The French government is taking a stand against shrinkflation, the practice of reducing the size or weight of a product while maintaining its original price. Starting July 2024, French stores will be required to inform customers about any changes in the size or weight of food and everyday consumer goods, such as laundry detergent.
This regulation aims to increase transparency and empower consumers to be aware of the true unit price of a product. French Finance Minister Bruno Le Maire considers shrinkflation a “deceptive practice” that needs to end.
Shrinkflation has become a significant concern for consumers in recent years, especially with rising inflation. Reducing the size of a product while keeping the price the same effectively raises the unit price, which can go unnoticed by customers who don’t meticulously examine labels.
France isn’t alone in tackling shrinkflation. Similar measures have already been implemented in Spain and Italy. The issue is expected to become a topic of discussion and regulation in other countries as well.
Key Points of the Regulation:
- Starting July 2024, French stores must label food and everyday consumer goods with reduced size or weight.
- The labeling needs to be clearly visible and understandable for consumers.
- Labels must display both the original and new size or weight of the product, along with the unit price.
- The regulation aims to increase consumer transparency and awareness.
Expected Outcomes:
- Increased consumer awareness of shrinkflation.
- More pressure on manufacturers to consider alternative solutions to price increases instead of reducing product size.
- Enhanced price transparency and fairer treatment of consumers.
