Mispricing and Unavailability of Advertised Food Products in Retail Food Outlets

Misperceptions of Grocery Advertising

“…Content analyses of Canada Safeway's grocery advertising during the survey period indicate that almost all regularly carried advertised items (97.6 percent) were reduced in price. This finding contrasts sharply to previous analyses reported in Wilkinson and Mason (1974) and Mason and Wilkinson (1976; on grocery advertising in the 1970s by U.S. stores. They found that 25 percent to 48 percent of products featured in national chain grocery advertisements were not actually reduced in price.…”

Unavailability of Advertised Products in Selected Non‐food Stores

“…A number of studies carried out after the rule went into effect produced some evidence that it has helped to decrease the level of unavailability of advertised food specials (Hanscom, 1975;Hendon, 1976;Inman & Larson, 1975;Mason& Wilkinson, 1976, 1977Verkuil, 1973). Yet unavailability remains a consumer concern.…”

Estimating Consumer Losses From Unavailable Advertised Grocery Specials

“…As a result, this study has a twofold purpose: estimation of consumer economic losses from unavailability and illustration of a methodology appropriate for an evaluation of economic phenomena dependent on behavioral models. BACKGROUND Beginning with the often cited study by the Federal Trade Commission in the District of Columbia and San Francisco' to more recent efforts [13,14,15, 161 studies have shown that unavailability of advertised food specials remains a problem despite the formulation in 197 1 of the FTC Trade Regulation Rule on Retail Food Store Advertising and Marketing Practices. For example, in 1974 A&P was fined for mispricing and having excessive unavailability of advertised food products2 [6].…”