I recently read an interesting article on NPR that asked, “When do chefs and doctors buy generic?” The article said that, “pharmacists and doctors are more likely than the general public to buy generic medicine…and chefs are more likely than the general public to buy generic food.” I’ve always been a pretty devoted generic brand shopper for purely economic reasons, so I found it fascinating that these experts in their fields are more likely to go generic. NPR has some great charts that break down which products chefs and doctors tend to buy generic that you can see by clicking here.
The article really got me thinking about generic vs. name brands so I decided to do a bit of digging to find out if you are sacrificing anything by buying generic.
Are generic brands cheaper than name brands?
Not necessarily! If you shop sales, price match, or use coupons, there are many times you can get name brands cheaper than store brands. I found a great example of this from Mary at Mission to Save. She once bought 16 boxes of name brand cereal for $.48 a box by taking advantage of sale prices, doubled coupons and fuelperks savings. I don’t know about you but I have never seen a store brand box of cereal for $.48!
In an interesting trend, generic brands are also raising their prices at a higher rate than name brands. According to the Wall Street Journal, generic brands have raised the prices of nonperishable food by 5.3% compared to 1.9% for name brands. For perishable food, generic brands have raised their prices 12% compared to 8% for name brands. However, the WSJ also says that generic products still cost about 29% less than most name brands. But there are instances where the generic product is actually more expensive than the name brand product. For instance, generic diapers at Sam’s Club are more expensive than the name brand diapers.
In the end, it just comes down to doing your research. Don’t grab the generic product just because you assume it’s cheaper than the name brand. Check your prices and always compare price per ounce. And don’t be fooled by sales! Like I mentioned above, sometimes name brands are cheaper when they’re on sale but that isn’t always the case.
Why do name brands tend to cost more than store brands?
It kind of depends on the product, but for the most part, name brands have to put a lot of money into research, development and marketing cost to build up their name. Name brands may have fancier packaging, a wider range of flavor choices, or contain trendier supplements than generic brands, but they aren’t necessarily made of high quality ingredients.
Are name brands higher quality than generic brands?
Again, not necessarily! My friend Jordan at Fun, Cheap or Free has a fantastic post on generic vs. name brand. In her post she mentions that she once bought a jar of organic jam at Costco because she assumed that it was higher quality and healthier than the generic brand. But upon closer inspection the non-organic, generic brand actually had less sugar and carbs and more real fruit than the organic jam. Don’t let the buzz words and fancy packaging on more expensive brands fool you! Always check your labels. In my own shopping, I’ve found it easier to finds things like 100% whole wheat pasta by going generic. Many of the name brands have additives that I don’t want to feed my family!
When it comes to any one ingredients products, like sugar, salt, flour, baking soda, it’s safe to say that the name brand product won’t be better than the generic product. So I would always go generic in those situations.
At Costco, you’ll often find that the generic brand is actually better quality than the name brand products. Kirkland Signature canned tuna is actually made by Bumble Bee to compete with their own, lower quality product! Many people are extremely loyal to Kirkland Signature paper towels and toilet paper because they are cheaper than the name brands and are known to be higher quality.
Many generic brands are the exact same product as the name brand. They are even manufactured in the same facilities! The only difference is the generic brand is packaged differently.
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Heather and Joanie at The Krazy Coupon Lady tested 25 generic and name brand products with a whole bunch of their family and friends. You can see their results by clicking here. The generic products won out more often than not!
Money Sense also has a great list of generic vs. brand name goods that you can check out by clicking here.
When shopping for food, do name brands taste better than generic brands?
I think this completely depends on the person! There are a few products where I’m loyal to a specific brand. I’m a Diet Coke girl all the way and can’t stand generic cola. The taste difference might be all in my head but I’m willing to pay the higher price for Coke. I’m also really picky about store bought salad dressings and have never felt like the generic brands taste as good. I’m loyal to a couple brands of chips and still can’t resist good ol’ Kraft Mac & Cheese from time to time. But I’ve found that I like generic cereal better than the name brands!
In 2012, Consumer Reports did a blind taste comparing 19 generic and name brand products. The generic and name brand products tied in 10 cases. The name brand won in 8 cases and the store brand won once. You can see the results of the taste test by clicking here. A survey that same year also found that more than a quarter of shoppers bought generic brands for reasons other than price. Meaning, that shoppers may actually prefer the generic brand for taste and quality.
For non-food items, do name brand products work better than generic products?
With regards to medications…the FDA does mandate that generic mediation contain the same active ingredient as the name brand. However, generic brands may have different inactive ingredients. I found an interesting article from ABC News discussing a generic drug that used a different time release agent than the name brand. Because of this, the generic drug was released into the body much faster than the name brand and caused unwanted side effects for many people. So I’ll say again, always check your labels! If you’re unfamiliar or uncomfortable with the inactive ingredients in a product, don’t hesitate to talk to your doctor or pharmacist. If you tend to get overwhelmed by all the choices in the pharmacy, check out this article from The Atlantic that has some great info on how to decipher drug labels.
Most of the time you’ll find that for basic, over-the-count medicine, generic works just as well as name brands. In fact, according to the FDA, about 50 percent of generic drugs are manufactured by the name brand companies.
According to the National Bureau of Economic Research, when buying over-the-counter medicine to treat a headache, one in four people will buy a name brand product. However, if that person is a pharmacist they are almost certain to buy a generic brand. In a study entitled, “Do Pharmacists Buy Bayer? Informed Shoppers and the Brand Premium,” researchers echoed that finding. The general public buys generics 70% of the time whereas pharmacists buy generic 90% of the time. The study showed that people generally buy name brands when they lack the information or time to make an informed decision.
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How about things like cleaning, laundry, beauty and household products? I don’t feel like this area is quite as clean cut as medication. It depends on the product and your personal preferences. I have friends that would never even dream of washing their clothes with anything than Tide or who would never brush their teeth with anything but Crest or who have only ever bought Charmin toilet paper. In my opinion, I don’t think you should knock the generic brand until you’ve tried it. If you buy a generic all-purpose cleaner and it doesn’t work you’re only out a couple of bucks. But if it does work you could save yourself a lot of money over time! As always, check your labels! You may find that your favorite brand name products uses the exact same ingredients as a cheaper, generic product.
I’ve also found that you can make your own products even cheaper than you can buy generic products and they are often more effective. Here at OGT an extensive archive of homemade solutions:
Conclusion
When I first sat down to write this post I figured I would put together a list of things that are worth buying name brand and a list of times where generic is just fine. But after reading countless articles I concluded that it really just depends on the person, the product, and the store. Always read labels and make sure you’re comfortable with the ingredients any product contains. Compare prices from brand to brand to make sure you get the best bang for your buck. And don’t even discount generic products!
What do you buy generic and when do you splurge for name brand?
I once read a post by a supermarket employee who stated they often put organic on products that really aren’t or have identical products with one being the store brand and the other the organic good for you label. People would buy what they thought was organic and the stores make bigger profits.
Please log in or create a free account to comment.They use a lot of deceptive ideas that make people feel better about the product they are buying.
I just wanted to say I work for a name brand company and we do make a few generic brands for a few different companys. It is our name brand product going into generic packaging. Same exact recipe ect. So I can say, at least with our products, they taste exactly the same. :)
Please log in or create a free account to comment.Same factory =/= same product. I did factory work during university and whilst they produced the ‘name brand’ and the ‘generic’ in the same place and on the same machine, they used different recipes and different ingredients. It wasn’t simply a case of changing the packaging at the end of the line. I was doing temp work so moved between a number of different food/drink factories and it was the same in every one.
Please log in or create a free account to comment.I stopped reading when I read your claim that Sam’s Club diapers are more expensive than name brand. I use Sam’s Club diapers for my son, and this is simply not true. Sam’s brand are 18 cents per daiper, while Pampers are 28 cents and Huggies are 32 cents. Please get your facts straight!
Please log in or create a free account to comment.Great article. Some great reminders about medication. Talk to your talk doctor. Also the only thing I use paper towels for is cleaning up pet accidents so I look for unscented ones (helps with training). The store brands are great this.
Please log in or create a free account to comment.My husband works at Grassland Dairy that is the largest producer of butter. It’s a fact that the same butter that gets packaged under different labels is actually still made (and actually packaged there too) at Grassland Dairy. So for butter….buy the cheapest…most likely it’s the same product that is higher priced.
Please log in or create a free account to comment.Thanks for the tip Becky!
Please log in or create a free account to comment.Hi,
You’re correct in saying that you need to shop both sides to get the best deal and that generics are not necessarily cheaper.
Here’s why the experts typically will buy generic. The biggest concern with generics is quality. Most experts know who manufactures generics and in most cases it’s the larger more reputable manufacturers. So in most cases the generic form is the exact same product in the premium form which is sold at a premium price.
I have friends who work in the food manufacturing industry so I know who makes many of the generic brands. So I know I can trust the quality.
Please log in or create a free account to comment.For me as well, there are things I buy only brand name, and there are things I buy only generic…
Please log in or create a free account to comment.Brands I alway buy: Pampers, Alldays, Bounty kitchen paper towels and Tempo paper handekerchiefs (european brand).
I don’t like Philadeplhia cream cheese sold here in Europe, as they use at least one thickening agent: I buy a generic brand, which is even organic, and no additives.
I have tried other peanut butters including homemade in my Blendtec,I still prefer Jif.
Please log in or create a free account to comment.I am 66 and with many allergies since young,I want a tissue that can take violent nose blowing and not fall apart in my hands.
I know antiperspirants are bad for me,but I like the clinical strengths they keep me dry and not stinky!
I only have a Walmart,Kmart,Walgreens,and Dollar Tree near me in Wisconsin.I would gladly try Kirkland s brands as I have bought some Kirklan supplement items on ebay.
I know I can make a homemade Miracle Whip,but it would only keep for 1 week in the fridge.
Having a High Efficiency washing machine,I’m afraid to use anything other than Tide made for HE.
I still buy the cheapest paper towels for light wipes,but for strength when cleaning Bounty works best for me.
I was at Dollar Tree and Walmart today and everything I bought was a generic brand. Great Value brands are great!
I don’t like generic Wheat Thins, Wheat or Rice Chex, peanut butter or soup to eat (soup to cook with in a casserole can be some generic). For me, it’s a taste thing. I’ve tried generics of most things and only a few just don’t taste right to me. Maybe I’ve tried the wrong generic brands for the few things that I didn’t like.
Please log in or create a free account to comment.I highly disagree with generic meds being better than name brand. Two of my doctors have found that coumidin regulates your blood where warfin is very unreliable. I have also been told & read that once you are on heart or throid medication you should stay on the same one unless your doctor tells you he is switching it.
Please log in or create a free account to comment.It depends on the product. I rarely use popular products for which most coupons are created.
Unlike your friend quoted above, I would always choose the jam made from organic fruit, more sugar or not. I don’t eat enough jam in a day for the sugar content to make that much difference, and last I checked, there’s no RDA for Roundup. I don’t care to eat toxic chemicals.
I’m trying to eat clean, and products like Jif, Oreo and most other grocery items aren’t clean. I buy most of my groceries at Trader Joe’s, Costco or the farmers market.
I don’t use supermarket detergents or cleaning products (I have sensitive skin and spent a lot of money on dermatologists which led me to make better – and cheaper – choices). I only use Nellie’s for washing clothes and it gets my clothes perfectly soft with no fabric softener. It’s the cheapest detergent I’ve ever used.
I use vinegar and other safe products for cleaning. It takes me years to go through a roll of paper towels because I always use cotton and microfiber cloths that can be washed and reused. I use fabric handkerchiefs and napkins for the same reason, and I love that I have a variety of colorful designs. I make them myself so I choose pretty all-cotton fabrics. The only paper product I still use is toilet paper, and I prefer Trader Joe’s to any other brand.
Please log in or create a free account to comment.Thanks again Jillee…..all of your hard work has been such a help to me! I’ve learned so much and am trying new things I believe will benefit me in many ways! Less processed foods, essential oils, lots more DIY health/beauty/cleaning products…and I’m having a GREAT time learning it all! It isn’t easy finding reliable and consistent info on the internet..and I’m grateful I found you! I’ve also learned there are so many ideas or preferences that some people are just rabid about…thinking there is NO other way than their own. You’ve always given options for most everything..and I really appreciate that! Thanks again, you’ve made such a difference :)
Please log in or create a free account to comment.Thanks so much Kate!!
Please log in or create a free account to comment.I am leery of generic drugs. I wound up back in the hospital after taking a generic drug. That experience was FAR WORSE worse than the chemo I had gone through.
Please log in or create a free account to comment.On food items it’s just a matter of trial and error. Some generic is no different than brand names – others are certainly not good. For instance, there are recipes I make where I will only use brand name – other recipes use generic as you really can’t tell the difference.
When it comes to medications, generic vs brand name could make a big difference. In the case of Synthroid, the generic brand could have a difference of 30% variation among the pills of the same bottle.After finding that out I request the “real thing” now. It does cost more per pill but I know each pill has the same drug content in it. Thanks for your postings.
Please log in or create a free account to comment.Folks over 65+ can get a 10% discount on kroger brand products. Ask at the service desk
Please log in or create a free account to comment.I have been making my own laundry detergent, fabric softener, fabric refresher, and general household cleaner for about a year now and refuse to buy these items at a store now.
We figured up that it cost about .45 cents a load and it works better than anything I have used in the past.
I shop all sales in my town, thank the Goddess there are only 3 grocery stores in town. I have also started going to the dollar store before I buy anything from wal mart.
I can tell you that the money we have saved with me doing these things has been put to good use, RETIREMENT.
Please log in or create a free account to comment.I used to work for a factory that made a food product, and not only did they make their ‘brand name’, but also made other brands, as well as generic. Many products are the same formula/recipe with a different label.
I am more than willing to try a generic food. If there’s something I don’t like about it, I just go back to my favorite. I generally don’t see much difference, so I’d rather save the money. I have found that the store brand of “premium” mac & cheese at my supermarket tastes much better than Velveeta/Kraft, but isn’t much cheaper. During sales, I’ve found it to cost more, but I’ll still buy the generic for the taste.
Please log in or create a free account to comment.I think it depends on personal taste-as mentioned, it depends on the store. Some store generics are awful, while others are so good you cannot tell a difference.
Please log in or create a free account to comment.NO to generic coffee or tea- (Eight O’clock and Lipton cannot be beat) in my opinion; but sugar, flour, and such generic is the way to go.
For Mayo- I only use DUKES but that is my preference. I am sure others are Top rated as well:
Love The Dollar Tree for cleaning items- and they take coupons at our store- can’t bet better that almost free!
Everyone has their favorites For Sure!
Great article Jillee!!!!
Where did you get your information about Sam’s Club diapers? They are much cheaper than the name brands, even Luvs. Store brand for size 4 is 15.5 cents per diaper. Luvs are 18.4 cents. Pampers Swaddlers are 31.2 cents. Huggies Little Movers are 27 cents.
Please log in or create a free account to comment.I do have to disagree as well, SAMs diapers are way cheaper! And they fit my girl much better without ata overly perfumed scent of some name brands.
Please log in or create a free account to comment.Good article, thanks!
It was many years ago that my Mom taught me to always check the “store brand” (no generic at that time) before reaching for the name brand and so I was in the habit by the time “generic” came along.
In the case of prescription medication however, here in Canada the pharmacists will always dispense a generic brand unless the doctor has specifically written “no substitutions” on the prescription. I am an epileptic and once made the mistake of not being careful. I ended up having seizures because of a generic brand medication.
With regards to “Kirkland” products – Consumer Reports tests show that Kirkland AA batteries outperform all other brands! Still another reason for Costco.
You are 100% correct with your suggestion of reading labels – surprising what you can find in the ingredients/nutrition lists.
Please log in or create a free account to comment.Thanks Barbara!
Please log in or create a free account to comment.I did find that some of the generic Tylenol does not take away the pain as quickly as brand name Tylenol. In asking a pharmacist why that is, his answer was sometimes it’s the coatings they put on the medicine. And advised me to use the name brand Tylenol to get the full benefit. Walgreens generic Tylenol seems to be the only one that matches up to the brand name in this particular instance.
Also the Dollar Tree is where I buy almost all my cleaning supplies. They work well and are certainly inexpensive. We do coupon shopping and while it takes work, it is certainly worth the time and effort. We truly do save money and these days that is crucial when you are a retiree. Thanks for your efforts Jillee for all the information you pass on to us.
Please log in or create a free account to comment.For my son and husbands severe migraines they rely on EXCEDRINE MIGRAINE that I get in bulk at SAMS–this has proven over and over to work for them better than the generics, For almost everything else we use generics!
Please log in or create a free account to comment.For headaches I have switched from Excedrin to Walgreens Headache Relief GELCAPS QUICK GELS .They honestly work faster than any Excedrin and I’ve used all of them!
Thanks for sharing. I will do rice checking and the cheapest products win. FYI Did you know that huggies makes Kirkland diapers. My mom used to work for Kimberly Clark. They are the same great diaper at a cheaper price.
Please log in or create a free account to comment.Thanks for all you do and share with us.
Thanks for the tip Tanya!
Please log in or create a free account to comment.I will not buy any fish from southeast Asia–it is nasty. Even the cats won’t eat the tuna and crabmeat.
Good article.
Please log in or create a free account to comment.I buy NO imported fish!
Please log in or create a free account to comment.I am making my own cleaning and health and beauty products due to the number of cancerous chemicals in them but I can’t break my husbands addiction to maxwell house coffee..hahah (so now I go to a dents and scratch store and buy it there!:-)
Please log in or create a free account to comment.Do him like I did my dad. Dr. wanted him off caffeine (migraines) but he wouldn’t do it. I did the shopping and bought a can of his regular and a can of same brand decaf. Then over a period of time I mixed in some decaf until it was all decaf. Kept the regular can and just dumped the decaf into it. He never knew the difference! (sneaky me…lol)
Please log in or create a free account to comment.It is often said that sales and double coupons save money. However, you need to take into account what your time is worth,most don’t consider that but it could make that $.48 box of cereal go up drastically in price.
Please log in or create a free account to comment.Yes learning how to “coupon matchup” can be time consuming at first. But like creating any healthy habit- once you figure it out, it’s like second nature. (and it’s worth it I promise) Plus, if you follow a site like mine… I do a lot of the work for you and tell you just how to get that name brand cereal for $0.48! ;)
Thanks Jillee for linking to my post.
Please log in or create a free account to comment.Stuff like my Kleenex has to be the puffs with lotion due to my allergies, soap has to be the name brand dove- didn’t like the generic as well. Stuff like saline Walmart and targets brands are good quality and comparable to the name brand. I also buy the generic Advil and Tylenol after checking the dosage. This type of stuff your just paying a lot more for a brand name.
Please log in or create a free account to comment.Have you tried the other brands of tissues or peanut butter? I bought one jar of 5 different peanut butters and could tell very little difference. I’ve used Suave deodorant and noticed no difference than secret.
Please log in or create a free account to comment.I actually like walmarts peanut butter better than name brand and secret deodorant as well. Walmarts face lotion, compared to Oil of Olay is just as good, but I do not like Targets brand
Have you tried the other brands of tissues ( the word Kleenex is a brand name) or peanut butter? I found a store brand of tissuesthat has lotion in it and works great for much less, bought one jar of 5 different peanut butters and could tell very little difference. I’ve used Suave deodorant and noticed no difference than secret. I have NOT found a cookie that tastes Exactly like Oreos, but if I am crushing them and using in a recipe I would use store brand. Great Value Thick and Creamy Mac and cheese is 1000 times better than Kraft.
Please log in or create a free account to comment.I only buy some items by brand name:
Please log in or create a free account to comment.Miracle Whip,Jif peanut butter,Bounty paper towels,Kleenex or Puffs tissues,Bush’s baked beans,Tide detergent hd.DampRid.Secret or Dove clinical strength deodorant.
Everything else in my pantry,fridge,freezer,laundry room,bathroom,kitchen cabinet,cleaning supplies,medicine cabinet,and makeup,hair and toiletries nowadays is available in generic and is the same or better.
Have you tried the other brands of tissues or peanut butter? I bought one jar of 5 different peanut butters and could tell very little difference. I’ve used Suave deodorant and noticed no difference than secret.
Please log in or create a free account to comment.Hello,
Have you tried Kirkland Paper Towels, every bit as absorbent as the expensive, overpriced brands. And their rolls are extra large and now they are perforated into half sheets at no charge.
I shop at Winco, they have all of your run of the mill products only much cheaper. They aren’t a classy, grade A by any means, but the store is always clean and modern. Anyways they have peanut butter in their natural foods section of the store. You get 100% P.B. and it’s cheap! Compare it to Jiff (especially the ingredients) and you’ll be amazed, at around one fourth the cost! Just saying!
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