[Infowarrior] - Companies Shrinking Product Sizes, But Not Prices

[Richard Forno]

  Nov 17, 2008 6:47 am US/Pacific

Companies Shrinking Product Sizes, But Not Prices

http://cbs5.com/consumer/shrinking.products.product.2.866401.html

(CBS) From cereal and ice cream, to toilet paper and even soap,  
there's something happening inside some grocery stores -- the cost per  
item is going up on many popular everyday items, and the additional  
cash is buying less product, reports CBS station KTVT-TV in Dallas.

When the economy began to slump, manufacturers started looking for  
ways to cut back. However, some people say the choice some  
manufacturers made is maddening.

Enraged shopper, Edgar Dvorsky, started Mouseprint.org when he noticed  
his groceries were actually shrinking. "The companies have found a  
sneaky way to pass on a price increase by taking out some of the  
content from the package, but making the package look the same size,"  
he explains.

Dvorsky noticed the change in a jar of Skippy Peanut Butter. To the  
untrained eye, there's no real difference between the old jar and the  
new jar. But if you put to two side by side and look closely, you'll  
see there are actually two fewer ounces in the new Skippy jar than the  
old.

"Most people don't check the net weight of a product to make sure it  
hasn't been reduced from the last time you purchased it," says Dvorsky.

The size of a box of Applejacks cereal has gone from 11 ounces to 8.7  
ounces, and a jar of Hellmann's Mayonnaise has shrunk from 32 ounces  
to 30.

"Most people can't tell the difference between the old and the new  
except when they're side by side," Dvorsky said. "And even when  
they're side by side you can't tell the difference."

The short change isn't only happening with food items.

Scott Toilet Paper's new product says it contains 1000 sheets, which  
is no different than the old product. But if you check the fine print  
on the package, you'll notice that the old sheets were 4.5 inches x  
4.0 inches. The new Scott sheets are 4.5 inches x 3.7 inches.

Dan Howard, a marketing professor at Southern Methodist University,  
says this is a company's way of instituting a price increase without  
actually raising the price.

"Price is much more visible," Howard says. "Consumers notice the price  
before they turn the box over or the jar over and say 'Gee, I'm  
actually getting fewer ounces of what I just bought.'"

Packages of Dial Soap have also changed. The original package gave you  
four bars at 4.5 ounces each. The new version offers four bars at a  
flat 4 ounces each. That's about a half a full bar less than the  
original.

Starkist Tuna has made some changes, reducing the size of their cans  
from six ounces to five. "It makes me furious on the one hand," Howard  
said. "But then I'm likely to laugh because it's so absurd."

According to Howard there's only one was to fight back against  
shrinking products. "Speak with your pocketbook," he suggests. "Refuse  
to buy products that engage in tactics like that."

Despite the urging, most shoppers who spoke with KTVT say they  
probably won't change their habits. "Its life, you have to pay for  
what you want," shopper Mandy Robertson said.

Dvorsky asked several companies why their products are shrinking and  
most chalked it up to a rise in fuel and manufacturing costs. Their  
responses are posted on his website - along with more products that  
he's investigated.

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