How Price Increase & Shrinkage of Products Affect Malaysians During Raya Season

This week marks the second week of Ramadan, and Malaysians are gradually adjusting to the fasting period and preparing for the upcoming Raya festive season. With the pandemic still ongoing, this year’s Raya celebrations will be the first after the pandemic, and people are looking forward to returning to normalcy, with open houses, gatherings with friends and family, and exchanging blessings. However, while preparations for Raya are underway, many may not be aware of the significant price increases of Raya essentials over the past decade. For instance, Buruh Cooking Oil’s average promotional price in 2022 is RM28.99, compared to RM20.20 in 2020, indicating a 44% increase. Similarly, Saji Cooking Oil’s average price has increased from RM20.70 to RM28.99 in the same period.

Similarly, butter is a must-buy in almost every household, as people will be baking for Raya. The average promotional price for Seri Pelangi Margarine 1kg in 2020 was RM4.74 and now costs RM7.37 (+55%). Frozen food is one of the staples for quick cooking for families. Ayamas Chicken Frankfurter 340gm has increased from RM3.10 in 2020 to RM4.59 in 2022 (+48%). Eggs Grade D 30s was RM6.17 in 2020, increased to RM9.95 in 2022 (+61%). For more, the price table below is 80 Raya items that experienced inflation in the last 3 years. 

The inflation rate is expected to continue to increase. When brand owners do not want the hassle of convincing retailers to increase prices, they use a method that we refer to as a “silent price increase”, which involves reducing the product size. This phenomenon is called Shrinkflation, and it happens in real life on many products that we use in our everyday lives but may not have realised. For example, Marina Chicken Nuggets reduced its size from 1,000gm in 2012 to 750gm in 2022, Marigold Yoghurt Drink reduced from 1,000ml to 700ml, and Sunquick Cordial from 840ml now reduced to 800ml. Check out the full list of 35 Raya related items that experienced Shrinkflation in the price table below.

Hargapedia has been in the industry for more than 5 years, helping more than 1.3 million Malaysians save on their shopping. Malaysians use the Hargapedia app to compare prices for groceries, health and beauty products, electronics, and to check the best offline and online deals, whether from supermarkets or e-commerce platforms, and to collect vouchers for maximum savings. Hargapedia is a money-saving app for shopping for all families of different household incomes.

The Hargapedia app is popular among Malaysians during the Raya preparation for finding the best price of groceries and browsing through retailer promotions. The app emphasises convenience and helps users to monitor prices and stock up when the prices are right. E-commerce platforms like Lazada and Shopee conduct sales twice a month, and supermarkets offer weekend and bi-weekly/weekly promotions depending on the frequency of updates on social media, newspapers, and brochures. 

To take advantage of these deals, Malaysians should use the Hargapedia app to monitor prices and buy when the prices hit the “good spot”. With the app, Malaysians can easily save 30% or more on daily essentials due to discounts. The price table below shows the difference between Promo Price vs Normal Price on 80 Raya related items.

This indicates that promotions happen frequently, as many retailers aggressively promote to attract shoppers to buy more on promotion, which can easily result in savings of 30% or more. Additionally, Hargapedia interviewed users who used to go to different stores to survey prices but now find it more efficient to use the app. The app saves time and petrol, making it a money-saving solution.

In conclusion, it is more important than ever to become a smart consumer. By taking a little extra time and effort to find the best deals, compare prices, and collect vouchers, we can maximise our savings. That’s why we highly recommend downloading Hargapedia, a convenient app that can help you monitor prices and take advantage of promotions which can easily help Malaysians save 30% or more. Don’t wait any longer, start saving today.