Benefits & Drawbacks of Buying in Bulk

Buying in bulk can be part of an overall frugal living strategy.

For those looking to save a few bucks at the grocery store checkout, the allure of purchasing in bulk is almost irresistible. Conventional wisdom says that by buying in bulk, you pay a lower price per unit on things you'll need eventually anyway. Although bulk buying can save you some time and dough, you still need to pay attention to those price tags to make sure you're getting a good deal.

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Pro: Lower Cost-Per-Unit
- While it's often true that you spend less per unit by buying more, that's not always the case. When shopping at membership-based bulk discount stores, an article from "The Globe and Mail" cautions that not everything is cheaper -- you really need to know your conventional grocery store prices to judge whether you're really paying less. Don't forget to figure in the cost of that membership. Often, you can save just as much money by using coupons and shopping grocery store sales, but buying in bulk is probably the way to go if you need a specific item that's not on sale that week. Since retailers like Target are offering more bulk-buying options, keep in mind that it's possible to get volume-based discounts without membership fees.
Pro: Less Packaging
- According to an article in "The Telegraph," about a third of all household waste is consumer packaging. Since you can reduce the amount of packaging you toss out by buying in bulk, volume-buying does the environment a favor while also giving your pocketbook a boost.
Pro: Less Effort
- You open the bathroom cupboard to find that you don't have any toilet paper left, your bathroom roll is empty and the in-laws are coming by in less than an hour. By buying in bulk you can cut your trips to the grocery store, saving the gas money, time and frustration that comes from not having what you need on hand.
Con: Food Waste
- Unfortunately, not everything is non-perishable. Buying that jumbo box of chicken breasts might have seemed like a good idea in the store, but you could actually be spending more money if they go bad before you get a chance to use them. Before snatching up that bulk buy deal, ask yourself if you'll be able to eat everything you're getting before its expiration date. Toiletries and staples that don't spoil quickly, such as flour and rice, are good bulk-buying candidates.
Con: Using More Since You Have Lots
- Bulk buying can cost you money in the end, if you fall into the psychological trap of using more of something just because you have lots. For example, just the visual of that giant bottle of shampoo sitting in the shower can cause you to squeeze out more of it. Suddenly, a bottle that was supposed to last you a six months is finished in three, and you're stuck going out to buy another one.
Con: Required Storage Space
- Buying lots at once works out fine if you have a large pantry, but it presents a challenge if you live in small studio apartment in New York City. If you're not careful, you could find that storing and organizing your bulk purchases eats up too much of your time and living space.