The French government will force supermarkets to put up a poster alerting consumers of a reduction in quantities of a product at unchanged prices, promised Minister for Trade Olivia Grégoire.
In France, from July 1, products (food or non-food) will be “shrinkflated”. In other words, they will see their quantity decrease but not their prices. “There will be a poster on the shelf for two months,” said the Minister for Commerce in a recent interview.
On this poster will be written: “for this product, the quantity sold has increased from X to Y and its price per kilo, gram or liter has increased by X% or €X,” she explained. The decree, “signed on April 16”, is currently “on the Prime Minister’s table” and “should be published” in the Official Journal “in the coming days”, assured the minister.
“Shrinkflation” – from the English verb “to shrink” – consists of reducing the quantities of products sold rather than significantly increasing prices – too much.
This practice is often seen in industries such as food, personal care and household products, where consumers are less likely to notice subtle changes in item size or weight. For example, a packet of cookies might contain fewer cookies than before, or a bottle of shampoo might be slightly smaller, but the prices remain the same.
The main reason is to maintain profitability and competitiveness in the market. In a volatile economic context, companies are seeking to limit the impact on consumers while preserving their profit margins.
However, shrinkflation is causing concern among consumers. They may feel cheated or shortchanged when they realize they are paying the same price for less product. Additionally, it can contribute to hidden inflation as consumers spend more to get the same amount of products as before.
