June 13, 2022 · less than 3 min read
In a challenging economic climate, businesses are using this shady secret to cover increased expenses.
You’ve heard of inflation, but have you met its sneaky cousin? No? Well, allow us to introduce you. Shrinkflation is something the average consumer isn’t supposed to clock. Manufacturers keep the product’s price the same but change its size, weight, or amount.
This is common when inflation is high, and companies have to cover more costs. Right now, everything from ingredients to packaging will run a business an extra buck or two, so small savings matter – and add up.
Speaking about this tactic, Columbia University professor Mark Cohen said, “Raising prices for consumers is the last resort. […] Price increases in stores are highly noticeable by shoppers and can influence demand.” He revealed that the better option for manufacturers is to make changes where they’re less likely to be noticed. AKA, to get their shrinkflate on.
The lowdown on sizing down
Honey Bunches of Oats used to weigh 14.5 ounces per standard box, but now they’re down to 12. A small box of Kleenex now contains 60 tissues, down from 65. Folgers Coffee has shrunk its 51-ounce container down to 43.5. To be fair to Folgers, they say the container will still make up to 400 cups, as it did before. Apparently, they’re using new tech that creates “lighter-weight beans”.
The shrinkflation situation isn’t unique to our nation, either. Over in the UK, Nescafe Azera Americano coffee tins are down to 90 grams from 100, and Cadbury Dairy Milk bars have shrunk in size with no price reduction. Ouch, that’s not really the sugar kick we were looking for.
Liked This Article?
Get Daily Trending Topics Directly To Your Inbox
Scoop is a free daily newsletter that has the wit, charm, and most importantly, the info you need to start your day