Food prices, including the famously priced 19-cent bananas at Trader Joe’s, have recently seen an increase. The price of these bananas has gone up to 23 cents, marking a more than 20% increase. Trader Joe’s spokesperson stated that prices are only changed when costs change and after holding the price for bananas at 19 cents for more than two decades, it had become necessary to make this change. This move has surprised loyal customers who have come to expect low-cost deals from the popular grocer, similar to other stores like Costco with their $1.50 hot dog.
Despite the recent increase in prices, overall food inflation hasn’t been rising as fast as expected. The effects of inflation are still being felt by American consumers at the grocery store. The 19-cent banana is an iconic deal at Trader Joe’s and has become a favorite piece of produce for many customers. Bananas have been able to remain affordable due to a high demand driven by the fruit’s affordability. The Food and Agriculture Organization of the United Nations reported that prices at the retail level remained mostly unchanged in recent years, with bananas serving as a loss leader to attract customers and drive sales of other products.
Statistics from the Bureau of Labor show that the average price of bananas in the US has remained consistent from February 2023 to February 2024, hovering around 62 to 64 cents a pound. However, experts from the World Banana Forum have warned that climate change and rising temperatures could potentially drive up banana prices in the near future. Trader Joe’s has managed to lower prices for some of its other produce items despite the increase in banana prices. The popular grocer has slashed prices on items like raw almonds, romaine hearts, organic tri-color bell peppers, and green onions.
In an interesting tidbit mentioned in a podcast episode of “Inside Trader Joe’s”, former CEO Dan Bane recounted a story about how the store came to sell individual bananas for 19 cents. Originally, the store sold bananas by the pound until a loyal customer explained why she only bought a few at a time. This led to the decision to sell individual bananas, and the 19-cent price point has remained ever since. With the rise in food prices and discussions about potential future increases, it will be interesting to see how customers react and if stores like Trader Joe’s can maintain their reputation for offering quality products at affordable prices in the midst of inflation and changing market conditions.
