Sixty-two percent of consumers say they'll stop buying from brands who change product size ("shrinkflation") or quality ("skimpflation") to cut costs, according to
A Gartner survey of 252 consumers in
"Brands make strategic decisions to optimize costs by changing packaging, ingredients, suppliers and service offerings all the time," said
"However, in a period of unprecedented inflation, consumers are on high alert and noticeable changes that impact the value proposition of a brand's product or service are more likely to result in harm to that brand. CMOs can lead by directing teams to emphasize continuity and value. If needed, they should look to cut services (a form of skimpflation) rather than product amounts."
The majority of consumers (75%) expect prices to continue to increase in the second half of 2022, and 65% of consumers expect to cut back on purchases or stop buying altogether in at least one product category. Consumers noticed the most significant price changes in the "food and groceries" category (62%). Forty-one percent of consumers noted "household products" suffered from shrinkflation, while 32% of consumers noted that "personal care" products suffered from it (see Figure 1).
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