Businesses selling groceries often show a unit price next to the total selling price of a product.
Unit pricing helps consumers:
See our videos about understanding unit pricing and about becoming a unit pricing expert.
The unit price shows how much the product costs using a standard unit of measurement.
The standard unit of measurement used will depend on the type of product. Units may be by weight, volume, length, area or number.
Some examples of standard units are:
See our video about standard units of measurement.
There are rules about which businesses must display unit prices, where, how, and for what products.
Most supermarkets, large grocery stores, and online grocery stores must display unit pricing, in store, online and in advertising.
Smaller stores and stores that don’t sell a wide range of groceries don't have to display unit pricing, but they can choose to.
There's more information about these rules in the Unit Pricing Code.
In this example, the unit of measurement for the item is litres.
The first container of laundry detergent is better value. Although the selling price is more, the price per litre is less.
In this example, there is more than one option for unit of measurement. The retailer can sell the lemons at a cost per item or a cost per kilo.
They can display the unit price as $1.50 per lemon.
The retailer can also provide the average weight of a lemon as 80 grams and the unit price of $18.75 per kg.
Unit prices must be shown for most everyday grocery items like food, drinks, cleaning and personal products.
Some products, including hardware, appliances and clothing, don't need to display a unit price. These exemptions are listed in the Unit Pricing Code.
The Unit Pricing Code contains specific rules about how prices need to be displayed.
The code contains rules to make sure that unit pricing is accurate, clear, easy to locate and easy to understand.
There are 4 main rules that apply anywhere that unit pricing is displayed. The unit price for a grocery item must be:
Unit pricing must be displayed where 2 or more of the same grocery items are offered for a single price.
Bundles of different types of grocery items don't require unit pricing.
Unit pricing is not required where similar items of different sizes and weights are sold at a single price.
We also have a video explaining how unit pricing works in practice.
Finding the best value on your grocery shop
isn't always easy.
Different brands, different packaging.
It can make comparing prices really hard,
that's where the unit price can help.
But what exactly is a unit price?
Well, the unit price makes it easier
to compare grocery prices
using a standard unit of measure
to find the best deals across similar products.
The standard unit of measurement used could be by weight,
by volume, or per item.
So for meat,
the unit price could be measured per kilogram or per item.
For liquids, it's per 100 millilitres or per litre.
And for fruit and veg,
well, they can be measured per kilogram or per item.
The unit pricing code sets out the rules
around unit pricing,
which stores have to display them,
which kind of products they apply to,
and how the unit price is displayed.
Not all businesses need
to display unit prices. Under the code,
most large supermarkets,
large grocery stores
and online grocery stores must display unit pricing
in store, online and in advertising.
Smaller local grocers or specialty shops like butchers
and pharmacies can choose whether
to use unit prices or not.
Not all products will have unit prices, either.
Some are exempt under the code.
Most food, drinks, cleaning,
and personal products must be unit priced though.
Next time you're shopping for groceries,
whether you are online or in a shop,
remember to check the unit price to compare and save.
For more information on how the unit pricing code works,
check the ACCC website accc.gov.au.
If you like to look for value
when you do your grocery shop,
then you might have already heard about unit pricing.
The unit price helps you find the best value for your money
by breaking down a grocery product's cost
into a standard unit of measurement,
such as kilos or litres,
so it helps you compare similar products,
even if they're different brands come in different sizes,
different packaging,
or even different types of the same food.
Let's look at some examples,
comparing the unit price of tin corn with frozen corn.
The tin product is smaller,
but the unit price is cheaper, so it's better value.
Pasta, it's basically the same product,
but in different shapes, different brands,
and in different packaging.
So how can you work out the best value for your money?
The unit price.
And yoghurt can be just as tricky.
It comes in pouches, small pots, large tubs,
dairy, non dairy, flavoured, fat-free.
where do you even start?
The unit price.
So where do you find the unit price?
According to the unit pricing code,
if the store is required to display unit prices,
the unit price must appear near the selling price.
The unit price has to stand out, be easy to read,
accurate, and clear.
If you're doing your grocery shop online,
the unit price still has to appear near the selling price.
Check to see if you can sort grocery items by unit price
to make it easier to compare.
Next time you’re grocery shopping,
look for the unit price to compare and save.
For more information on the unit pricing code,
visit accc.gov.au.
The unit price can help you find the best value
for your grocery budget.
The unit price breaks down the price of a grocery item
into a standard unit of measurement
like grams or kilograms for weight
or millilitres or litres for volume.
It helps you to compare similar items
across different brands, different packaging,
different sizes, and even different special offers
to find the best value.
Size isn't always the best way to tell
if a product is the best value.
Check the unit price to compare.
How can you tell which is the best value
between this block of cheese
or package of sliced cheese or grated cheese?
What if we compare similar products between brands?
What if one item is on special?
Check the unit price to compare.
Which unit of measurement depends on the type of product
and how it's usually sold.
Two-ply, three-ply, double length, triple length,
recycled, fragrance-free.
With all these options
for something as simple as toilet paper,
how can you work out the best value?
Check the unit price.
The unit price gives you a price per 100 sheets
of toilet paper that you can use
to compare across different brands and sizes
to find the best value.
For fruit and vegetables, the unit price might be per item
or per kilogram if it's supplied by weight.
So, next time you're shopping for groceries
in store or online, remember to check the unit price
to compare products and save.
For more information
on the unit pricing code, visit accc.gov.au.