We all know that grocery shopping has become a real budget challenge lately. Prices are climbing, with new tariffs affecting the cost of everyday items. The 2025 tariffs will lead to an estimated 3% increase in price levels in the short term, which translates to an average consumer loss of $4,900 per household. No surprise, once fun grocery shopping can feel like a nightmare nowadays. Right now, every dollar counts, and we all must find new ways to cut back and save.
One easy way to stretch your money further is to understand unit pricing. If you have ever stared at two similar products on the grocery store shelves, confused about which one is the better deal, unit pricing is the answer. It can help you make smarter decisions and avoid sneaky pricing tactics.
What is unit pricing?
Unit pricing is the cost per unit of measure of a product. It is the price per ounce, per pound, per quart or per count of a certain food. It breaks down the total price of an item into a more manageable, apples-to-apples comparison so you can judge value based on quantity, not by the fancy packaging on the outside of the box.
Let us give you an example. If you are looking at two jars of peanut butter, one is a 16-ounce jar for $3.20, and the other is a 28-ounce jar for $5.32; the unit pricing helps you see which one gives you more peanut butter for your buck.
In this case:
Option 1:
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Unit Price: $3.20 ÷ 16 = $0.20 per ounce
Option 2:
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Unit Price: $5.32 ÷ 28 = $0.19 per ounce
You can see that when you look at the unit price, the peanut butter jar that costs more is actually less per ounce, making it the more economical option.
The whole idea is to give you a true comparison, not just between name brands and generics but also between different sizes, packaging styles and even between sale and regular-priced items. It clears away the marketing fluff and shows you the real raw value.
How do you calculate unit pricing?
Most stores will have the unit price already listed on the price tag, but if they do not, it is not hard to calculate it yourself. All you need is a calculator or your phone.
Here’s the basic formula:
Unit price = Total price ÷ Unit quantity
Let’s break it down with another example:
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You are buying a 12-pack of paper towels for $18.
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First, calculate the total number of sheets: 12 rolls x 80 sheets = 960 sheets.
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Then, divide the price by the total sheets: $18 ÷ 960 = $0.01875 per sheet.
That is your unit price! You can now use that to compare against another pack that may be cheaper upfront but has fewer sheets per roll.
Another tip is always to double-check the unit type. Sometimes, one label lists the price per ounce, and another lists the price per pound, which can make comparisons tricky unless you convert one to match the other.
How do you find unit pricing?
Luckily, many stores in the U.S. now include unit pricing right on the shelf tag underneath the product. It’s often displayed in small print, but once you start looking for it, you will see it everywhere.
Here is what you need to do:
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Shelf tags: Usually, a white or yellow tag beneath the product will show both the total price and the unit price.
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Label format: The unit price will usually be labeled as “price per oz,” “per lb,” “per 100 count,” or another unit of measure.
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Consistency matters: Unit prices are most helpful when they are consistent across products. If one product is listed per ounce and another per pound, it might require a quick conversion.
Some stores do a better job than others. Major grocery chains tend to have standardized unit pricing systems, but smaller markets or discount stores might not include them. If you don’t see a unit price, it is always a good idea to calculate it yourself, especially on bulk items or multi-packs where pricing can be deceptive.
How can looking at the unit price save you money?
Looking at the unit price rather than the total price can definitely save you money. Here are a few ways that going by the unit price will instantly help you keep some money in your pocket.
1. Spot the better deal (even when it’s not obvious)
Bigger packages are not always the better deal. Manufacturers know that people assume buying in bulk is cheaper, so they sometimes raise the unit price of “value-sized” products. Unit pricing exposes that trick right away. You may quickly find that bigger isn’t always better.
2. Compare apples to apples across brands
Say you are choosing between a brand-name cereal and a store-brand option. The packaging size and prices might be different, but the unit price reveals which one gives you more cereal per dollar. Make sure you are always comparing the same unit, and not just the size of the box and the price of the overall product.
3. Make smarter sale decisions
Sales can be misleading. A “2 for $5” deal might seem great, but not if the unit price is still higher than a regular-priced competitor. Unit pricing keeps you from falling for flashy promotions.
4. Avoid waste and overbuying
Doing a bit of math prevents impulse buying based on misleading larger pack sizes. Sometimes, the lowest unit price comes in a bulk package. But if you know your household won’t use it all before it spoils, it is still not a good deal. Unit pricing helps you weigh cost vs. realistic use.
5. Stretch your budget without sacrificing quality
You shouldn’t always go for the cheapest option, especially if it means buying a brand you are not fond of. But unit pricing will let you make intentional choices. Maybe you will pay a little more for organic, but you still choose the one that gives you the best value within that category.
Real-life example of unit pricing in action
Let us go over a few more examples so you can truly understand unit price in action. Pretend that you are buying pasta sauce, and you see two options:
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Brand A: 24 oz jar for $3.99 → $0.17 per oz
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Brand B: 32 oz jar for $5.29 → $0.165 per oz
Even though Brand B is more expensive up front, you actually get more for your money with the larger jar. But maybe you also see a sale on Brand C:
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Brand C: 2 for $6, 25 oz jars → $0.12 per oz
Without unit pricing, Brand C might just look like a $6 splurge. But once you break it down into price per unit (or ounce, in this case), it is clearly the best deal.
This kind of math really adds up fast. Over the course of a year, savvy unit-price shoppers can save hundreds – if not thousands – just by avoiding overpaying for everyday essentials.
Grocery shopping is harder than it used to be, and with new tariffs shifting what we pay for staples, it is more important than ever to utilize unit pricing. It honestly puts the power back in your hands.
Unit price is not hard, especially once you are familiar with what it means and how to calculate it. There are no coupons and no complicated apps involved. Just common sense and a little bit of math! So, next time you are at the grocery store, don’t just glance at the total price, but instead, check the unit price. Your wallet will thank you.
Pro tip: Learn how to use coupons for groceries to save money
Grocery prices are higher than ever, and it seems like they will continue to rise. In fact, food prices are expected to increase even further because of new tariffs. That means there is no better time to become a real couponer!
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