Archive for the ‘Food’ Category

Why are organic strawberries more expensive?

Wednesday, August 3rd, 2011

It can be costly to be environmentally or health conscious. Lots of people say organic products are healthier and more environmentally friendly because they don’t use lots of chemical pesticides or hormones; however, they are typically also more expensive than conventionally-grown products.

Price always boils down to supply and demand. There are simply a lot fewer organic farms than non-organic farms, which makes organic produce rarer and more expensive provided people actually want organic products. Clearly, people do want organic products – as demonstrated by the explosion of marketing for anything and everything organic in recent years – and this marketing could be another big factor in the price.

Companies have done a good job making organics stand out and presenting them as something you want or need to have. Unfortunately for people who grow and enjoy organic products, the very things they like about them also make them more expensive. Hormones and chemical pesticides are cheaper ways to produce bigger crops, so it costs more to make the same quantity of strawberries (or whatever) without all that chemical stuff organic consumers don’t want.

If you want access to a special or different product, you’re going to pay for it. You have to decide for yourself if it’s worth the price.

The Economy of Sandwiches

Friday, July 8th, 2011

chihuahua-sandwich.jpg
(photo credit: Toronja Azul)

We all know eating out is more expensive (and more fattening) than eating in. But how much more expensive, exactly? Intern Anna did a little experiment:

Your stomach is grumbling and you’re trying to decide – do I head out the door or hit the kitchen?

Say you’re craving a good old turkey sandwich. That’s it. And you decide to stay in rather than roam the streets. So you grab…

- 2 slices of bread ( = grainy-goodness), $0.50

- 3 slices of turkey, $0.60

- 1 slice of cheese (the nice stuff), $0.35

- a bit of lettuce, $0.10

- 2 slices of tomato, $0.20

- a squeeze of mustard, $0.05

You’re all set and the total is… $1.80! Head to the local deli or grab a pre-packaged sandwich and you’ll probably be paying $5.00 – or more.

One New York City native really took the plunge and decided to only eat in – ever – and she wrote a book about her experience. She’s still blogging about not eating out in NY.

If you keep sweaters in your stove and have a taste for the gourmet, eating out might be a priority for you. But if you’re not opposed to spending more time waltzing down the grocery store aisles and dancing in the kitchen, eating in could keep your piggy bank nice and heavy.

Hard Work Pays Off (In Designer Suits and Local Luxury)

Tuesday, April 12th, 2011

Gilt City is one of Gilt Groupe’s overachieving children. But instead of offering its members haute couture at a discount, G.C. serves up local luxury experiences (a gourmet meal here, a spa there) at special prices.

Team TILE visited their New York office recently, and Gilt City president Nathan Richardson was kind enough to sit down and chat with us for a few minutes.

Nathan has had a wild career, and it seems like his only regret is not learning Mandarin in high school. Impressive. He has some advice for you, so check it out:

Makers of SunChips Appeal to Both Environmental Concerns and Delicate Ears

Wednesday, March 2nd, 2011

“Frito-Lay hopes its new SunChips bag will please consumers who complained in droves last year when the company rolled out a “green” bag that could be tossed into the compost bin.

Snackers said the new bag was simply too noisy and detracted from the chip-eating experience. (Translation: In other words, it drowned out the TV and was harder to keep late-night secret chip eating a secret.)”

What do you think?

Would you ever refuse to buy a snack food because the packaging made too much noise?  For that matter, would you take the time to complain to a company if you thought their snack packaging was too crinkly?

This Fall, Look Forward To High, High Prices!

Friday, February 18th, 2011


(photo credit: Thing Three)

“Most” consumer goods are about to get a lot pricier - food, clothing, appliances, you name it. Why? Commodities, demand, and labor! Here’s what that actually means for you…

  • The cost of raw materials, like cotton, wheat, and metal, has increased wildly in recent years. These raw materials are traded on exchanges kind of like stocks, but they’re called commodities. Just like stocks, the prices of commodities changes frequently.
  • When commodity prices shoot up, it’s more expensive for companies to make their products, and that cost gets passed on to you, the consumer.
  • Besides the price of materials, there’s the cost of people. Workers overseas now demand higher wages than they used to, and with more money to spend, there’s an increased demand for certain goods (like cars and meat). That all adds up to more expensive products.
  • Retailers have been holding off on raising prices to keep customers during the recession, but they say they can’t hold out anymore.
  • Will rising prices lead to inflation? Stay tuned.

Facts & Figures

  • Unemployment in the U.S. is still at 9%, and wages have risen less than 2% in the past year
  • Some brands planning to raise prices include: Nine West, Anne Klein, Victoria’s Secret, Polo Ralph Lauren, Whirlpool, Kraft, Starbucks, Sara Lee, Brooks Brothers, and Hanes
  • Inflation has been low – about 1.4%, but economists expect the rate to rise to 2.5% 2011

Best Quotes

“Consumers are not exactly in the frame of mind or economic circumstances to say ‘Oh, pay whatever they ask.’ There’s going to be pushback.” – Joshua Shapiro, Chief U.S. Economist at MFR Inc.

“These companies are constantly walking a tightrope on how far do I go. Do I offset with price or other cost cuts, or do I just take it and have it eat into my profit margins?” – Jack Russo, Consumer Goods Analyst at Edward Jones

What do you think?

Do you know what goes into the price of the products you buy? Did you ever imagine that the price of popcorn at the movie theater could be connected to weather in the Midwest and a commodites trading floor in Chicago?

As Seen on the Web… Girl Scouts Get Serious

Friday, February 11th, 2011

It’s hard to imagine Girl Scout cookies not selling themselves. (I mean, Thin Mints?!) But tomorrow’s captains of industry are today’s cookie-pushers, and everybody’s got to learn how to pitch sometime.

This will probably be the cutest little girl/ consultant interaction you see all day.

Americans Open Wallets Wider Than They Have In Three Years

Wednesday, February 2nd, 2011

The financial times they are a’changing. At least, that’s what these new statistics would have us believe…

  • In 2009, the American GDP (gross domestic product – a measurement of economic activity) dropped more than it had in sixty years. But like a phoenix made up of economic statistics, it rose back up in 2010.
  • We can’t know the exact cause, but the numbers say that people earned a little more, saved a little less, and spent a little more than they had in recent years.
  • Since consumer spending makes up almost three-quarters of all economic activity in the U.S., this is good news. But there are still those issues around high unemployment and a trashed housing market…

Facts & Figures

  • Consumer spending represents 70% of all economic activity in the U.S.
  • In 2010, spending rose by 3.5% – 0.7% of that was in December alone
  • The last time spending rose that high was in 2007 (pre-recession)

What do you think?

Have you been spending more lately? Do you think the economy will recover faster depending on where you spend your money (at independent stores versus chains)?

(Check out this week’s Today at TILE for a closer look at signs of life in the economy.)

Gourmet ice. You heard it here first.

Monday, January 31st, 2011

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credit: _Fidelio_

(Is this some sort of sign from Zeus that our crazy American economy is chugging back to life?)

The Starbucks Trenta: Because Bigger Drinks Are Always A Good Idea

Tuesday, January 18th, 2011

“Starbucks Corp. will roll out its biggest drink size yet — the 31-ounce “Trenta” — in all its U.S. coffee shops by May 3, the company said on Sunday. The new size will be available only for iced coffee, iced tea and iced tea lemonade drinks in the United States. The Trenta is 7 ounces larger than Starbucks’ “Venti” cup for iced drinks, which currently is its largest size on offer. Drinks in the Trenta size will cost 50 cents more than similar Venti-sized iced drinks, the company said.”

What do you think?

How much would an extra $0.50 add to your daily iced coffee habit?

What You Should Know Before You Budget

Monday, January 3rd, 2011

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Credit: apium

Sticking to a budget is more or less like sticking to a diet: It sucks, and you’re almost guaranteed to fail.

BUT! There’s another way. With a few simple tricks, you can take control of your spending and avoid feeling guilty all the time. Here’s what Tara Siegel Bernard from the New York Times has to say:

  • Let the robots take control. Set up automatic transfers to your savings and investment accounts. It only takes a few minutes. If your savings is being automatically transferred out of your spending account every month, you don’t have to worry about spending it!
  • Start at the finish line. What are you saving for? Saving is easier when you have a goal in mind (a vacation, a new car, an obscenely expensive pair of shoes). Figure out how much money you need and you’ll know how much money to have automatically transferred each month.
  • Separate the fun money from the serious money. If you have a phone bill or rent to pay, keep that money separate from the money you plan to squander irresponsibly at the mall. Obviously.
  • Brace yourself for big surprises. One of the easiest ways to muck up your budget is to suddenly spend a lot of money you hadn’t planned for. This one’s easy, though. Put a little extra away somewhere each month. You can use that to cover your surprise expenses without feeling like a total budgeting loser.

Best Quote:
“Ultimately, what we want our money to be is an energy source. It should help us get somewhere or do something.”  – Amanda Clayman, Financial Therapist (only in New York!)