CBS News: Higher costs, smaller quantities: Denver professor weighs in on "shrinkflation" trends

March 11, 2024

You've probably noticed recently the amount or quantity in a package of food or house supplies is decreasing, while the price is increasing. This is known as "shrinkflation." Now, a popular Sesame Street character known for loving cookies is also expressing his concerns about shrinkflation.

Cookie Monster took to social media last week and shared a post on X saying, "Me hate shrinkflation! Me cookies are getting smaller... Guess me going to have to eat double da cookies!"

Cookie Monster might just be on to something.

A Pennsylvania senator recently issued a report that stated packages of double stuff Oreos decreased by 6% since 2019. A family sized box of wheat thins also decreased 12% in weight, according to government data. The report also shared that shrinking sizes are seen in other products like cleaning supplies, coffee and candy, and frozen foods.

Dr. Kishore Kulkarni, an economics professor at Metropolitan State University of Denver, said shrinkflation is nothing new.

"Companies change their trademark, they change their logos, they change their stamps, and they change their products all the time. And it's not really a new phenomenon," said Kulkarni.

 He said companies recognize right now there's a shortage in the labor market and there are higher labor costs and transportation costs. Plus, the supply chain has been impacted.

"All these are creating much higher cost for the companies. Now, in order to cover this increased costs, one way to do that is to reduce the size of our product," said Kulkarni.

Kulkarni said because of the pandemic, or to help tackle problems stemming from the pandemic, 27 companies have reduced the sizes of their products. He shared examples of Coca Cola products and Gatorade sizes being reduced, too. He added that consumers are beginning to notice shrinkflation and should pay closer attention when they're at the stores.