Consumption
Consumption is the reason we must buy items. Quite simply, we use things up.
The rate of consumption is defined as: the amount of an item consumed in a period of time (usually one week). The consumption rate, in turn, should be linked to your primary sale store's sale cycle (in my case, Publix) . Grocery stores put items on sale on a somewhat predictable schedule (more on this later). Consumption Example First, let's assume that you have determined that your family consumes two bags of Lay's chips each week. You have already determined that your primary sale store has Lay's chips on sale approximately every four weeks. To avoid having to pay full price for the chips, you will have to buy eight bags - enough to last until the next sale. 4 weeks X 2 bags used per week = 8 bags in inventory As long as the freshness dates are good, you will be maximizing your savings because you were smart enough to buy the chips when they were on sale and in a quantity which would last you until the next sale. Summary To maximize your saving, strive to achieve a balance between your store's sale cycles and your required inventory level for a particular item. NEXT: Determining the Consumption Rate |
Food Facts
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