Shrinkflation

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In economics, shrinkflation is the process of items shrinking in size or quantity, or even sometimes reformulating or reducing quality [1] while their prices remain the same or increase. [2] [3] The word is a portmanteau of the words shrink and inflation. The term's coined has been attributed to both Pippa Malmgren and Brian Domitrovic [4] .

Contents

Economic definition

Shrinkflation is a rise in the general price level of goods per unit of weight or volume, brought about by a reduction in the weight or size of the item sold. [5] The price for one piece of the packaged product remains the same or could even be raised. This sometimes does not affect inflation measures such as the consumer price index or Retail Price Index, i.e. might not increase in the cost of a basket of retail goods and services[ citation needed ], but many indicators of price levels and thus inflation are linked to units of volume or weight of products, so that shrinkflation also affects the statistically represented inflation figures.

Examples of shrinkflation

Impact of Shrinkflation on CPIH (UK) 2012 - 2017.png
Impact of Shrinkflation on CPIH in the UK, with the number of food price quotes that saw a change in package size per month

See also

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References

  1. Shrinkflation: When less is not more at the grocery store
  2. "More than 2,500 products subject to shrinkflation, says ONS". bbc.com. BBC News. Archived from the original on 2017-07-24.
  3. "The scourge of Shrinkflation eats away at the man in the street like a cancer!". Perpetual Traveller Overseas. Retrieved 2014-06-08.
  4. "That Shrinking Feeling". Merriam Webster dictionary. Retrieved 21 January 2019.
  5. "'Why do it unless it is to make more money out of us?': Products are getting smaller while the price you pay stays the same". Associated Newspapers Limited . Retrieved 18 May 2014.
  6. 1 2 "That shrinking feeling - how Golden Wonder made me a victim of shrinkflation". Mail Online . Retrieved 2014-06-09.
  7. 1 2 3 4 "VAT rises but food shrinks". Daily Mirror . Retrieved 2014-06-09.
  8. York, Emily Bryson (March 9, 2009). "Ben and Jerry's Calls Out Haagen-Dazs on Shrinkage". adage.com. Advertising Age. Retrieved November 22, 2015.
  9. partysugar (March 10, 2009). "Ben and Jerry's vs. Haagen-Dazs: A Pint-Sized Battle". popsugar.com. POPsugar. Retrieved November 22, 2015.
  10. 1 2 "Shrinkflation! How big brands have cut the size of products - but not the price of them". Mail Online . Retrieved 2016-06-23.
  11. "Cadbury take ELEVEN CHOCS from Heroes and Roses tubs but price stays same". Daily Express . Retrieved 2016-11-27.
  12. "Toblerone triangle change upsets fans". BBC . Retrieved 2016-11-08.
  13. Milka se nenápadně zmenšuje, cena ale zůstává stejná. Obalové triky jen tak nepoznáte - Aktuálně.cz
  14. "Jaffa Cakes packet size reduced in latest 'shrinkflation' move". The Guardian . Retrieved 2017-09-26.