As Easter approaches, many Australians look forward to indulging in the time-honoured tradition of enjoying chocolate eggs. However, this year, the experience might leave a sour taste, not from the chocolate itself, but from the realisation that your favourite treats have shrunk in size while your wallet hasn’t expanded to match. This phenomenon, known as ‘shrinkflation’, has been called out by consumer group CHOICE, which has found that Easter chocolate favourites are diminishing in size, with prices either holding steady or, in some cases, increasing.
ALDI, Cadbury, and Nestle are at the centre of this controversy, with CHOICE revealing that Australian shoppers are paying up to 33 per cent more for every 100 grams of chocolate compared to last year. The confectionery giants have pointed to the rising cocoa prices as the culprit for these price hikes. A Cadbury spokesperson explained that the global cocoa shortage has led to prices reaching ‘unprecedented levels’, quadrupling since 2022. They also cited increasing input costs across the supply chain, which have driven up overall production and manufacturing expenses.
‘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 stated, emphasising their effort to offer a variety of Easter products to cater to different budgets and celebration needs.
Nestle also chimed in, stating that they’ve been ‘working hard to minimise costs’ while striving to deliver the same beloved products. They acknowledged the ‘unprecedented rises in the prices of cocoa, energy, manufacturing, and labour,’ and have opted to reduce product sizes rather than directly increasing prices. ‘While we provide a recommended retail price, the price shoppers pay is ultimately determined by the retailer,’ the Nestle spokesperson added, shifting some responsibility to the retailers.
ALDI similarly cited the rising cost of raw ingredients as the reason behind its product changes. CHOICE’s investigation highlighted several examples of Easter chocolate shrinkflation. ALDI’s Dairy Fine Milk mini eggs have decreased from 400 grams to 300 grams, with the price remaining at $5.99. Cadbury Dairy Milk hollow chocolate eggs have been reduced from 24 packs to 22 packs, with the price jumping from $12.50 to $15. Cadbury’s large chocolate egg has slimmed down from 400 grams to 340 grams, with the price staying at $20. Nestle’s KitKat-flavoured mini eggs have shrunk from 110 grams to 90 grams, yet the price remains at $3.99.
CHOICE journalist Liam Kennedy expressed concern that consumers may feel cheated when they discover their money isn’t stretching as far as it did last year. ‘With many consumers still struggling to cover the cost of food and groceries, the last thing people need is the squeeze being put on their Easter favourites,’ Kennedy said.
The issue of shrinkflation has caught the attention of the Australian Competition and Consumer Commission (ACCC), which has suggested that supermarkets should be required to notify shoppers when product sizes decrease but are sold at the same or higher prices. This recommendation is part of the ACCC’s inquiry into the sector, which observed shrinkflation across various products. ACCC deputy chair Mick Keogh emphasised the importance of transparency, stating, ‘By giving consumers this transparency over what are effectively price increases, consumers would be better able to ‘vote with their feet’ and switch to cheaper alternatives if that is their preference.’
The government has agreed in principle to the report’s recommendations, signalling potential changes ahead. In the meantime, Kennedy urges shoppers to remain vigilant, pay close attention to unit pricing, and be wary of products that claim to be ‘new and improved’ or feature other slogans that often accompany shrinkflation.
As Easter approaches, the discussion around shrinkflation and rising prices continues to spark debate among shoppers and industry experts. While manufacturers cite increased production costs, consumers are left weighing their options at the checkout.
What are your thoughts on this issue? Have you noticed changes in your favourite Easter treats? How do you approach shopping when product sizes shrink but prices stay the same? Share your insights in the comments below!
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