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Incredible Shrinking Products! (Along with rising prices.)

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Incredible Shrinking Products! (Along with rising prices.)

Unread postby Jenab6 » Wed 15 Oct 2008, 18:52:40

Tuna fish cans have been downsized from 6 ounces to 5 ounces, just recently. There were mixed size cans at Dollar General, and I grabbed the last three dozen cans of the six-ounce size. While the size had decreased by 16%, the price had risen by 10%. That's effectively a 24 percent increase in the cost of the product.

Earlier this year, also at Dollar General, one-dollar bags of long grain rice shrunk from 3 pounds to 2.5 pounds. Just recently, however, the price of those 2.5 pound rice bags increased 65%, to $1.65 per bag. The price of rice has doubled since the beginning of this year.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby Magus » Wed 15 Oct 2008, 19:07:48

Retailers have many amazing tricks at their disposal, including the ability to make your money disappear!

It's almost as impressive as the Federal Reserves ability to create vast sums of money out of nothing! Medieval alchemists could only dream of accomplishing such a feat.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby vision-master » Wed 15 Oct 2008, 19:24:25

Aldi's has some kick-arse thick slice bacon for about $4 a pack. When I got home and looked in my freezer, I noticed the package size has shrunk. WTF. Sneaky devils.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby Jenab6 » Wed 15 Oct 2008, 21:35:46

I noticed some time ago that the sellers of buttery round crackers (e.g., "Ritz") were cheating their customers in a number of ways. At one point, the box-of-four cellophane tubes became a box-of-three, which at once raised the price of a gram of their product by 25%. Then they stopped using butter in those buttery crackers and began using some kind of funny chemical spray perfume that smells vaguely like butter. Then they stopped filling up the three remaining cellophane tubes: they were designed to hold 40 crackers each, but these days you're lucky to get 35 or 36, and you might get only 32 or 33. How long before they're trying to sell us crackers one at a time in jewel cases?
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mercurygirl » Wed 15 Oct 2008, 23:43:51

$this->bbcode_second_pass_quote('Magus', 'R')etailers have many amazing tricks at their disposal, including the ability to make your money disappear!

It's almost as impressive as the Federal Reserves ability to create vast sums of money out of nothing! Medieval alchemists could only dream of accomplishing such a feat.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mattduke » Thu 16 Oct 2008, 10:39:53

Let me share with you my experience with the family business: customers are a cruel master. Customers don't care that your costs have gone up. Customers don't care that you have payroll to make. Customers don't care that your taxes have gone up. And most of all, customers do not care that the value of their money has been shrunk by the Federal Reserve inflation. Any price increase is asked only after agonizing about it for months, and after absorbing loss after loss, and giving yourself a paycut, until the choice is to shut down the business your grandfather started or raise prices. And believe me, raising prices is no sure fix. Then, the day you finally raise prices, the anger is unleashed: scowling looks from good longtime customers and friends, and vows to never return. This, right here, is the Iraq war being paid for. Yes, shrinking packages is tricky and not something I would do, but I understand where it comes from. Focus the anger where it is deserved: government inflation.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mattduke » Thu 16 Oct 2008, 11:23:04

$this->bbcode_second_pass_quote('GASMON', '')$this->bbcode_second_pass_quote('mattduke', 'F')ocus the anger where it is deserved: government inflation.


Tesco (big UK based supermarket chain) have just announced profits of nearly £3 BILLION.

Wife sometimes shops there, yes even here product content decreasing & cost increasing. Same story everywhere else. Sheer greed, I'm afraid, government inflation not at work in this case.

Gasmon

An absolute number gives no information. Is that a profit of 3 billion having spent 500 billion? That would be a minicule profit indeed.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby 3aidlillahi » Thu 16 Oct 2008, 11:44:38

$this->bbcode_second_pass_quote('', 'T')esco (big UK based supermarket chain) have just announced profits of nearly £3 BILLION.


$this->bbcode_second_pass_quote('', '
')Net income rose 11 percent to 1.04 billion pounds ($1.9 billion), or 13.12 pence a share, in the six months ended Aug. 23 from 936 million pounds, or 11.65 pence, a year earlier, the Cheshunt, England-based company said today. Though that was the smallest gain since 2001, it surpassed the 1.03 billion-pound median estimate of six analysts surveyed by Bloomberg News.


Actually, they had profits of under $2 billion USD over a 6 month period. That's 1 billion pounds. Over a year, that's about 2 billion pounds, not 3 billion. Why do you Brits lie? How is £2 billion "nearly £3 billion" as you claim? And you can't claim these numbers are from 2007 as those numbers were 11% lower than this year.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mos6507 » Thu 16 Oct 2008, 11:55:51

This is nothing new. Andy Rooney did a bit on this what, 20-25 years ago? It's the same thing the airlines are doing by feeing you to death. It's to hide inflation under the rug.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby 3aidlillahi » Thu 16 Oct 2008, 12:06:31

$this->bbcode_second_pass_quote('mos6507', 'T')his is nothing new. Andy Rooney did a bit on this what, 20-25 years ago? It's the same thing the airlines are doing by feeing you to death. It's to hide inflation under the rug.


So are you saying that it's a conspiracy between businesses and government to hide inflation and lie to the people about the reality of a situation?

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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mattduke » Thu 16 Oct 2008, 12:16:31

$this->bbcode_second_pass_quote('GASMON', '')$this->bbcode_second_pass_quote('3aidlillahi', 'O')ver a year, that's about 2 billion pounds, not 3 billion. Why do you Brits lie? How is £2 billion "nearly £3 billion" as you claim? And you can't claim these numbers are from 2007 as those numbers were 11% lower than this year.


Tesco has reported an 11.8% rise in underlying annual profits for 2007 to £2.846bn, meeting analysts' forecasts. Group sales at the UK's largest retailer rose to £51.8bn, up 11%

http://news.bbc.co.uk/1/hi/business/7347769.stm

Gasmon

Well there you have it. Given the incredibly shrinking pound, a mere 11.8% rise is a real loss. You are subtracting from the pound of today the pound of last year. It's a case of the incredibly shrinking yardstick. I ask you, can the owners of said company purchase 11.8% more products this year than last, given the price increases everywhere? As Lord Keyenes says, roughly, "inflation destroys a society in a manner that not one man in a million can diagnose."
Last edited by mattduke on Thu 16 Oct 2008, 12:19:12, edited 1 time in total.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby 3aidlillahi » Thu 16 Oct 2008, 12:18:36

$this->bbcode_second_pass_quote('GASMON', '')$this->bbcode_second_pass_quote('3aidlillahi', 'O')ver a year, that's about 2 billion pounds, not 3 billion. Why do you Brits lie? How is £2 billion "nearly £3 billion" as you claim? And you can't claim these numbers are from 2007 as those numbers were 11% lower than this year.


Tesco has reported an 11.8% rise in underlying annual profits for 2007 to £2.846bn, meeting analysts' forecasts. Group sales at the UK's largest retailer rose to £51.8bn, up 11%

http://news.bbc.co.uk/1/hi/business/7347769.stm

Gasmon


You said that they "have just" released the news of their profits. That article was from April and it was about LAST YEAR. That's not that recent, is it? It especially isn't recent when we have new reports which state that their profits, when annualized, are about £2 billion.

It should be pointed out that Bloomberg and BBC are using different numbers. BBC - This year

Bloomberg is reporting a profit of £1 billion while the BBC says:

$this->bbcode_second_pass_quote('', '
')The company made group profit before tax of £1.43bn in the 26 weeks to 23 August, an 11.3% increase on the same period last year.


However, the discrepancy is easy to spot: "profit before tax". Your £3 billion number is also likely pre-tax. Therefore, it's not a profit. Profit, practical and not accounting terms, is what you have after you've paid all of your dues. Taxes are dues. Therefore, their actual profit was about £2 billion pounds last year, more or less. Not £3 billion. It's like claiming they have profits of £10 BILLION (when you don't include payroll). A bit misleading.

Sales, BTW, were £28 billion. That means they have a profit margin of less than 4%.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mos6507 » Thu 16 Oct 2008, 15:58:25

$this->bbcode_second_pass_quote('3aidlillahi', '
')So are you saying that it's a conspiracy between businesses and government to hide inflation and lie to the people about the reality of a situation?


It's not some NWO conspiracy, no. All I'm saying is I think it's a psychological thing that businesses do, kind of like pricing things at the .99 threshold, or going crazy with rebates, or selling warranty programs. There are a million gimmicks used to try to make you think you are paying less than you are. There is nothing mysterious about it. It's marketing and it takes advantage of the clueless.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby 3aidlillahi » Thu 16 Oct 2008, 16:15:24

$this->bbcode_second_pass_quote('mos6507', '')$this->bbcode_second_pass_quote('3aidlillahi', '
')So are you saying that it's a conspiracy between businesses and government to hide inflation and lie to the people about the reality of a situation?


It's not some NWO conspiracy, no. All I'm saying is I think it's a psychological thing that businesses do, kind of like pricing things at the .99 threshold, or going crazy with rebates, or selling warranty programs. There are a million gimmicks used to try to make you think you are paying less than you are. There is nothing mysterious about it. It's marketing and it takes advantage of the clueless.


Just pulling a "mos" on you - doing what you do. A stretch maybe, but you left an opening there for a conspiracy play.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby pinewillow » Sun 19 Oct 2008, 19:00:34

$this->bbcode_second_pass_quote('mos6507', '')$this->bbcode_second_pass_quote('3aidlillahi', '
')So are you saying that it's a conspiracy between businesses and government to hide inflation and lie to the people about the reality of a situation?


It's not some NWO conspiracy, no.


Um, yes it is. There is definitely a plan by the richest people in the world to take it all and there always will be. You would be fool to not know that.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby WildRose » Mon 20 Oct 2008, 00:12:03

Just the other day when I was shopping for groceries, an elderly woman and her husband pointed out to me that a product they regularly buy had a smaller amount in the same container for the same price, but I don't remember what product it was.

Something else I've noticed is that you have to check the large or "economy" sizes of products you buy to be sure you're getting the best value for your money. For example, if you're looking at bar soap in packages of 12 or 24, often the larger package is not the best deal; you'd be better off buying two of the smaller ones. You just have to calculate what you're paying per bar. Same goes for toilet paper, etc.
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Re: Incredible Shrinking Products! (Along with rising prices

Unread postby mercurygirl » Mon 20 Oct 2008, 01:30:12

Yup. Thank Hawkman for the few consumer protections still in place. Sometimes you really have to work at it. At least in the store I usually frequent, they have those little tags that show the price per unit (usually weight or volume). They also do yellow tags on each sale item, which of course changes weekly. I don't buy anything at full price, if I can help it. Love my local Goodwill store, although I think even their prices have gone up. It's fun being cheap!
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