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And Now, Some Trends From The Frontlines Of The New Frugality

A&P -- whose supermarket brands include Pathmark, Super Fresh, Waldbaum's, Best Cellars, Food Emporium and Food Basics -- is rolling out new marketing and packaging for its private label brands this month, Elaine Wong reports in Brandweek. It will now sell more than 2,500 "high-quality, value-conscious food and other grocery products" across its portfolio of 10 store brands including such labels as Green Way, Hartford Reserve, Via Roma, Market Spa and America's Choice.

Meanwhile, dollar stores have gone mainstream, selling food as well as more items in newer packaging, Jaclyn Trop reports in the Detroit News. Though sales are "up across the board" for all categories, food is proving to be the sleeper hit, says Eddie Denha, founder of the Dollar Castle chain. His shelves now boast name brands like Tide detergent and Domino Sugar. Even though food yields one of the lowest profit margins for dollar stores, points out one analyst, it attracts extra foot traffic.

Thrifty shoppers are also turning to grocery auctions, the AP reports in a story that's running on MSNBC's website and other outlets. The sales operate like regular auctions, but with bidders vying for dry goods and frozen foods instead of antiques and collectibles. Some auctioneers even accept food stamps.

And full-service restaurant chains are enticing penny-pinching homebodies to splurge-a-little-every-once-in-a-while-whydoncha with "cheap eats" under $10, Bruce Horvitz reports in USA Today. "Almost every chain in the $183 billion full-service dining industry is waving a meal deal that beckons customers with low-ball prices --with the hope folks spend more once they come in," he writes. "Times are so tough that some deals fall within a few dollars of fast food."

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