Food Sizing … Again!

I reported this earlier in the post.

The Toronto Star has published another item about food package sizing. It continues to go down, and the price stays the same. See the article here.

Studies show that consumers are twice as sensitive to price as quantity, meaning you’re more likely to notice your morning coffee went up in price than down in size. That’s why, after a bad growing season in 2009, a price increase of 20 cents per litre could be offloaded onto consumers when a carton of Tropicana dropped to 1.75 litres, down from 1.89 litres. The price at the Loblaws check-out remained $4.99.

Consumer advocate Ken Whitehurst recommends shoppers bring a calculator to the grocery store to help figure out the accurate unit price.

Here is another news bite about this topic.

Food Packaging Is Shrinking
Food packaging is being reduced in a marketing technique called downsizing in order to pass on a price increase without actually raising the price. … People respond more more negatively to price increase than they do a package decrease and the #3 option allows them not to shrink the size too much or raise the price too much. Prices have and will continue to go up, this is called inflation. A business needs to maintain it’s supply and demand to, ya know, keep jobs, …
http://www.boomerandecho.com/

2 Comments

  1. Stephanie says:

    Being on a limited budget I notice when the price goes up and when the packaging goes down. Either way my pocketbook is affected. If the size goes down then I does not last as long as it used to and I need to buy more to go through a month. This costs me more. I understand that companies need to continue to make money but it still sucks 🙁

    [GR responds: I would prefer that they leave the size alone (how many recipes get messed up?) and raise the price, but I understand the psychology involved. The new sized frozen juice containers look ridiculus.)

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