- Written by Lucy Hooker
- BBC News business reporter
In this era of inflation, it’s a common experience that everyday items, from cat food to ice cream, are downsized while prices remain high or increase.
Mars, the Guardians of the Galaxy brand, decided to develop this recurring plotline in a smooth milk chocolate bar.
It was 110g but now it is 100g.
In October last year, the suggested retail price of the Galaxy chocolate bar was increased from £1.39 to £1.50.
But until last month, the size remained the same.
A UK spokesperson for Mars said the decision had not been taken lightly and was “necessary”.
“We know that rising costs of living are impacting both consumers and businesses, so we have been actively working to find ways to absorb rising raw material and operating costs.” they stated.
“Unfortunately, more must be done because the pressure is increasing.”
In July, Which consumer group? Barclays reports that research has found that two-thirds of shoppers have noticed a ‘shrinkage’ in everyday products such as Lurpak butter and Whiskas cat food.
But people said the item they most noticed being portioned was chocolate, with Penguin multipack biscuits now containing seven pieces instead of eight, and Quality Street tabs shrinking from 650g to 600g. I mentioned what happened.
This practice is legal as long as the amount listed on the pack is accurate, but it may feel unfair.
Edgar Dworsky, founder of Consumerworld.org, says the reason for this is that shoppers “focus on price, not net weight.”
Brands know this, he claims, and are keeping their products at “familiar prices” in the hopes that we won’t notice “backdoor” price hikes, and are paying close attention to these changes. It is the consumer’s responsibility to pay for it, he added.
Earlier this month, French supermarket giant Carrefour took a stand against shrinkflation, which names and shames manufacturers by placing labels on shelves next to products such as Nestlé infant formula and Lipton iced tea.
The strategy was to pressure major brands to review their pricing policies.
Economist Pippa Malmgren, who is credited with coining the term “shrinkflation” more than a decade ago, said brands hope shoppers don’t react to these changes.
“They make you do mental arithmetic because they know most people aren’t good at it,” she says.
But Malmgren believes we have already surpassed peak shrinkflation.
“Shrinkflation is usually an early indicator that inflation is on the way” as manufacturers postpone price increases for as long as possible, he said.
She said they have already made most of the avoidable cuts because there is now “substantial” inflation.
Other strategies are now common, such as adding extra fees to tickets and hotel room reservations, and the “perfume dimple” problem (a hidden bulge at the bottom of the bottle that causes the bottle to be of the same size). She pointed out problems such as problems that appear to exist but are not actually the same. That’s it.
“It’s a psychological thing, a way to trick consumers into buying without fully understanding the cost,” she says.
But Dworsky said there is another, more subtle scheme at play.
“Skimflation” refers to replacing expensive raw materials with cheaper raw materials. For example, margarine has reduced oil content and replaced it with water.
“We understand that when manufacturers are feeling the pinch, they need to find some way to communicate that to consumers. Unfortunately, too many manufacturers choose the sneaky route.” Told.
How can I save money at the grocery store?
- Look at your cupboards and figure out what’s already in them
- Visit the reduced section first to see if it has what you need
- Buy items close to the sell-by date when they are cheaper and use the freezer.