Is Grocery Outlet Cheaper Than Save Mart?
A Price Comparison Analysis
As grocery prices continue to rise, shoppers are constantly seeking ways to stretch their budgets. Grocery Outlet and Save Mart are two popular options for cost-conscious consumers. Grocery Outlet typically offers lower prices than Save Mart on many items, with potential savings of 40-70% compared to traditional supermarkets.
Grocery Outlet achieves these savings through opportunistic buying, purchasing excess inventory and closeout products from manufacturers. This allows them to offer name-brand items at significantly discounted prices. Save Mart, on the other hand, operates as a more traditional grocery store with consistent inventory and pricing.
When creating a shopping list, consumers may find greater savings at Grocery Outlet, especially on non-perishable goods and household items. However, selection can be less predictable due to their business model. Save Mart offers a more stable inventory, which can be beneficial for consistent grocery budgeting. Comparing prices between the two stores on specific items can help shoppers maximize their savings and make informed decisions about where to shop.
Overview of Grocery Outlet and Save Mart
Grocery Outlet and Save Mart are two distinct grocery retailers operating in the United States. They employ different business models and strategies to serve their customers and compete in the marketplace.
History and Business Models
Grocery Outlet was founded in 1946 as a surplus food distributor. It operates as a discount grocery chain, offering name-brand products at reduced prices. The company utilizes an opportunistic buying strategy, purchasing excess inventory from manufacturers and other sources.
Save Mart Supermarkets began in 1952 as a single store in Modesto, California. It functions as a traditional grocery store chain, providing a wide range of products including fresh produce, meats, and household goods. Save Mart focuses on offering competitive prices and quality customer service.
Both retailers have expanded over the decades, but Grocery Outlet has grown more rapidly in recent years through its franchise model.
Store Locations and Accessibility
Grocery Outlet has over 400 locations across the western United States and Pennsylvania. Its stores are typically smaller than traditional supermarkets, averaging around 15,000 square feet.
Save Mart operates approximately 200 stores in California and Nevada under various banners including Save Mart, Lucky, and FoodMaxx. These stores are generally larger, often 40,000 square feet or more.
Accessibility varies:
Grocery Outlet: Often found in suburban areas and smaller communities
Save Mart: Primarily located in urban and suburban neighborhoods
Store density differs by region, impacting customer convenience and shopping options.
Price Comparison Strategy
Grocery Outlet and Save Mart employ distinct pricing strategies to attract customers. These strategies involve different approaches to setting prices and measuring value for shoppers.
Pricing Policies
Grocery Outlet focuses on offering steep discounts on overstock and closeout items. They acquire excess inventory from manufacturers and distributors at low costs, then pass savings to customers. This allows them to sell many products at 40-70% below conventional retail prices.
Save Mart uses a more traditional pricing model. They negotiate directly with suppliers for standard wholesale rates. Save Mart then applies standard markups to determine shelf prices. They run weekly sales and promotions to offer temporary discounts on select items.
Comparison Metrics
When comparing prices between the two stores, several metrics are useful:
Base price of identical items
Cost per unit (e.g. price per ounce)
Total basket price for a standard grocery list
Grocery Outlet often has lower prices on packaged goods and frozen foods. Save Mart may be more competitive on fresh produce and meats. Milk and eggs can vary. To get the best overall value, shoppers should compare prices on their most frequently purchased items at each store.
Product Selection and Quality
Grocery Outlet and Save Mart differ significantly in their product offerings and quality. These differences impact customer shopping experiences and potential cost savings.
Brand Availability
Grocery Outlet specializes in selling overstock and closeout items from major brands at discounted prices. Their inventory changes frequently, offering a "treasure hunt" experience. Shoppers can find name-brand products at steep discounts, but selection may be inconsistent.
Save Mart, in contrast, maintains a more stable inventory of national brands and private label products. They offer a wider range of consistent options across categories. This reliability allows customers to find familiar products on each visit.
Freshness and Organic Options
Save Mart typically provides a larger and more consistent selection of fresh produce, meats, and dairy products. Their produce departments often feature both conventional and organic options.
Grocery Outlet's fresh offerings can be more limited and variable. However, they sometimes offer organic produce at lower prices than traditional supermarkets. The quality of perishables may vary between locations and visits.
Both stores carry organic products, but Save Mart generally has a broader organic selection across departments.
Non-Grocery Items Coverage
Save Mart offers a wider range of non-food items, including household goods, health and beauty products, and basic pharmacy items. Their selection tends to be more comprehensive and consistent.
Grocery Outlet's non-grocery selection is more limited and changes frequently. They often feature discounted kitchenware, seasonal items, and occasional furniture pieces. Wine and beer selections at Grocery Outlet can be extensive, with unique finds at low prices.
Pet products are available at both stores, but Save Mart typically offers a more consistent and diverse selection.
Discounts and Savings Opportunities
Grocery Outlet and Save Mart offer various ways for customers to reduce their grocery bills. Both stores provide coupons, deals, and loyalty programs to help shoppers save money on their purchases.
Coupons and Deals
Grocery Outlet features significant discounts on brand-name products, often up to 70% off regular retail prices. They offer a "WOW!" deals section with deeply discounted items that change regularly.
Save Mart provides weekly ad circulars with sales and specials. They accept manufacturer coupons and occasionally offer digital coupons through their mobile app.
Both stores have clearance sections for additional savings on soon-to-expire or overstocked items.
Loyalty Programs
Save Mart's rewards program allows customers to earn points on purchases and redeem them for discounts. Members receive personalized deals and exclusive savings offers.
Grocery Outlet does not have a formal loyalty program. Instead, they focus on providing everyday low prices without requiring memberships or cards.
Save Mart's program provides ongoing benefits for frequent shoppers. Grocery Outlet aims to offer consistently low prices without the need to track points or clip coupons.
Consumer Shopping Experience
The layout, organization, and customer service at Grocery Outlet and Save Mart significantly impact the overall shopping experience. These factors can influence how efficiently customers navigate the stores and find desired items.
Store Layout and Navigation
Grocery Outlet typically features a more compact layout with aisles organized by product categories. This design allows shoppers to quickly locate items on their shopping list. The store's smaller footprint can make it easier for families to navigate with children.
Save Mart often has a larger store format with wider aisles and more spacious departments. This layout provides a less cramped feeling but may require more time to traverse. Save Mart's produce section is usually more extensive, catering to health-conscious shoppers seeking fresh fruits and vegetables.
Both stores use clear signage to guide customers. Grocery Outlet sometimes has a treasure hunt feel due to its rotating inventory of discounted items. Save Mart maintains a more consistent product placement, which can be beneficial for regular shoppers.
Customer Service
Grocery Outlet stores are often independently owned and operated, which can lead to a more personalized customer service experience. Staff members are typically knowledgeable about current deals and can help shoppers find specific items.
Save Mart emphasizes professional customer service with well-trained employees. Their stores usually have more staff available to assist customers, including dedicated personnel in specialized departments like the deli or bakery.
Both chains prioritize friendly interactions, but Save Mart may offer more comprehensive services such as carry-out assistance for families with large orders. Grocery Outlet's smaller size can result in quicker checkout times during busy periods.
Inventory and Stock Consistency
Grocery Outlet and Save Mart employ different inventory management strategies, impacting product availability and pricing. These approaches influence the shopping experience for customers seeking specific items or deals.
Inventory Management
Grocery Outlet operates on an opportunistic buying model. They purchase overstock, closeout, and discontinued items from manufacturers at steep discounts. This strategy allows them to offer lower prices but results in an ever-changing inventory. Shoppers may find unique deals on brand-name products, but specific items are not consistently available.
Save Mart, in contrast, maintains a more traditional inventory. They stock a regular selection of products, including staples and popular brands. This approach provides customers with a reliable shopping experience, as they can expect to find familiar items on each visit. Save Mart also offers a wider range of organic produce and specialty items compared to Grocery Outlet.
Product Turnover
Grocery Outlet's inventory turns over rapidly due to its opportunistic buying model. New products appear frequently, often at significant discounts. This high turnover rate encourages customers to visit often to discover new deals. However, it can make meal planning challenging, as specific ingredients may not be available on subsequent trips.
Save Mart's product turnover is more stable. They replenish standard items regularly, ensuring consistent availability of essentials like milk, eggs, and produce. This stability allows customers to rely on Save Mart for their regular shopping needs. Save Mart also rotates seasonal items and introduces new products, but at a slower pace than Grocery Outlet.
Comparing Regional and National Chains
Grocery chains vary widely in pricing, selection, and regional presence. Some focus on low prices while others emphasize quality or specialty items.
Grocery Outlet vs National Brands
Grocery Outlet offers significant discounts compared to many national chains. Their business model of buying overstock and closeout items allows them to sell products at 40-70% off typical retail prices. However, selection can be inconsistent.
Compared to Walmart, Grocery Outlet is often cheaper on packaged goods and produce. Against Kroger, Grocery Outlet typically has lower prices but a more limited selection. Grocery Outlet beats Whole Foods and Sprouts on most items, especially packaged foods.
Aldi and Trader Joe's provide strong competition on price. Their smaller store formats and focus on private labels allow for competitive pricing. WinCo is another low-price leader in some regions.
Save Mart in the Retail Landscape
Save Mart operates primarily in California and Nevada as a full-service supermarket. Their prices tend to be higher than discount chains like Grocery Outlet or WinCo, but lower than premium stores like Whole Foods.
Save Mart competes more directly with regional chains like Raley's and Safeway. Their pricing is typically similar to larger national chains like Kroger. Save Mart emphasizes fresh produce and meat departments as key differentiators.
In the San Francisco Bay Area, Save Mart faces competition from strong regional players like Mollie Stone's and Andronico's. Save Mart aims to balance competitive pricing with higher quality perishables than discount chains.
Community Impact and Sustainability
Grocery Outlet emphasizes community engagement and sustainable practices. The company's initiatives aim to support local economies while reducing environmental impact.
Local Economic Contribution
Grocery Outlet's independent operators play a crucial role in their communities. These local owners create jobs and foster economic growth in their neighborhoods. The company's Independence from Hunger initiative donated over $3.9 million to support local food pantries in 2023.
Grocery Outlet partners with local farmers and producers to source fresh produce and regional specialties. This approach supports family farms and small businesses while offering customers access to locally-grown food.
The company's discount model helps families stretch their budgets. In 2023, Grocery Outlet estimates it saved customers $2.8 billion through its bargain prices.
Sustainability Practices
Grocery Outlet implements energy-saving measures across its stores. Over 98% of locations use timed lighting and heating systems to reduce energy consumption.
The company focuses on reducing food waste by selling surplus or discontinued products. This practice keeps usable food out of landfills while offering customers discounted prices.
Grocery Outlet encourages the use of reusable bags and works to minimize packaging waste. Some stores feature bulk food sections, allowing customers to purchase items with less packaging.
The company's sustainability efforts extend to its supply chain. Grocery Outlet works with suppliers to optimize transportation routes and reduce carbon emissions.
Final Assessment: Is Grocery Outlet Cheaper than Save Mart?
Grocery Outlet generally offers lower prices compared to Save Mart. The discount chain's business model focuses on providing deeply discounted products through opportunistic buying and overstocks.
Save Mart operates as a traditional supermarket with regular pricing and weekly sales. While it may have competitive prices on some items, overall costs tend to be higher than Grocery Outlet.
Shoppers can typically save 40-70% at Grocery Outlet versus conventional grocery stores. This translates to significant savings on a typical shopping trip.
The trade-off is a more limited and constantly changing selection at Grocery Outlet. Save Mart provides a wider, more consistent product range.
For budget-conscious consumers, Grocery Outlet is likely the cheaper option. Savvy shoppers can maximize savings by:
Stocking up on deeply discounted staples
Being flexible with brands and product sizes
Checking for weekly specials at both stores
Save Mart may be preferable for shoppers who prioritize specific brands or need a full selection of items. Comparing prices on frequently purchased products can help determine which store offers better value for individual needs.
