Due to the rise in price of cocoa beans, the grain inflation mechanism will be activated
In France, hidden grain inflation has been banned and they intend to fight it in a tough way — this is when retailers reduce the weight or volume of goods, leaving the same the price for it. MK spoke with a leading domestic economist about how this technique is used in Russia, when it can be considered deception, and what buyers should pay attention to.
< span class="article__picture-description" itemprop="caption">Photo: freepik.com
As the New York Times reported, in France, from July 1, retailers will have to post notices next to goods if their weight or volume has decreased, and the price is “proportionately” increased. has not decreased. French Finance Minister Bruno Le Maire said that “the practice of shrinkflation – this is a hoax,” and promised to put an end to it. It is noteworthy that consumers will be able to report where they should about existing manifestations of shrinkflation using a special application – if someone specifically checks the weight (quantity) of a product for the same price that he had before, and notices something “wrong.”
The publication points out that “suppliers will have to balance between the loss of image and profit.” Moreover, the French government previously demanded that manufacturers negotiate with retailers to curb prices. “On the one hand, food inflation in France fell from 16% to 3-5%, – writes the New York Times, – on the other hand, the FMCG sector (everyday goods: food (cereals, drinks, canned food, baked goods, cheeses), cosmetics, household chemicals, etc. –) probably had to pay dearly for this.”
< p>Russian economist, director of the Center for Market Research at the National Research University Higher School of Economics Georgiy Ostapkovich told MK that, in fact, shrinkflation – a fairly common marketing ploy used all over the world.
– There is inflation – from the Latin word “bloat”, and shrinkflation translated from English means “shrink”, “compression”, – Ostapkovich explained. – This is a well-known marketing ploy by retail chains. Calling it “outright deception” I wouldn't.
How it works? For example, you, as a manufacturer, have increased the price of beer, and you pour not a liter of beer, but 850 grams into a liter bottle. And you leave approximately the same price per bottle. But if you write “850 grams” on the bottle, then this is a fair deal, this is marketing. But if they didn’t write, then this is a scam, and if the fraud is revealed, then the competent authorities should deal with such cases.
Or, for example, you are used to a kilogram bag of buckwheat, and then you see a seemingly identical package for the same price, but the buckwheat there, if you look at the packaging, is already 850 grams. Most buyers, with the exception of particularly attentive and thrifty pensioners (about one buyer out of fifty), will take this pack out of habit, believing that it contains a kilogram, and will not pay attention to the back inscription. But again, this cannot be called deception.
– Due to the cataclysms in African countries with cocoa beans, the price of chocolate will rise in about a month or three. What will our producers do? They will no longer put six marshmallows in the usual box of marshmallows, as before, but five. Or instead of 20 candies they will put 18 in a box. The price will be almost the same or even a little higher. Of course, they should change the weight in the “details”, but you’ll hardly notice it. The same applies to products such as eggs, when they put not a dozen in a box, but eight, etc.
No one has ever suffered any punishment for shrinkflation, even administratively. They begin to resort to this marketing technique when inflation accelerates, so as not to scare away the buyer.
– Everything will depend on how the price situation for this product develops. Suppose there is an overproduction of eggs, and then producers will not be able to keep prices at 130-140 rubles, because other stores will lower prices to 80 rubles (as they were a year ago)… And no one will buy from them for 140 rubles. In other words, if a manufacturer operates in a competitive environment, then he is forced to adapt to the price environment and demand. And if he is the only one “within a radius of five kilometers,” then he, in principle, can set the prices he wants. In Moscow – The competition is very high, and such a number will not work here. If I don’t like the price, I’ll go out, go to the other side to another store and buy cheaper.
In this regard, the only thing left is to advise Russians to be more careful – check the weight of the product indicated on the familiar packaging. If you are not satisfied with the previous price for less weight or volume – don't buy, it's your right.