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Wednesday, October 19, 2011

Everyday With Rachael Ray Magazine values its readers' time at about $2.40 an hour

Everyday with Rachael Ray features a "showdown" between two similar products in every issue. In this one, it's canned dinner rolls (e.g. Pillsbury) against the rolls you'd buy premade from the bakery. I can't find a link to this on their website, but the page looks like this.

The relevant info they provide is that the canned rolls are $0.23 each and the bakery ones are $0.29 each. Six cents is what you save! And prep times are 12 minutes and 5 seconds (essentially 0. If I'm going to count 5 seconds of prep time, I might as well count the extra second to put the roll in my mouth and the extra 15 to chew.)

You get 8 rolls in a can. They take 12 minutes to bake, so you could bake 5 batches and get 40 rolls in an hour. This would cost you $9.25. And you worked for an hour.

Using the price they provided for the bakery rolls, $3.49 for 12, you'd pay $11.67 for 40 rolls. So for your hour of work, you save $2.42. Which means that is how much your time is worth, all else (meaning quality of rolls) being equal.

When comparing the 8 to 12, they favor 8 because with the bakery rolls, "you're usually committed to to buying a bigger batch." I had to gloss over that to figure out how much your time is valued per hour to make the canned cheaper. But I'll still accept and address a quantity argument.

The bakery rolls are bigger. You don't need as many. And at all the grocery stores I go to, the rolls are loose. I can buy as many as I want. I usually do not want 8. 8 is either too many or too few if I'm feeding 5 people. The bakery buns and rolls let me have control.

In summary, the canned rolls are better if you have infinite time or don't value yours and if you have infinite oven space. Otherwise, they are a good example of being penny wise and pound foolish.


1 comment:

  1. I often thing of this. I bought precut veggies the other day to take to work because I valued my time more than the buck or 2 that I would have saved. Then at work someone agreed with me and we talked about it and then a third person came over and said something about it being cheaper and better quality if I would have cut up the stuff myself.

    But at Christmas if I buy cookies people will comment but if I make them people like them. But man those cookies take too long to make and are actually more expensive if I go by variety I need and the excess of each kind I have.

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