Insight of the Day: Shrinkflation: Are brands losing customers in this covert effort to cut costs?

Shrinkflation is a term used to describe the practice of brands reducing the size or quantity of a product while keeping the price the same, in order to cut costs without consumers noticing. This sneaky tactic can be frustrating for consumers who feel like they are getting less for their money, and can lead to brand dissatisfaction and loss of loyalty.

With consumers becoming more conscious of value for money and product quality, brands need to be transparent about any changes in product size or quantity. By being upfront about shrinkflation and explaining the reasons behind it, brands can maintain trust and loyalty with their customers.

However, some brands may risk losing customers if they are not open about shrinkflation and continue to reduce product sizes without explanation. Consumers are becoming more savvy and are quick to notice when they are getting less for their money, leading to a potential backlash against brands that engage in this practice.

In order to avoid losing customers, brands should communicate openly with consumers about any changes in product size or quantity, and focus on providing value and quality to maintain customer loyalty in an increasingly competitive market.

https://www.foodnavigator.com/Article/2024/03/18/shrinkflation-are-brands-losing-customers-in-this-covert-effort-to-cut-costs?utm_source=RSS_Feed&utm_medium=RSS&utm_campaign=RSS