You don't need us to tell you, prices on almost everything are up right now.
But consumer reporter John Matarese explains it’s not just rising prices but shrinking sizes as well so you don’t waste your money.
We've all heard about inflation this year as the price of homes, cars, and food soars.
But another term is suddenly being used more and more: "shrinkflation."
The recent headlines say it all: "Consumer prices jumped 5 percent in May."
"U.S. inflation is highest in 13 years."
Between groceries and $3 gas, we are all paying more.
The Bureau of Labor Statistics says year to year:
- Gas prices are up 52 percent.
- Airline tickets are up 24 percent.
- Home prices are up 15 percent.
- Hotel rooms are up 7 percent.
- Clothing is up 3 percent.
- And used cars are up a whopping 29 percent.
So what are some companies doing?
They're shrinking new versions of their products to keep cost down.
It's something now known as "shrinkflation."
So from the doesn’t that stink file, the meaning of this new term.
Ed Dworsy, founder of the consumer site "Consumerworld.org" says: "Consumers are paying more for household staples in ways that don't show up on receipts - thinner rolls, lighter bags, smaller cans."
Why?
"Companies are looking to offset rising labor and materials costs without scaring off customers," Dworsy says.
And that stinks.
So next time you are looking for paper towels, cereal or bath products - check the size, as well s the price.
While shrinking products are frustrating, companies say many consumers prefer it to higher prices.
Keep vigilant so you don't waste your money.
