Pricewatch: 16 February, 2018 - Personal care

Analysis

This week’s data reveals the most common approach to pricing Vaseline, taken by 59% of stores surveyed, is to stick to the Booker RRP of £1.75 or price below it. Where retailers choose to set their own prices, the bulk stray around 25p either way, with the store owners we spoke to explaining slow rate of sale or the risk of losing customers to competition are the reasons behind their pricing decisions. 

Away from Vaseline, retailers often choose to price personal care products above RRP – of the 44 price points from the six stores on our Price Checker table, 25 are higher, a fact reflected by the national average, where seven out of 12 products are sold above RRP.

Profit checker

Price Price distribution %

Price checker

AVERAGE UK RETAIL PRICE BOOKER RRP POST OFFICE IN SUBURB OF LARGE NORTH NOTTINGHAMSHIRE TOWN MAIN ROAD C STORE NEAR STOKE ON TRENT LOCAL SHOP IN REMOTE NORTHUMBERLAND VILLAGE NEWSAGENT IN WILTSHIRE VILLAGE C STORE IN RESIDENTIAL AREA OF LARGE CENTRAL SCOTTISH TOWN HIGH STREET STORE AND POST OFFICE IN BUCKINGHAM VILLAGE
KLEENEX BALSAM POCKET PACK 36 TISSUES £0.53 £0.45 £0.45 £0.50 £0.49 £0.49 £0.45 £0.49
INSETTE EXTRA HOLD HAIRSPRAY 200ML £1.15 £1.15 £1.09 £1.40 - £1.00 - £1.49
LISTERINE COOL MINT MOUTHWASH 250ML £2.72 £2.79 £2.79 £2.85 £2.99 - - £2.85
SILVIKRIN MAXIMUM HOLD HAIRSPRAY 250ML £2.44 £2.25 - £2.35 - - £2.25 £2.49
VASELINE PETROLEUM JELLY 50G £1.80 £1.75 £1.75 - £1.95 £1.76 £1.75 £1.99
WISDOM TOOTHBRUSH MEDIUM £1.21 £1.00 - - £2.19 £1.40 £1.00 £1.89
DOVE CREAM BAR 100G £0.93 £1.15 - - - £0.89 - £0.99
GILLETTE SHAVE FOAM REGULAR 200ML £1.48 £1.00 £1.00 £1.99 £2.49 £1.48 £1.00 £2.50
DOVE ROLL ON ORIGINAL 50ML £2.47 £2.65 £2.65 £2.71 £1.49 - - -
SURE COTTON FOR WOMEN 150ML £2.00 £2.19 £1.99 £1.99 - - £1.99 -
NIVEA CREAM 50ML £1.67 £1.39 - - £2.29 £1.95 - £1.89
ALBERTO BALSAM ULTRA STRONG GEL 200ML £1.09 £1.00 £1.00 £1.00 - - £1.00 -
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Data supplied by

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How we drive our profit

Ranjan Patel Avatar

Ranjan Patel

Marsh Hill News

Location: East London

Size: 500sq ft

Type: Suburban store

Top Tip
Display Vaseline prominently in the summer as well as during the colder months
We charge below RRP for Vaseline, at £1.55. It can be a slow-selling product because it lasts a long time, so we need to have a price point which will encourage more sales. We shop around at various wholesalers such as Bestway and Booker to get the best prices and margins, which average 21% for Vaseline products. There are a lot of footballers around the area, so Vaseline is a popular brand among them. Sales normally double during the summer as well, because our customers find their skin dries out more in the heat.
Gwen Patterson Avatar

Gwen Patterson

Spar Clandeboye Road

Location: Bangor

Size: 2,200sq ft

Type: Neighbourhood shop

Top Tip
Place Vaseline by the till because it makes a very good impulse purchase
We stick to the RRP because it’s the best price for attracting customers and ensuring we have the best sales. We don’t want to create a reputation for being a shop which raises and lower prices randomly for customers. We buy personal care products from wholesaler John Henderson and normally sell more than four tubs of Vaseline a week – to male and female customers of various ages. The pocket-sized tins are normally a more popular seller, and we sell 15 of these a week. Generally, they’re more popular during the winter when it’s colder.
Vip Measuria Avatar

Vip Measuria

One Stop The Priorway

Location: Borrowash, Derby

Size: 1,500sq ft

Type: Residential shop

Top Tip
Dual-site Vaseline, because it fits well with both health and beauty products
We stick to RRP with Vaseline products, whether they are in tubs or smaller tins. There isn’t much competition in our area, but we get good enough trade anyway and we don’t have to go for higher margins to make up for a small number of sales. The margins we make on products like these are normally more than 20%. The shop is based in a residential area and we get a range of customers who buy Vaseline, ranging from young men to older women. Positioning is key, though, because products like these can be quite small and hard to see.
Paul Gardner  Avatar

Paul Gardner

Budgens of Islington

Location: London

Size: 5,500sq ft

Type: City high street shop

Top Tip
Avoid having a large selection of products to choose from because this can intimidate customers
I have a lot of competition, with three chemists nearby, which means we need to stick to RRP on Vaseline. It gives us margins of more than 20%, but we can’t aim for anything higher because this would put customers off. The lower margins don’t impact us too much, though. We’re on a busy high street in central London and the high footfall as a result of being here more than makes up for it. We don’t really run any promotions on Vaseline because we’ve found customers aren’t too bothered about whether they can get a discount on it or not.

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