David Koch has tips to save $96 a week or $5,011 a year
David Koch has made a TikTok video revealing how Australian families can save $5,000 a year on their grocery bill by switching to house brand products.
Australia’s cost of living crisis could get worse with some economists now forecasting more rate rises later this year.
But Koch, the former Sunrise host who is now Compare the Market’s economic director, calculated switching to house brand products could save the average family $96.37 a week or $5,011 a year.
That’s based on substituting big-brand products for lesser-known labels, which would see costs fall from $201.19 a week to $103.51 – taking the weekly saving up to $97.68.
David Koch has made a TikTok video revealing how Australian families can save $5,000 a year in their grocery bill by switching to house brand products
‘So, when you’re doing your supermarket shop, what’s in a brand name? Well, let me tell you – plenty,’ he said.
‘You are paying plenty more for that loyalty to a brand that you love.’
Parents with babies are urged to substitute a 56-pack of nappies for $39 for a 50-pack version of a lesser known brand selling for $11.49.
A $17 difference was also observed by switching shampoos.
Compare the Market bought 25 items from a major supermarket and another 25 similar items from a challenger supermarket selling house brands.
‘Now, multiply that weekly shop over a whole year and that’s a saving of over $5,000.
‘Almost three return economy airfares to London.’
Australia is still battling an inflation crisis with bread and cereal by 7.3 per cent in the year to March, an official monthly measure of inflation showed.
While headline inflation moderated to 3.6 per cent in the March quarter, an underlying measure of inflation known as the weighted median produced an increase of 4.4 per cent – when volatile price items were stripped out.
With inflation still well above the Reserve Bank’s 2 to 3 per cent target, financial markets are now bracing for rate rises instead of rate cuts in 2024.
