

Where I live in Washington state, there is a major dairy producer that sells half-and-half cream. You know that I love a little coffee with my half-and-half. Well, when I went to Walmart and compared the ingredient lists of the Great Value brand with the major brand in this area, the nutritional information was the same, and the ingredients were the same. It's not too much of a leap to think they are the same product. The Great Value brand has a great taste, and I can save about 30 percent when I purchase it.

If you have a child in school like I do, then you know how frustrating it can be having to buy over-the-counter medication all the time to help your child battle the germs and illnesses at school. I buy generics and save 20 to 30 percent. The same applies to napkins, tissues, toilet paper, freezer bags, and other staples.

Return them if you don't like them

Grocers really want you to try their store brands that they are willing to put their money where their mouth is. Many of them have a guarantee that if you try their store brand and do not like it, then you can return it, and they will replace it with the national brand. There might be some national brands that generics might not be able to touch in terms of taste, but at least try. That's all I ask.

Think about it, if you are saving from 50 cents to $4 on every generic you purchase, that quickly turns into real cash. That means there is more money you have to pay off your debt, invest in a mutual fund, or save for a rainy day or vacation. When I look at the generic vs. major brand, it just makes sense (or should I say “cents”) to buy generic brands.

Compare the cost per ounce

My son loves to eat a fruity cereal for breakfast. The price tag for the major brand is actually about $2 less than the generic, but I always buy the generic. This is why: The national brand cereal is 20.5 ounces, and the generic is 40 ounces. If I am just looking at the price tag, I would ignore the generic. However, when I compare the price per ounce, the name brand is 18.4 cents per ounce, and the generic is 14.5 cents an ounce. So, I am saving more than 20 percent when I buy the generic that tastes just as good. It's a no-brainer decision in my house.

I have found generic canned vegetables for about half the cost of the major brand. If you can tell the difference between the two, your taste buds are way more sophisticated than mine. I realize when it comes to food and taste, we have different personal preferences. I get it that the final decision is going to be up to you and your taste buds, but it doesn’t hurt to try these generic brands. You will end up saving money like I have.

If you are willing to try these, the good news is there is no shortage of retailers who offer generic products, whether it is a regional grocery chain in your area, a major retailer, or a drug store. There are so many opportunities to save.

What are some of the discount stores you like to shop and find good deals? I do shop a lot at Walmart because their Great Value and Equate brands can save me money. However, Walmart doesn't have sales — they boast about always having low prices. But, there are times when your local grocery store will have nice sales where you can buy name brands cheaper than the generics. So, be good shoppers and always look for the deals … and savings! And don't forget to download the Ibotta app to save money, too.

One place I look for deals and savings is Dollar Tree. Don't laugh and don't judge me! You know you like Dollar Tree, too. There is just something about being able to buy all this stuff for a dollar. If you have been in a Dollar Tree, which has been growing ever since the Great Recession, then you know you can get national brands, regional brands, and generic brands. Part of the fun of going into a Dollar Tree is to see what deals you can find.

  • Read: How to Save Big by Shopping at the Dollar Store

Did you know you can order items from Dollar Tree online, and they will ship it to your store free of charge? I know someone who walks her dog two to three times a day. If you are going to be a good citizen, then you better carry a little bag with you to take care of any messes. Well, she goes to Dollar Tree's website and orders these little bags by the case and doesn't worry about it for months. If you have a dog, then you know how expensive these bags are at pet stores and other retailers. She is saving about $3 or $4 per unit. Dollar Tree offers some extreme savings, and, yes, those bags are generic.

Share754
Pin280
Share
Tweet
Email
1K Shares

Filed Under: Food & Drink, FRUGAL LIVING Tagged With: BUDGET TIPS, FOOD BUDGET, GROCERY BUDGET, SAVE MONEY

Previous article:
« 3 Tips for Paying Off Debt in Collections
Next article:
Make Money from Home: Teach for VIPKid »

Comments

  1. Lisa says

    October 11, 2019 at 6:54 am

    Great article! We have always been a store brand fan family. We also shop at Aldi which can save HUGE amounts of money and their brands are delicious!!

  2. Bethanie says

    October 21, 2019 at 7:00 pm

    I love this article! We always buy generic brand and you really can’t tell the difference. Love all of your articles!!! Thank you for all your information and help!

  3. Deborah Jackson says

    October 26, 2019 at 4:30 pm

    I buy as many genetics as possible. Love Aldi for much cheaper prices.

Hello, I'm Kumiko, but everyone just calls me Miko. Welcome to my blog, The Budget Mom. I am an Accredited Financial Counselor® , and mom to a rambunctious boy. Come along with me as I strive to live a life I love on a budget that I can afford. Read more about me.

RECENT YOUTUBE VIDEO

Free Resource Library

Recent Posts

  • Need Cash Fast? 20 Things In Your Home You Can Sell Right Now
  • How Price Matching Can Help You Achieve Your Savings Goals
  • How to Improve Your Financial Mindset to Achieve Your New Year’s Goals
  • How Can My Child Start Investing?
  • What It Means to be “Cash Poor” and How to Avoid It

Blog Categories

Amazon Associates Disclosure

The Budget Mom, LLC is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to amazon.com.

About

  • Home
  • ABOUT TBM
  • Contact
  • Start Here

Important

  • DISCLAIMER
  • PRIVACY POLICY
  • Subscribe

Favorites

  • YouTube
  • Blog
  • Live Rich Planner
  • Budget by Paycheck

Start With My Friday Newsletter

Copyright ©2021, The Budget Mom®
This website contains affiliate links, which means that if you click on a product link, I may receive a commission. This website is a participant in the amazon services llc associates program, an affiliate advertising program where I earn advertising fees by linking to amazon.com.