Obscuring the impact of inflation on products that range from cat food to coffee, shrinkflation has spread.
Expecting consumers to resist 8.3 percent inflation, some retailers have figured out hidden price increases that are tough to see.
We have a mystery when we see that corporations are shrinking packages while their CEOs’ inflation expectations are uninformed.
Concerned that inflation might reduce sales, the remedy is shrinkflation through which food makers reduce package size.
When a producer is concerned that a price increase will diminish sales and increase consumers’ ire, the other alternative is shrinkflation.