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Orange Juice Packaging

You know those half gallons of orange juice in the grocery store? 1/2 gallon = 64 ounces. About five years ago they all suddenly became 59 ounces. Well, I just noticed that they have all suddenly become 52 ounces. Of course, the price is the same. So in effect that is an 18.75% price increase over five years ago, and an 11.9% increase over earlier this year. Maybe most people don’t notice, but I certainly do.

I’m pretty sure they actually teach this approach to grocery pricing in MBA programs. Once it has been down to 48 ounces for a while at the current price, they will re-introduce the 64 oz bottle at a much higher prices with a prominent sticker that reads, “Now 64 oz”. Candy bars did that several times over the past two decades (smaller, smaller, smaller, then big price increase with, “now, larger” notice).

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