15
Nov
08

Food Biz: Selling Less @ Same Price

Stealth Cost Cutting: Skippy, Kellogg, McDonald’s and Others Offer Less for the Same Price | Food Industry Blog | BNET: “Squeezed by high ingredient and energy prices, companies are in a bind. They don’t want to see profits drop, but raising prices could be risky. Instead, a lot of companies have indulged in the time-honored recessionary practice of holding product prices steady while shrinking package sizes by tiny amounts — an ounce here, a half an inch there — and hoping that customers won’t care, or maybe even notice.”

(Via Bnet.)

So the food business’ is deciding to cut down on how much they give you so they don’t have to raise prices and you won’t get angry. Well, surprise, surprise there. Umm, what do you think about that?

So who are some of the businesses doing this?

Kelloggs: shrunk its cereal boxes by an average of 2.4 ounces

kelloggs.jpg

Skippy: ostensibly the same dimensions, but on the newer jar where parent company, Unilever has ripped out 1.7 ounces of the butter you should get by adding a rounded indent at the bottom.

skippy_peanutbutter_creamy.jpg

Dial: the soap maker has shrunk its bars of soap by 0.5 ounces from 4.5 to 4 ounces.

DIA02401-Dial-Soap.jpg

Quilted Northern: who makes Ultra Plush toilet paper lost 0.5 inches on the width of its toilet roll.

200.jpg

Burger King: they’ve been experimenting with a smaller-sized patty for its $1 Whopper Jr.

burger-king-tray.jpg

McDonald’s: they’re introducing a new double cheeseburger with two patties but only one slice of cheese. I guess cheese lovers will certainly feel shafted.

ads_mcdonalds.jpg

Have you seen any other companies cut down on how much they give you? Do you think this is fair?

Guess the restaurant portions are going to get smaller too – I’ve been hearing that sit down restaurants are taking a real hit while fast food remains steady. A shame.


1 Response to “Food Biz: Selling Less @ Same Price”


  1. December 10, 2008 at 3:42 pm

    Dan Mitchell on Bnet also writes about how companies are downsizing their product while making us pay the same price (http://industry.bnet.com/food/1000319/downsizing-packages-gets-even-sneakier/#comments).

    Tropicana orange juice starts off as his first example. (grins) 7 ounces less? Ouch for us.


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