Bidenomics, Bidenflation, supply chain problems and the Covid era wreaked havoc on the economy, paving the way for good old-fashioned shrinkflation. To keep profits afloat, companies downsized products and packages – but not the prices. In many cases, consumers ended up paying more for less. And now that corporations have retooled production and locked in those profits, don’t expect things to go back to normal anytime soon, no matter who’s sitting in the Oval Office.
The food companies did a strategic pivot worthy of an Oscar award to be able to stay afloat. They repackaged, downsized, renamed “premium” this or “artisan” that – all while keeping the registers ringing. In the beginning, we couldn’t really blame them. They were fighting inflation and high costs because of Bidenomics. They needed to survive.
But now things have changed and they could give a little. But they won’t. They like their margins and they’re not going to change things unless they absolutely have to.
So don’t expect your favorite cereal box to go back to “normal size.” Don’t wait for salsa that used to cost you $3.99 but now $6.79 for less volume to magically shrink in price. That grocery store treadmill you’re on – pumping your wallet dry – is corporate America’s well-oiled machine. Yes, you’ve got fewer Ziploc bags in the box, less dishwasher pods in the package and paper towel rolls are smaller. And that’s how things are going to stay.
Consumer World’s Edgar Dworsky says not to trust the brand names and their false advertising either: “You shouldn’t buy by size name, mega, giant, large size,” he says. “Gotta look at the fine print.”
Your wages? They’re meandering along the slow track. According to recent polling [1], inflation and prices remain the top concern for Americans. But while your paycheck cheers from the sidelines, the snack aisle is sprinting ahead.
So if you’re hoping for a miracle grocery-price drop – or are waiting for either political party to fix things – you are going to be seriously disappointed.