FMCG Brands Shrink Products to Combat Soaring Expenses
- Tesco and Morrisons reduce the weight of own-label ready meals by 50g
- Cost-cutting measure in response to rising input costs
- Examples: Tesco’s Sweet Potato Red Thai Curry and Jasmine Rice (450g -> 400g) and Morrisons Indian curries (450g -> 400g)
- Prices of reduced meals increased after the change
Tesco and Morrisons have reduced the weight of their own-label ready meals in an effort to cut costs, following a trend among FMCG brands to downsize products due to increasing input costs. Tesco switched its 450g Sweet Potato Red Thai Curry and Jasmine Rice from 450g to 400g, raising the price from £2.75 to £2.80. Morrisons also changed its 450g Indian-inspired curries with rice (e.g., Chicken Jalfrezi with Basmati Rice, Chicken Korma with Pilau Rice, and Chicken Tikka Masala with Pilau Rice) to 400g versions, increasing their prices from £2.75 to £3.49.
Factuality Level: 8
Factuality Justification: The article provides accurate and relevant information about Tesco and Morrisons reducing the weight of their ready meals in an attempt to cut costs. It also mentions the specific examples of affected products and the price increase. The source is cited as research by The Grocer.
Noise Level: 3
Noise Justification: The article provides relevant information about supermarkets cutting the weight of their ready meals to reduce costs due to rising input costs. However, it lacks in-depth analysis and exploration of long-term trends or consequences, as well as actionable insights for readers.
Financial Relevance: Yes
Financial Markets Impacted: Tesco and Morrisons’ stock prices
Financial Rating Justification: The article discusses cost-cutting measures taken by Tesco and Morrisons, which are both major supermarket companies. This can impact their financial performance and potentially affect their stock prices in the financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article. The changes made by Tesco and Morrisons to their ready meal sizes are a minor cost-cutting measure in response to soaring input costs.
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