Biden Urges Snack Companies to Halt Shrinkflation Prior to Super Bowl

President Joe Biden utilized social media on Sunday, prior to the Super Bowl, to condemn food and beverage companies for engaging in “shrinkflation,” a strategy employed to offset elevated input costs by reducing product sizes, thereby impacting consumers.

In a video shared on Sunday via X, formerly known as Twitter, the president urged companies to cease the practice of “shrinkflation.” 

Biden highlighted the observation that when purchasing snacks for the event, consumers may have noticed reductions in the size of sports drink bottles and fewer chips in a bag, yet prices remain unchanged.

Shrinkflation in Business

Shrinkflation is a common practice in which businesses offer fewer products without lowering their prices accordingly. 

It’s a common cost-cutting strategy during periods of inflationary pressure. 

While inflation has slowed to a three-year low, prices remain prohibitively high for many Americans, who have consistently received less bang for their buck when shopping for necessities.

Biden has struggled to gain traction with his economic message ahead of the 2024 election. Although economic indicators are positive, many Americans believe that the president’s policies have worsened the country’s economic conditions. 

According to a recent CNN poll, the majority of Americans (55%) believe Biden’s policies have worsened the country’s economic conditions, while only 26% believe they have improved conditions.

Based to the report, the size of common household and grocery items decreased significantly between January 2019 as well as October 2023, while unit prices increased by more than 20%. 

In accordance with the report, a pack of Double-Stuffed Oreos weighs 6% less, Gatorade bottles hold 12% less fluid, and a Walmart’s Great Value Ultra Strong paper towel roll contains 28% fewer sheets.

Biden Avoids Naming Companies

Biden refrained from directly naming the companies addressed, although the video displayed snacks such as Doritos, Wheat Thins, and Gatorade, as referenced in Casey’s report.

With the 2024 elections looming less than nine months away, the economy stands as a paramount concern for voters, heavily swayed by their party affiliations.

Based to a recent poll conducted by SSRS, only 26% of Americans believe the economy is showing signs of recovery from recent challenges, marking a 9-point increase since December 2022. 

This surge is predominantly attributed to Democrats and independents, particularly those aged 45 and above. Conversely, a mere 6% of Republicans perceive the initiation of an economic rebound.

The majority of Americans who perceive the economy as still being in decline cite inflation and overall cost of living (50%), alongside specific expenses like food (9%) or housing (7%), often referencing their personal financial circumstances. 

Additionally, 13% attribute the ongoing economic downturn to Biden or Democratic policies.