Much like the Island of Misfit Toys in Rudolph the Red Nosed Reindeer, the food industry also has its place for misfits. With several hundred across the country, salvage stores have become the end destination for many of the dented tomato cans, crushed cereal boxes, and bottles of salad dressing past their "best before" dates.
The stock at salvage stores are usually items returned by traditional supermarkets to their warehouses. Many have been either dropped or somehow punctured in transit. Some are past their sell-by dates although the dates indicate when something tastes best rather than when it's safe to eat. In some cases, manufacturers overestimated demand (such as with a cereal box promotion tied to a movie launch).
Consumers are promised savings of between 30 percent and 70 percent. According to an article in the Denver Post, consumers who frequent salvage stores do the bulk of their food shopping at traditional grocers, which offer greater selections, especially in dairy and produce. But one appeal of a salvage grocer trip is that it offers a "treasure hunt" because many items are there for a limited time.
Although often not optimal, the food is edible. Just like traditional grocers, inspectors check that facilities and products are clean and that cans are not severely damaged, Patti Klocker, assistant director for the Consumer Protection Division of the Colorado Department of Public Health and Environment, told The Associated Press.
Besides limited assortments, the downside of salvage stores for consumers is that many are open only a few days a week (typically Friday and Saturday), many are located in remote areas, and many feature a bare-bone, warehouse-like look. According to The Associated Press, prices at salvage stores have also been creeping up over the last year due to greater demand for close-out product. In fact, some staples, such as cereal and salad dressing at a Friday Store in Denver, were less expensive at a nearby Wal-Mart.
But the savings on many items are apparently sizable enough that consumers in this economy are going to salvage stores to buy in bulk.
"In this economy, we need to learn to save the food we buy," Malena Perdomo, a Denver registered dietitian, told The Denver Post. "If people are really short with money and go to these places, I'd suggest that as soon as they get home, they portion out the big quantities into plastic bags, and freeze everything but a week's supply."
Discussion Question: Are salvage grocers a viable way for grocers to liquidate out-of-date, damaged or otherwise tainted-yet-edible food? Are salvage grocers an aid or a possible threat to traditional grocers? Is there a growth opportunity in salvage grocers?