Summary: Savory Butcher operates on the principle of direct from farm to consumer with bulk wholesale pricing. Our meats are fresh and they are purchased in wholesale at the current commodity prices. The fresh meat market is similar to the gasoline market. Each week there are slight price fluctuations. Sometimes it’s a significant increase or decrease. Since we are wholesale, when those prices change up or down from our farmers, the result is ours do to so that you can always be ensured you are getting the absolute best prices at any given week.
Why does Savory Butcher’s prices change and fluctuate?
As you may already know, we operate on a wholesale meat buying concept to be able to get the best of the meats for the best price.
We have been delivering since late August of 2018. It was a FANTASTIC time to start because we were riding off the farming prices of summer as we headed into the fall meat buying season.
Well, we have been doing this for 9 months now and throughout the process, we have seen a few price fluctuations, both up and down. So we wanted to take a quick email and explain the “whys and hows” of price fluctuations.
6 Keys To Understanding Our Pricing Philosophy
1. The first difference to understand is wholesale vs. retail. When you grocery shop you will notice that the retail prices stay pretty steady, sure the store will have sales, but their retail prices are pretty steady all year round. This is because they set the retail costs to be able to make money all year round so that during the higher wholesale cost season, they are still making their margins.
At Savory Butcher, we work off of a wholesale market.
- We are purchasing direct and in bulk for those amazing prices.
- We are not taking the meats back to a storage facility and storing in freezers until we are ready to defrost and package fresh, thus then adding retail margins and individual serving prices.
- We are wholesale, which means that price fluctuations are noticed in a wholesale market and not so much in a retail market. So when the cost to the farmers increase, the cost to us increases as a group across the board!
2. Many factors determine the prices. If the cost of raising animals and farming was a consistent cost all year round across the board, it would help us all! But the reality is not that. Some seasons are more expensive to raise animals and the costs of farming (like in the winter months) increase and there isn’t a way around it, especially in a natural farming environment. These are normal and operational price fluctuations that happen seasonally and will be expected. This does not account for other factors that can also increase prices, like supply and demand.
3. The increased or decreased expenses with farming are noticed in about 3 months time. Basically, if the costs of raising animals and farming increase in January, the market will notice this increased cost about 3 months later…like in April.
4. There is never a guarantee of what the prices will be, how often, or how long prices will stay at one price. At Savory Butcher, we order and pay for our meats 2-weeks before we pick it up (even before you pay us as we don’t collect payment until the week of delivery), and the farmers give us new prices every week. They can guess on a pattern, but even farmers who have been in the business of farming for many, many years will not commit to a certain price for us because anything can happen that can cause a price fluctuation, even last minute. Sure, we can guess on seasonal patterns, but even that is not consistent. Thus, they give us prices weekly, and sometimes they are the same, sometimes they are a little higher or lower, and sometimes they are a lot higher or a lot lower!
5. Our meats are FRESH, just a few days old, not purchased during the cheaper seasons, stored in freezers and then defrosted and sold as fresh during the higher priced seasons. We always want to offer the absolute best in fresh meats, which means we are paying today’s prices TODAY. We are not purchasing mass quantities in the super cheap seasons so we can market and sell it for retail prices later when the wholesale prices are higher. No, it’s fresh that day, priced with that day’s prices and sent directly to your area by refrigerated truck. There is no “stock up when it’s cheap and resell to customers when it’s not cheap.”
The BEST PRICES are wholesale prices and wholesale meats are a commodity like gasoline, so they will fluctuate.
6. We want to offer wholesale prices because it is what our concept is based on (group buying in bulk, for bulk, wholesale pricing). Because we are wholesale, it means that we can get those higher quality meats for the prices of the lower quality meats sold in grocery stores.
We do not want to jack up prices and keep them higher all of the time to make up for the higher price wholesale seasons, even when prices are really low. We want to give you the BEST PRICES all year long! That means prices fluctuate up and down like you may have noticed before!
In the end, all of this information should be a joy and a comfort knowing that we are getting you the BEST meats for the BEST prices each week and at the peak of its freshness!
It’s also to say that we expect some slight price increases through the next few months, just as we have seen price decreases too. We don’t know what those prices will be (we only know ahead to next week), but we know they will be increasing some to make up for the cost of winter farming to our AMAZING farmers and suppliers!