Consumer group calls out massive chocolate brands over prevalent manufacturing tactics
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As we approach the festive Easter season, many Australians look forward to indulging in Easter chocolates.
However, before stocking up on those delightful chocolate eggs, shoppers have pointed out a growing concern everyone should be aware of.
Big brands like ALDI, Cadbury, and Nestle have been called out for employing this frustrating act that's effectively 'squeezing' shoppers' wallets.
This has been a significant hike, especially for budget-conscious seniors living on fixed incomes.
This phenomenon has been prevalent in the retail industry called 'shrinkflation'.
Product sizes are reduced while keeping prices the same or even higher.
The mentioned brands pointed to one common culprit behind the price surge: cocoa prices.
A Cadbury spokesperson stated that the worldwide cocoa shortage has led to prices reaching 'unprecedented levels', as it has quadrupled since 2022.
The spokesperson also mentioned that rising input costs across the supply chain have increased production and manufacturing costs.
'In response to these cost challenges, we have made some difficult decisions regarding pack sizes and pricing while remaining committed to producing great-tasting chocolate in Australia,' Cadbury shared in a statement.
'We continue to offer a variety of Easter products in different pack sizes to suit different budgets and celebration needs.'
On the other hand, Nestle stated that they have been 'working hard to minimise costs' while delivering the same products.
They have acknowledged 'unprecedented rises in the prices of cocoa, energy, manufacturing, and labour' and opted to reduce product sizes instead of hiking prices.
'While we provide a recommended retail price, the price shoppers pay is ultimately determined by the retailer,' a Nestle spokesperson shared.
ALDI also flagged the rising cost of raw ingredients as the reason behind its product changes.
However, CHOICE's investigation uncovered several examples of Easter chocolate shrinkflation this year.
ALDI's DairyFine Milk mini eggs have decreased in size from 400 grams to 300 grams.
However, the products still have a price tag of $5.99.
Cadbury Dairy Milk hollow chocolate eggs have gone from 24 packs to 22 packs, with the price jumping from $12.50 to $15.
Cadbury's large chocolate egg also slimmed down from 400 grams to 340 grams, with the same $20 price tag.
Lastly, Nestle's KitKat-flavoured mini eggs have shrunk from 110 grams to 90 grams, still for $3.99.
CHOICE journalist Liam Kennedy stated that consumers may be left with a bitter taste in their mouths upon the realisation.
While consumers cannot control market prices, they can make informed choices while shopping.
We would love to hear from you. Have you noticed the effects of shrinkflation in your shopping experiences? How do you ensure you're getting the best value for your money? Share your tips and stories in the comments below.
However, before stocking up on those delightful chocolate eggs, shoppers have pointed out a growing concern everyone should be aware of.
Big brands like ALDI, Cadbury, and Nestle have been called out for employing this frustrating act that's effectively 'squeezing' shoppers' wallets.
This has been a significant hike, especially for budget-conscious seniors living on fixed incomes.
This phenomenon has been prevalent in the retail industry called 'shrinkflation'.
Cadbury has been releasing varieties of Easter chocolate for years. Image Credit: Instagram/Cadbury Australia
Product sizes are reduced while keeping prices the same or even higher.
The mentioned brands pointed to one common culprit behind the price surge: cocoa prices.
A Cadbury spokesperson stated that the worldwide cocoa shortage has led to prices reaching 'unprecedented levels', as it has quadrupled since 2022.
The spokesperson also mentioned that rising input costs across the supply chain have increased production and manufacturing costs.
'In response to these cost challenges, we have made some difficult decisions regarding pack sizes and pricing while remaining committed to producing great-tasting chocolate in Australia,' Cadbury shared in a statement.
'We continue to offer a variety of Easter products in different pack sizes to suit different budgets and celebration needs.'
On the other hand, Nestle stated that they have been 'working hard to minimise costs' while delivering the same products.
They have acknowledged 'unprecedented rises in the prices of cocoa, energy, manufacturing, and labour' and opted to reduce product sizes instead of hiking prices.
'While we provide a recommended retail price, the price shoppers pay is ultimately determined by the retailer,' a Nestle spokesperson shared.
ALDI also flagged the rising cost of raw ingredients as the reason behind its product changes.
However, CHOICE's investigation uncovered several examples of Easter chocolate shrinkflation this year.
ALDI's DairyFine Milk mini eggs have decreased in size from 400 grams to 300 grams.
However, the products still have a price tag of $5.99.
Cadbury Dairy Milk hollow chocolate eggs have gone from 24 packs to 22 packs, with the price jumping from $12.50 to $15.
Cadbury's large chocolate egg also slimmed down from 400 grams to 340 grams, with the same $20 price tag.
Lastly, Nestle's KitKat-flavoured mini eggs have shrunk from 110 grams to 90 grams, still for $3.99.
CHOICE journalist Liam Kennedy stated that consumers may be left with a bitter taste in their mouths upon the realisation.
While consumers cannot control market prices, they can make informed choices while shopping.
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