Usage-Based Pricing, Inflation and Shrinkflation

Pricing | June 19, 2022 | Jon Manning

In the course of my work, I come across important resources, writings and articles on the topic of Pricing. This post shares a few of those that recently caught my attention in mid-2022. I hope you find them as useful as I did.

Why ‘Shrinkflation’ means you are paying the same for less

Most commentary about ‘shrinkflation, and lets face it, there’s plenty of that commentary around at the moment, focus on the reduction in the size of goods (things you can drop on your foot). This article, Why ‘Shrinkflation’ means you are paying the same for less, from the Financial Times (may be paywalled) follows that pattern, but then, refreshingly, explores the shrinkflation of services.

Five Ways to ADAPT pricing to Inflation

In this paper, Five Ways to ADAPT pricing to Inflation, McKinsey caution against simply raising prices in response to inflation. Rather, they propose a wider conversation with customers than encompass supply chains, inventory, credit and labor challenges as well. Sound advice.

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