Highlights. Some major brands reduced product sizes by over 20% in 2023 without reducing prices; “shrinkflation” averaged 11.2% among selected national grocery brands.
- Shrinkflation effectively increases the cost per unit and drives up to 10.3% of grocery price inflation.
- 75% of Americans have noticed shrinkflation at their grocery store; among them, 81% have taken some kind of action as a result.
- 48% of American shoppers have abandoned a brand due to shrinkflation.
- One brand of laundry detergent shrank 25.9% in 2023, going from 189 fluid ounces (FL OZ) to 140.
Shrinkflation Statistics
Brands may reduce the size of their product packaging or the amount of product per package to avoid raising prices, which consumers are more likely to notice.
- 64% of shoppers express concern over shrinkflation.
- One brand of insulin shrank 10% (10 fewer syringes per box) in 2023 without changing the size of its packaging.
- Also in 2023, a regular box of cereal shrank 22.0%, from 10 OZ to 7.8 in 2023.
- One box of frozen snack food shrank 21.9%, from 19.2 OZ to 15.
| Item | % Shrinkflation | Unit of Shrink |
|---|---|---|
| Laundry detergent | 25.93% | 49 FL OZ |
| Cereal | 22.00% | 2.2 OZ |
| Frozen snack | 21.88% | 4.2 OZ |
| Frozen vegetable | 20.00% | 2 OZ |
| Pretzels | 16.67% | 2 OZ |
| Dog food | 16.67% | 2.5 LB |
| Vegetable oil | 16.67% | 8 FL OZ |
| Bagels | 16.50% | 3.3 OZ |
| Taco shells | 15.52% | 0.9 OZ |
| Frozen yogurt | 14.29% | 8 OZ |
| Toilet paper | 14.08% | 40 sheets/roll |
| Fabric softener | 13.73% | 7 FL OZ |
| Canned soup | 13.44% | 2.5 OZ |
| Cake mix | 13.11% | 2 OZ |
| Guacamole | 12.50% | 1 OZ |
| Salt & vinegar chips | 11.76% | 1 OZ |
| Caramel hard candies | 11.76% | 4 OZ |
| Pita chips | 11.11% | 2 OZ |
| Ground coffee | 11.02% | 2.8 OZ |
| Hand soap | 10.71% | 6 FL OZ |
| Cookies | 10.00% | 1 OZ |
| Toothpaste | 9.76% | 0.4 OZ |
| Body wash | 9.09% | 2 FL OZ |
| Baked snack crackers | 9.00% | 2.7 OZ |
| Baby wipes | 8.33% | 64 sheets |
| Paper Towels | 8.16% | 8 sheets/roll |
| Whole milk | 7.81% | 5 FL OZ |
| Dishwashing liquid | 7.22% | 1.4 FL OZ |
| Mayonnaise | 6.25% | 2 FL OZ |
| Chocolate candies | 6.07% | 0.65 OZ |
| Ice cream | 4.00% | 1.92 OZ |
| Canned vegetable | 3.33% | 0.5 OZ |
Price Inflation Statistics
Shrinkflation is the root cause of a percentage of currency inflation.
- Shrinkflation drove between 3.3% and 10.3% of price inflation among selected national grocery brands between 2019 Q1 through 2023 Q3.
- While grocery prices increased 10% from March 2021 to March 2022, consumers reduced their grocery spending 1.5%.
- Also from March 2021 to March 2022, the highest income bracket increased grocery spending 3%.
- The Federal Reserve blames corporate profits for 100% of price inflation from July 2020 to July 2021.
- 42% of currency inflation went toward boosting corporate profits from 2020 Q3 to 2022 Q2.
“To direct the Federal Trade Commission to issue regulations to establish shrinkflation as an unfair or deceptive act or practice, and for other purposes.” – proposed Shrinkflation Prevention Act of 2024
Shrinkflation Regulation
In February 2024, several U.S. Senators* co-sponsored a bill to define shrinkflation and empower the Federal Trade Commission (FTC) and attorneys general to regulate it.
- The FTC would enact rules to prohibit shrinkflation practices that are designed to deceive consumers.
- Corporations that violate FTC rules could be subject to investigation and potential civil action.
- State attorneys could bring civil charges against corporations with potential legal consequences.
*These include Senators Baldwin, Booker, Brown, Casey, Murray, Rosen, Sanders, and Warren.
Skimpflation Statistics
Akin to shrinkflation, “skimpflation” refers to a reduction in a product’s ingredients or quality.
- In 2023, one popular national dessert brand reduced the milkfat in its ice cream below the federally required 10%**; the brand now refers to its product as “frozen dairy dessert”.
- Also in 2023, a national brand reduced the oil content of its Italian-style dressing 22.2%, increasing its water content.
- In 2022, a national brand reduced the oil content in its butter-substitute spread 39.1% and replaced much of it with water.
**Federal laws about false advertising state that any item that is advertised as “ice cream” must include certain ingredients, including a minimum of 10% milk fat.