Puny chocolate bars and miniature crisps: is ‘shrinkflation’ the worst business practice ever?

By Monica Grosso, Professeur de Marketing, EM Lyon Business School
Diletta Acuti, Senior lecturer, University of Bath
Marta Pizzetti, Professeur associé de marketing, EM Lyon Business School

Next time you pick up a package of coffee or a pack of toilet paper, take a closer look. You might notice the package looks familiar, but what is inside has subtly diminished. This is “shrinkflation” in action, a pricing strategy used by manufacturers worldwide. By reducing product size instead of increasing final prices, companies take advantage of the psychology…

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