A French court sees no problems in the open accusations of shrinkflation that supermarket chain Intermarché made against Unilever. The complaint filed by the multinational was dismissed.
“Sufficient factual basis”
With sometimes humorous slogans on its shelves, Intermarché had accused several Unilever brands of shrinkflation – i.e. reducing the contents of the packaging while keeping the price the same. For example, a poster with the slogan “Magnum used to mean big” explained that the weight of a Magnum ice cream had decreased by 70 grams, increasing the selling price per kilogram by 39 %.
Unilever was not too glad with the initiative and went to court, claiming the slogans constituted deloyal and deceptive practices. The Paris Commercial Court has now dismissed that complaint: “Even though Intermarché’s criticism may seem harsh, the wording of the disputed posters is not excessive and is based on a sufficient factual basis. It is also part of a debate of general interest on the current practices of shrinkflation and unjustified price increases by certain manufacturers”, LSA cites the ruling.
The retailer welcomed the decision, Unilever did not yet respond. Shrinkflation is not an illegal practice (yet), but the French government is working on a law that would require companies to inform consumers about changes in quantity and price.