Monday, September 15, 2008

Hypernova, meet Supply Chain Managment...

I couldn't help but post a "non-technical" opinion today. Yesterday, while shopping for groceries, I went to purchase my normal catch of canned tuna from Rio Mare (yeah, premium Tuna, I roll like that). I noticed Hypernova was selling the following:

1-Can Pack: 59.90 CZK
2-Can Pack: 139.90 CZK


That means, if you buy two, 1-can packs, you pay 119.80 CZK ... but if you buy 1, 2-can pack, you pay 139.90 CZK. Hmmm, ok. So I bought two, 1 can packs and saved the 20 CZK.

Now, it doesn't really take a genius to know something is wrong here. The cost of packaging 1 can vs. 2 cans is obviously more (Economies of scale anybody?), not to mention when you rid yourself of a 2-can pack, you free up more shelve space for more goods. Also, customers *generally* lower the cost of purchase by purchasing in bulk (while 2 cans to 1 isn't really bulk, the same "theory" applies). In other words, the one 2-can pack should have been cheaper than 2, 1-can packs.

Apparently, the fine folks at Hypernova haven't taken any Economics 101 classes, and they need to learn a thing or two about Supply Chain Management and Marketing ... I'm available for consulting services should you guys want it (because you DO need it!).


Anonymous said...

Actually, one is very delicate marketing step :), mostly people knows that 2 cans chipper than 1 and takes 2 cans pack, only you remember something from elementary school and can calculate it :). I guess company get good profit on such promo.


Anonymous said...

I found exactly same thing in Kazan mart. Last Friday i have purchased 2 0.5L can (1L in sum) of beer for 27.3 ruble for each 0.5L can, ie 54,6 rub in sum. As a option i could buy 1L plastic bottle for 63,5 ruble or 1,5L bottle for 93,8. So, more i buy, more i pay in any combinations :). Marketing ...


Anonymous said...

Glad to see you didn't waste the opporTUNAty to save a few blennies :-)

David Stennett said...

1-can packs are now up to 74kc per pack, and 2-can packs are out of stock. Their supply-chain management is horrid (or the oceans are running dry of Tuna). Forget the "Peak-Oil" crisis -- what about "Peak-Tuna"? :P