LOL... well here goes my opinion... and I apologize that I can't seem to let this one go...

Please, if you are about to speak against this in support of the consumer, first check to see that you did not argue against this sole dissident (yes, me) who finds it acceptable for ice cream and other products to be repackaged in smaller volumes in order to maintain the same out-of-pocket cost per physical packaged item. You prefer transparency, well here it is at its finest! Obviously transparency seems to upset the masses more, because this made major television headlines. Maybe those marketing MBAs aren't as stupid as we'd like to think.

Bravo, Eli, sorry it's biting you in the ass.

And let's not forget that many wholesales are adding a fuel surcharge at the bottom of the invoice that the grocer pays...so why should he shoulder all of the blame?

Nancy

I'm watching the morning news. Soon Eli's may be adding to that sign, "2% cost of funds surcharge" for their working capital line...and, at the bottom of the sign, "Cash Only (Discount given if paying in Euros)". CNBC is playing circus music with a picture of the White House this morning. Sigh. :(

Oh well, at least my sugar still comes in 5 lbs. bags ($2.99).

/t

Nancy's correct about shipping costs. The invoice on delivered goods, which is everything in a store, includes a fuel surcharge, and it ain't cheap. I think maybe the mistake this grocer made was in not explaining it better, or preparing his customers for the price increase.

Sally

I should think that it would be more educational and less annoying for the grocery store to post a notice that prices include many elements. You can more that a gallon of orange juice includes the farming expenses (water, maintenance of the grove, labor, some profit to the farmer), harvesting (labor and transportation, some profit), processing expenses, transport to warehousing/store, store expenses and profit. The store could point out that prices are 2% higher this year because of energy/transportation issues.

Personally tho, I still watch for the sales. The Gala apples that were $1.89 a pound last week are $.99 a pound this week. So what does THAT tell consumers about the costs involved in producing and getting the food from farm to table? Not much, I'd guess.

My 2 cents - I understand a store charging for the extra cost. But why don't they include it in the individual price? I don't think an across the board 1.8 percent surcharge is fair. I'm sure it costs more to ship an item from, let's say Utah than from an area local to NYC.

sushi and lisa - If I may, I think you are misinterpreting the situation. (And I did not help matters with the first comment I blurted.) What the grocer himself pays for individual products is going to fluctuate by the cost of production, transportation, etc. His retail price will fluctuate accordingly, based on what kind of profit he wants to make on each item. But Eli is not talking about what he pays for these items. What he is talking about here is what it costs him to keep the lights, refrigeration, ovens, steam tables, etc. running. In other words his cost of business. So as I see it is he is simply saying that in order to maintain his profit margain he has to raise prices 1.8%. And as such I think it is reasonable that this increase is spread out evenly across all products.

I would not want to pay more for peanuts because lemons have gotten so expensive, but I do not think that's what's going on here.

I'd congratulate them on a quick and dirty trick to garner tens of thousands of dollars worth of free television, print and web advertising. Their cost about 5 cents for the sheet of paper and scotch tape to stick the sign on the front door.

LOL pkguy, but I am not so sure this is a case of "any press is good press." I don't know about you, but a store described as already expensive and now charging an additional surcharge would not be first on my list to seek out.

Unfortunately everything is so grossly expensive that it is making it impossible for anyone to keep there head above water. Prices are rising so much that the trickel down effect is killing everyone. It is so bad that I have nixed my holiday cookie baking (those of you who remember I take orders and sell dozens and dozens) at the cost of butter eggs cream nuts chocolate etc... I just cant,its too costly and in order to make a profit I'd have to charge a rediculous amount per dozen...so this year me and the kids will bake for us and immediate family I find it very sad!

Eileen, that IS sad. But I can tell you that if there was a lady I bought cookies from every year and she explained that her price increase was strictly to make up for her increased costs, I would not think twice about placing an order anyway.

If this is something you enjoy doing and make a profit from, I would suggest raising your prices and seeing what happens. Worst case, you only get a fraction of the orders. And then you know.