Pros

  • β€’Allows manufacturers to manage rising costs without overt price hikes
  • β€’Can maintain product appeal while adjusting to economic pressures
  • β€’Encourages consumers to explore alternative brands and products

Cons

  • β€’Frustrates consumers who notice less quantity for the same price
  • β€’May damage brand loyalty and consumer trust
  • β€’Can lead to backlash and negative perceptions on social media

Bottom Line

Shrinkflation is a strategic response to economic pressures, but it risks alienating consumers who feel shortchanged.

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