Here We Go Again?!

Hi Everyone,

I blogged about this a while ago, but here we go again. My previous blog on this topic will seem like a repeat today, but how low can they really go? What am I talking about? The downsizing of food items.

Last week I read my circular for our local grocery store, which happens to be a Shop Rite. I noticed that a can of spaghetti sauce was on sale for $.99 and was only 24 ounces. Before the downsizing began, some years ago, a jar or can of spaghetti sauce was 28 ounces then 26 ounces and now it is 24 ounces. Coffee was gone through the same downsizing as well as almost everything else except for maybe milk and butter. I fully understand what these companies are up to; instead of rising their prices, they downsize the quantity, while charging the same price as the previous larger size. A price increase without actually raising prices. Crazy like a fox!!! If they continue to par down the volume, they will eventually sell all food in individual sizes. That way we can all pay the most for their product. Just check out the 7 to 9 ounce frozen vegetables packages sold by Green Giant and Bird's Eye. Used to be that the 16 ounce package would be enough for 4 people. Now one package is enough for 2 people, so you have to buy 2 packages for 4 people. So my question of the day is, how low can they go in their downsizing?

I am not sure what can and will stop these companies, other than injecting some much needed  common sense into their forward thinking. What they should be thinking about is how to sell more of their products. Again, Economics 101 dealing with supply and demand seems to be a thing of the past. If they sold more of their products, they would increase their production lines and maybe then they could hire more employees. Wishful thinking? I really hope not.

Til next week.

Peter