When cost-cutting measures erode trust (and how to handle it)
Once upon a time, you bought a bag of chips and expected it to be full. Then came shrinkflation—the magical trick where your favorite snack still costs the same but now comes with 25% more air. Ta-da!
To be fair, inflation is real. Input costs are up, supply chains are chaotic, and brands are trying to protect margins while avoiding sticker shock. But let’s be honest: consumers aren’t clueless. They notice when their yogurt cup mysteriously shrinks or when the paper towels that used to last a month now tap out after one chaotic Tuesday.
And here’s the thing: a savvy shopper can forgive price increases. But what they can’t forgive? Feeling duped.
Shrinkflation: A Brand Loyalty Minefield
Shrinkflation can chip away at brand trust faster than you can say “family size.” When the product feels smaller but the brand is silent, shoppers start asking questions—and not the kind you want.
If you’re a legacy brand with strong affinity, this can be especially dangerous. The more love there is for your product, the more noticeable (and annoying) those changes become. You might still technically be giving consumers what they paid for, but the experience doesn’t feel the same. And in a world where perception is everything, that disconnect can send loyal shoppers looking elsewhere—especially with private label breathing down your neck.
When Clever Turns to Cringe
Sometimes brands try to spin shrinkflation as “portion control” or “sustainability.” Other times, they just quietly change the packaging and hope no one notices. Spoiler alert: someone on TikTok always notices.
This kind of tone-deafness can backfire. No one minds a clever pivot—when it’s transparent. But if your “new and improved” messaging feels like a gaslight instead of a value add? That’s when you go from brilliant to “OK, brand.”
How to Handle It (Without Losing Trust)
If shrinkflation is unavoidable, here’s how to do it without tanking your brand equity:
1. Be honest.
If you’re making a change, explain why. Use your packaging or social channels to call it out. Transparency builds trust.
2. Offer value elsewhere.
Can’t give more product? Add a recipe idea, a new flavor variant, or loyalty points. Make it feel like the shopper’s still winning.
3. Reinforce what hasn’t changed.
Taste? Quality? Heritage? Whatever makes your brand special—shout that louder than ever.
4. Use retail media to retell your story.
This is your moment to re-engage lapsed buyers and remind loyalists why they chose you in the first place. Tell your story through sponsored search, on-site display, or even audio—shoppers are listening.
Final Thought: It’s a Fine Line
Consumers get it—times are tough. But they also expect honesty and value. If your brand can walk the line between business reality and consumer empathy, you don’t just survive shrinkflation—you come out stronger.
Because in the end, brand loyalty isn’t just about price or size. It’s about how you make people feel. So make them feel seen, respected, and maybe a little hungry for a snack that still tastes like home—even if it comes in a slightly smaller bag.