Unit Price: The Number That Beats Every Sale Sticker
How to read the price per ounce on a shelf tag, and the traps to avoid.
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A big sticker says "SALE." The small print on the shelf tag says what you are really paying. That small number is the unit price, and it is the fastest way to tell which option is the better deal.
Key takeaways
- Unit price is the cost per ounce, per count or per other unit. It lets you compare different sizes fairly.
- You can work it out yourself: divide the price by the number of units.
- The biggest size is not always the cheapest, so check.
Six steps to compare fairly
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Find the unit price on the shelf tag. Most tags show the price, the size, and a smaller price per ounce, pound or count. Read that smaller line, not the big one.
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Compare in the same unit. If one tag shows price per ounce and another shows price per count, convert one so both use the same unit before you decide.
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Do the math yourself when it is missing. Divide the price by the number of units. For example, 12 ounces for $3.00 is 25 cents an ounce. A 20 ounce size at $4.20 is 21 cents an ounce, so the bigger one wins here.
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Do not assume bigger is cheaper. Sometimes a store charges more per unit for the larger size, a "quantity surcharge." A 2013 Consumer Reports piece cited a study that found about a quarter of brand name products were a poorer value in larger sizes at some supermarkets. Check the numbers every time.
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Watch for concentrates and sheet sizes. A 2014 Consumer Reports review found stores unit pricing laundry and dish liquids by the ounce even when one product is concentrated. Select a size paper towels can have much smaller sheets yet be priced per sheet. For these, compare cost per load or per area, not per ounce or per sheet.
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Recheck sale items and odd tags. That review also found some stores did not recalculate the unit price for items on sale, and Consumer Reports has caught a mislabeled tag. If a tag looks off, use your phone calculator and divide the price by the size yourself.
When the lowest unit price is not the best buy
Unit price compares cost, not need. A larger size of fresh food is no bargain if half of it spoils before you use it. A bulk pack of something you do not usually buy only adds to the pile. Use unit price to pick between options you would actually use, and then buy the size you will finish.
Where it helps most
Unit price matters most on items you buy often: pantry staples, cleaning supplies and paper goods. It is also the cleanest way to compare a store brand with a name brand. Our guide to generic versus brand name shows when the cheaper one is the same product.
It pairs with six ways to check a sale, which covers the discount itself, while unit price covers the size.
Your checklist for this week
- ☐ On your next shop, read the unit price line on three items you buy often.
- ☐ Pick one item and compare two sizes using the same unit.
- ☐ Work out one unit price yourself by dividing price by size.
- ☐ Compare a store brand to a name brand by unit price.
- ☐ Recheck the unit price on one sale item.
Subscribe below for the next Shopping piece, on using price history before a big purchase.
