A German court has ruled against Cadbury, finding that the company deceived customers by reducing the weight of its Milka classic chocolate bar from 100g to 90g while keeping the packaging unchanged. The case, brought by Hamburg’s consumer protection office, accused the US company Mondelez of engaging in “shrinkflation” tactics. The price of the chocolate bar increased from €1.49 to €1.99 at the beginning of 2025, despite the slight reduction in size.
Mondelez argued that they had informed German consumers about the changes through their website and social media platforms. However, the court determined that a clear notice should have been placed on the packaging to avoid any confusion regarding the product changes. Mondelez is currently contemplating the court’s decision and has the option to appeal within a month.
The issue of “shrinkflation,” where companies reduce product size or quantity while maintaining prices, has sparked consumer outrage. In a similar incident, Mars Wrigley was accused of cutting the size of Mars bars by nearly a quarter without adjusting the prices. The company cited rising costs, including cocoa prices, as the reason for the change. Retailers noticed the decrease in weight from 51g to 40g, while prices remained constant.
Consumer group Which? has been monitoring the trend of shrinkflation and has highlighted instances where popular products have been downsized. For example, toothpaste and heartburn medicine have seen reductions in size while prices have increased. Shoppers reported examples of shrinkflation at supermarkets, such as the price increase of Aquafresh toothpaste and Gaviscon liquid despite reduced quantities. This trend has raised concerns among consumers about transparency and pricing practices in the market.