Huh? Products shrink but prices stay the same
Have you noticed that your favourite brands seem to be shrinking? Well, you’re on to something.
Consumer Reports recently released its findings about several products that have reduced their size by as much as 20 per cent even though their manufacturers continue to charge the same amount of money for their offerings.
"From toothpaste to tuna fish, hot dogs to hand soap, companies have been shaving ounces and inches from packages for years," CR maintains.
Manufacturers are blaming the growing cost of raw ingredients. They say they don't want to pass on price increases – so subtle shrinkage is a handy alternative.
Thanks to what the consumer protection site Consumerist.com calls the Grocery Shrink Ray, pretty soon you’ll open a carton of a dozen eggs and see there are actually only 11. Here's a current example.
"Manufacturers make subtle changes to the packages but generally keep the price the same because when prices rise, buyers often seek cheaper alternatives. And the bottom line is that consumers are more attuned to changes in price than packaging," CR says.
There's a science to downsizing products, and few have studied it as closely as Harvard’s John Gourville. He studied purchasing patterns for hundreds of ready-to-eat cereals and concluded that consumers are far more sensitive to higher prices than to reduced product size.
To be sure you're getting the best value for your money in an era of shrinkage, check the unit price: it's the number on the shelf tag that says how much the item costs per ounce or pound. That way, it's a no-brainer to calculate whether the larger or smaller item is the better buy.
Have you noticed any shrinkage among your favourite brands? Do you buy anyway, switch, or get on the phone and complain?
By Gordon Powers, MSN Money
Posted by: Coffee Drinker!! | Jan 13, 2022 7:02:40 PM
I love Tim Hortons coffee! Don't buy any donuts, because the nice Dutchies they had before turned into 2 bite Dutchies. Coffee Time gets my donut business. The Dutchies and Fritters are MEALS!!
Posted by: Gus | Jan 13, 2022 9:29:40 PM
Has the public noticed that a small cup of Tim Horton's steeped tea is about the size of a Dixie cup? The new extra large size is the old large size. All quantities have decreased. Even the sandwiches are thinner. Then there are the products from Campbell Soup Co. Compare a tin of tomato soup today with one from 20 yrs. ago; a third of the volume has disappeared. Compare a roll of 3 ply toilet tissue from Dominion Store (Loblaw's in Newfoundland) sold under the name PC. Last year each roll contained about 300 sheets. Today a roll contains two thirds of that. In addition, each roll is narrower--the sheets are not as wide. The same has happened to paper towels. Of course, there is no inflation. Who's kidding whom?
And then there is the cost of postage. Does anyone remember the penny postcard? Today a stamp costs 60c or more. To mail a Christmas card to a destination in the US by the fastest method costs more than $30!!
What are people who live on fixed incomes to do? If a person retires today at 65 his pension will be worthless when he reaches 95. The segment of the population which is growing by leaps and bounds is between 80 and 100. Think about it!
Posted by: BigBen | Jan 14, 2022 12:11:04 AM
Personally, I would rather knowingly pay a few cents more for a product than pay the same money for less of something. Like big-bakery buttertarts going from a dozen to 11 to 10 over the years. Prices go up, fact of life. You don't still expect " and change back from your dollar" do you?
Posted by: Jean | Jan 17, 2022 11:11:34 AM
Ice cream has gone from 2L to 1.89L & now take notice that many are shrinking to 1.65L. Also if you want ice cream you need to read the pkg. because a lot of it now says frozen dairy desert. It is not ice cream. Tastes awful!
Posted by: Jeff | Jan 17, 2022 3:08:36 PM
Anytime you buy a dozen eggs you have to get 12...that is the law as a dozen is a legal measure.
Now, back to the rest of the article and some of the comments. First let me say that yes, I have noticed that many of the items we purchase seem to be getting smaller and smaller. However, there is a simple way to check your cost. All stores, at least the major ones, breakdown the cost for you on the price labels posted on the shelves. Take some time to compare and get the best value for your money. If a brand finds it's sales slipping they will either reduce the cost or increase the size of the package. As for McDonalds and other fast food places reducing the size of their meals perhaps, if you rely on them for food, you need to rethink your habits. For us this is a treat, we make our own lunches and other meals and try, as much as possible, to work from scratch. I do purchase bread however I buy the reduced price ones and pop a couple in the freezer. Although even these prices have been rising I can pick up 10 for $10 locally. Buying them off the grocery store shelves would see me paying over $30 for the same thing.
Posted by: Foodie Manufacturer | Jan 18, 2022 8:52:41 AM
I guess you can blame me. I am a Manager of a firm that produces product for Grocery Stores. People are correct when it seems unfair to downsize a package without announcing it to consumers. One of 1st categories to do this were rolls of bathroom tissue that went from 300 sheets to 280. This was done to keep that $3.99 price point when costs went up. They felt consumers would not buy as much at $4.29.
The downsizing is actually the opposite of Costco. But lets be real, in general, the smaller product is better at times. If you use to buy 6 x 4.5 oz Muffins but now they are 4 oz muffins, chances are you will still only buy 6 muffins. You won't feel that the .5 oz you lost out on will make you buy another bakery good. This will help us consume less of fattier foods. Of course, stuff like cereals will force you to buy more often because you won't reduce the amount in your bowl. As for Costco, they typically force you to buy larger packaging. Even though you only need 6 muffins, that 8 muffin container will be eaten up. You pay a little more for 8 compared to 6 but you still ate the extra 2 muffins that wasn't necessary. You don't want it to go bad. We have done market research on this. Please don't try to dispute it because the facts are there. Lastly, be aware of items such canned fruits or veggies. The can size might be the same but there is no law against adding more water or syrup, and adding less fruit or veggies. It's called drain weight. Every company decides how much liquid is in the can to establish that important price point on the shelf. All of the above has been done for 20+ years.