The Grocery Store Deal That's Specifically Designed To Make You Spend More - Tasting Table

""It's something they don't make much of a profit on, but use it as a way to draw people into the store to spend on other things.""

""They put them at the back of the store, so you have to walk by a bunch of other products before you get to the chicken.""

""Costco's delicious rotisserie chickens... are losing money when you buy them.""

""The warehouse is also the source of the most famous loss leader deal of all: Costco's $1.50 hot dog combo, which hasn't changed since 1985.""

Grocery stores employ loss leaders as a marketing strategy to draw customers into their stores. Loss leaders are products sold at a low price, sometimes at a loss, to entice shoppers to purchase additional items. Costco exemplifies this strategy with its rotisserie chickens and $1.50 hot dog combo, both priced to attract customers while the store incurs losses. This tactic encourages shoppers to add more items to their carts as they navigate the store.

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