1. They’re usually in the back of the store, unless doing so would be impractical. They want you to look at all their profit drivers while you’re going to get them.
  2. They’re typically tied to an item with a higher profit margin. If milk is a loss leader, cereal is more profitable. If lunch meat is on sale, the cheese may be profitable. Not all stores do this. Some offer package deals. At HEB, for instance, you might buy a 2-pound bag of seasoned fajita meat, and get a can of refried beans, tortillas, salsa, and a 2-liter of store soda free with it." “Makes sense. Turkey at $0.40/lb and you’ll load up on stuff for the rest of the meal, much of which is higher profit margin and very seasonal.” —u/teripid “I work for a large group of grocery chains, and I know for sure bananas are sold at a loss. The idea behind it is that the price for bananas can drive perception for how expensive the store is.” —u/second_walk “The sale prices at more expensive stores are very often cheaper than the sale prices at a cheaper store on the SAME EXACT ITEM. The cheaper store just has a cheaper REGULAR price.” —u/supaflyirl

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