Your Favorite Grocery Store Buys Are Shrinking Almost Everywhere — but Not at Costco

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The warehouse club giant is making good on its pledge to offer customers great value. 

It’s hardly a secret that inflation has been hurting consumers since the latter part of 2021. And these days, pretty much everyone’s been racking up higher credit card bills in the course of feeding their families.

But some of the items you normally buy at the supermarket may not be costing more. Rather, it may be that their prices are holding steady, but you’re actually getting less product in return. It’s a concept known as shrinkflation, and it’s a sneaky tactic that causes consumers to lose money without even realizing it.

Let’s say you normally buy a 16-ounce box of pasta for $1.19. You might continue to see that pasta available for $1.19. But if you look at the box more closely, you may notice that you’re now only getting 12 or 14 ounces of pasta, not the 16 you originally got to enjoy.

Unfortunately, shrinkflation is pretty rampant these days. And the worst thing about it is that many consumers don’t even know they’re being taken advantage of.

But one retailer is bucking the shrinkflation trend. And budget-conscious consumers may want to spend their money there during these trying economic times.

Costco products aren’t shrinking

Costco is known for its bulk and large-sized products. But for the most part, Costco isn’t offering up smaller versions of its signature Kirkland products in an effort to trick consumers.

If you pay a visit to your local Costco, you’re likely to find that the giant muffins you enjoy are still, well, almost ridiculously large. And Costco’s Kirkland-branded snacks, chips, and pantry essentials will still keep you well-fed for weeks.

Now this isn’t to say that Costco hasn’t raised its prices since mid-2021. While prices vary by location, many consumers are seeing an increase in the cost of certain items.

But that’s less problematic than shrinkflation. The reason? It’s more obvious. And it puts consumers in a strong position to make informed decisions about their spending.

Someone who buys a 12-pack of Costco muffins every other week for $8.99 is apt to notice if the cost rises to $9.99. They’re less apt to notice if they’re getting fewer ounces of product. But at that point, someone in that boat can decide whether $9.99 fits into their grocery budget or not.

A shoppers’ favorite for a reason

Many people who maintain Costco memberships do so for years, and for good reason. The warehouse club giant prides itself on offering great value, and that means not pulling a fast one on customers by quietly reducing the size of its products.

Plus, Costco does a great job of standing behind its products. You can return almost anything you’re not satisfied with — even opened food. And for that reason, shopping there is really a pretty low-risk proposition, financially speaking.

If you’re on the fence about keeping your Costco membership in the face of rising costs due to inflation, consider the fact that your local warehouse club is probably one place where you won’t have to worry about shrinkflation. It’s hard to say the same thing about most grocery stores these days.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Maurie Backman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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