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Cryovac® FC805 Whole Chicken Bag |
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A premium bag that makes you more money.
| Whole Bird Retail Cost Analysis |
| Item (cost/lb.) |
Traditional Poly Bag |
Cryovac® 805 Bag |
| Whole Bird |
.62 |
.65 |
| Indirect labor |
.01 |
.01 |
| Fixed cost |
.005 |
.005 |
| Display labor |
.024 |
.024 |
| Cleaning labor1 |
.049 |
.0245 |
| Bags/towels/liner2 |
.007 |
.004 |
| Rewrap/relabel3 |
.023 |
.0115 |
| Injury liability (Slips/falls)4 |
.045 |
.0225 |
| Food safety5 |
.01 |
0 |
| Opportunity sales cost6 |
.01 |
0 |
| Total |
.803 |
.7515 |
| Avg. consumer purchase price |
.87 |
.87 |
| Net profit/lb. |
.067 |
.1185 |
| Net margin |
7.7% |
13.6% |
Actual movement in test stores was 368 pounds per store per week.
1Cleaning labor calculations = 1 hour per week at fully loaded labor rate of $18.04 per hour (cleaning of case plus spill cleanup throughout the store).
2Bags/towels/liner calculation = 50% reduction in use with leak-resistant package.
3Rewrap/relabel calculation = 8% rewrap rate (from survey) x $1 labor per rewrap.
4Injury liability calculation = Actual 5 year average cost injury payments of $867 per store per year for employees and customers in test stores.
5Food Safety cost = Estimate of liability cost of poultry purge contaminating ready to eat foods.
6Opportunity sales cost = Estimate of customer refusal cost due to poultry purge.
7Average consumer purchase price = Actual average annualized movement price factoring in features and daily movement.
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