We all have seen the effects of shrinkflation: inflation’s more deceptive cousin. Products like smaller and lighter bags of chips, paper towel rolls with fewer sheets, and shampoo bottles that are the same size, but actually hold less product have all hit shelves over the past few years. These changes come in addition to the pressures typical inflation has on families’ budgets. While shrinkflation has become a major problem for consumers over the past few years, there are fortunately some ways to spot and address it, so it doesn’t continue to drain your money.
What is Shrinkflation?
British economist Pippa Malmgren coined the term “shrinkflation” in its current use. Shrinkflation of goods happens when prices of goods stay the same but become smaller or offer less product. Maybe a bag of chips that was 10 ounces is now 8 ounces but costs the same. Or a jug of orange juice was 64 ounces but is now 56 ounces. While people are noticing it more in recent years, it’s not anything new. In fact, when the price of flour went up, medieval bakers used to make smaller loaves of bread rather than raise prices for fear of people rioting.
What problems does shrinkflation cause for families?
Shrinkflation is a bit deceptive, and causes even more pain to families already stretching their budgets and struggling to make ends meet. First, when less of a product is offered, that means people pay more for the same amount of product. They run out more quickly or must buy more to make up for it. Those little changes add up. Families therefore must figure out how to make do with less food.
Second, unfortunately shrinkflation is typically permanent. Those new smaller sized products are probably here to stay. This requires consumers to adapt and pay closer attention. If you have noticed that something isn’t lasting as long or no longer feeds the whole family, you might need to look for other options.
Finally, add a big expense like a car repair or medical bill (a reality for many families who visit the Storehouse), and many families are left wondering where to get their next meal.
Shrinkflation can be difficult to spot. Here’s how you can.
Shrinkflation can be more popular with manufacturers because it’s not initially as alarming to shoppers. Afterall, the price hasn’t gone up so it’s not as noticeable. Since Shrinkflation means changing the weight or size of an item rather than the price, it can be quite difficult to find out if an item was affected. Most people will quickly notice a price increase, but seeing that items got smaller by a few ounces or servings here and there is much more difficult to immediately notice. One study on black pepper, for example, noted that very few consumers noticed the change in weight sold. That means discerning shrinkflation means being more observant about the products you buy and checking the weights. Look closely at those numbers.
Companies often change designs of packaging to further hide changes. For example, a shampoo bottle may look visually larger, but hold less product. The best way to spot shrinkflation is to be very observant check the weight of products, the grams or ounces, against other similar products to get the best deal.
Some people have resorted to using technology to track purchases. As seen with this example of laundry detergent, you can track your shopping history and the prices you previously paid by using a store app. Store apps also provide many deals and coupons to save money, which we discuss further below. Furthermore, if you have a subscription for an item, you’ll be tipped off if the product changes.
Ways to fight shrinkflation and spend less money
Even though shrinkflation has become more common, there are many ways to minimize its effects and even save money. Get ready for some bargain hunting!
First step is to vote with your wallet. Make your voice heard to companies by switching brands and looking for items with more value. For example, try store brands. You will likely find that the store brand items have improved in quality over the years. Many generic and store brand goods are manufactured in the same facilities as name brands, meaning quality will be similar. Yes, a certain brand may be the one your family has always used and you know its quality. But store brands, value brands, or even other name brands still follow safety and quality measures. Consider being less brand loyal and be willing to shop around. If the change affects your budget enough and it’s a favorite item, also might consider writing, emailing, or calling the company directly. Maybe if enough people call they will understand the impact. Or, they might send you coupons to make it easier for you to purchase the items you enjoy.
Focus on healthier and fresher foods. The most prominent examples of shrinkflation are processed foods like chips, candy, and snack foods. If you focus more on fresher and healthy foods like fruits and vegetables, you may save money.
Consider comparison shopping, and online shopping. Try other stores or even try ordering ahead and doing order pickup. It may help you hone your bill and do less impulse purchasing. Especially if you’re shopping with children.
Don’t stop searching for good deals. Regardless of rising prices, there are still good deals to be found. Shop clearance sections, and use loyalty cards. Credit card rewards can also help you get some money back on spending. And there are undoubtedly many great cash-back apps available to help you save money.
With shrinkflation and inflation on the rise, more families are turning to the Storehouse than ever, and we need your help!
As the cost of food prices continues to rise, more and more people are turning to the Storehouse for help with food. For several years, the Storehouse was supporting 50,000 people per year on average. In 2024, that number jumped to over 79,000. We cannot serve the community alone. Please consider donating to the Storehouse so we can continue to feed our neighbors during this unprecedented need. One dollar provides five meals for a local person in need. That’s a value that we have been able to continue with for many years.