Finnish chocolate manufacturer Fazer is set to alter its product lineup, reducing the size of its chocolate bars from 200 grams to 180 grams. These newly-sized bars are expected to appear on store shelves by the end of August. The change is part of a trend in the industry as companies face rising costs, driven by the increased price of cocoa and higher energy and transportation expenses. Marabou, a key player in the chocolate industry, also reduced the size of several products earlier this year.
Liisa Eerola, Fazer Confectionery's communications director, explained the decision to adjust the chocolate bar size. She noted that by reducing the size, they aim to lessen the effect of cost increases on the consumer. This move will affect several of Fazer's products, including their popular milk chocolate, dark chocolate, and the Karl Fazer Avec range. Their newest flavor, Vanilla Cocoa Fudge, will also be sold in the revised 180-gram size.
The rationale offered by Fazer aligns with broader industry dynamics. The cost of cocoa has impacted manufacturers' margins. Along with rising operational costs, companies are reconsidering their pricing and product strategies. Some manufacturers, including Fazer and Marabou, are opting for downsizing as an alternative to further price increases.
However, the decision has sparked controversy. Many consumers express disappointment, especially those who cook with recipes that require a full 200 grams, forcing them to buy additional bars. Some accuse the company of greed, suggesting the move is a strategy to improve profit margins. "The owner's immense greed, 10 percent less product, and they explain it smoothly with costs; the margin is otherwise huge. I will boycott all Fazer products in the future," remarked a reader named Jk-62.
Despite the criticism, some consumers see potential benefits in the change. The reduction in chocolate size could contribute to public health by discouraging overconsumption. In Finland, where a considerable percentage of the population is classified as overweight or obese, smaller chocolate packages might help address these health concerns.
Fazer's strategy taps into a phenomenon known as shrinkflation, where product sizes decrease while prices stay the same, resulting in consumers effectively paying the same for less. This approach has been observed across consumer goods. Despite the justification rooted in rising costs, some industry analysts note that cocoa prices have shown a declining trend from recent peaks and question the timing of Fazer's decision.
The preparation of this article relied on a news-analysis system.