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Shrinkflation: Ritz reduces content by 30% but price remains same

May 17, 2024
in Business
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Shrinkflation: Ritz reduces content by 30% but price remains same
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A spokesperson for Mondelez International confirmed the size change to the BBC.

“We understand the economic pressures that consumers continue to face and any changes to our product sizes is a last resort for our business,” they said, adding that the food producer is experiencing “significantly higher input costs” across its supply chain as ingredients cost far more than they had previously.

It added that costs for energy, packaging and transport remain high.

Global inflation – the rate at which prices rise – has come down from its peaks last year but continues to squeeze household budgets and raise operational costs for many businesses. Meanwhile, elevated energy costs have also meant rising business costs are passed on to consumers either in the form of less product for the same price, or a more expensive product overall.

“As a result of this difficult environment, we have had to make the decision to reduce the weight of some of our products, so that we can keep them competitive, and not compromise on the great taste and quality that our fans enjoy,” the spokesperson added.

Credit: Source link

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