Restaurants 'Reducing Food' Instead of Raising Prices... Consumer Reactions Vary

Restaurant District Faces 'Shrinkflation' Trend
Portion Sizes Reduced Except Side Dishes
Consumer Reactions Mixed

On the 22nd, a business owner is updating the menu with increased prices at a restaurant in downtown Seoul, where self-employed individuals are struggling due to soaring inflation. Photo by Mun Ho-nam munonam@

[Asia Economy Intern Reporter Seohee Lee] Jae-ran Park (52), who runs a Sundaeguk (Korean blood sausage soup) restaurant in Euljiro, Seoul, recently reduced the number of side dishes provided to customers. Previously, six types of side dishes were offered, including stir-fried zucchini, braised soybeans, dried shredded squid, rolled omelet, stir-fried squid, and fresh kimchi, but she removed the stir-fried zucchini, cutting the number down to five. Additionally, she halved the portions of all side dishes and changed the operation method to provide extra servings only upon customer request.

Park said, “Considering the rising cost of ingredients, it would be appropriate to raise food prices, but taking into account customer backlash, I found a somewhat realistic solution,” adding, “If I don’t do this, I can’t continue the business, so I have no choice.”

As food ingredient prices rise, more restaurants are reducing either the variety or the quantity of basic side dishes. Instead of raising prices, they are maintaining prices but reducing product size or quantity to preserve profits, a phenomenon known as ‘shrinkflation’ (shrink + inflation), which has become a new trend. Shrinkflation is essentially an indirect price increase, but it is harder for consumers to notice and faces less resistance compared to direct price hikes.

This shrinkflation trend reflects the long-standing concerns of those in the dining industry. In a situation where all consumer prices are rising sharply, restaurant owners fear that raising food prices will further strain customers’ tight budgets and, in the worst case, cause them to lose customers. Therefore, they believe that reducing food portions to save on ingredient costs is the best option rather than raising prices.

Ki-hwan Lee (43, pseudonym), who runs a pork belly restaurant in Myeongdong, Seoul, said, “We recently decided to reduce the portion size of pork belly from 160g per serving instead of raising the price by 2,000 won per serving,” adding, “Customers react sensitively to price increases but are relatively indifferent to portion size reductions, so this was the best choice for us.”

However, some consumers express dissatisfaction, saying this shrinkflation trend is nothing more than a ‘deception’ targeting customers. Except for foods like pork belly, where exact weights must be indicated on the menu, most restaurants do not disclose food portion sizes to consumers. Therefore, even if owners secretly reduce food portions, consumers have no proper way to know or respond.

In fact, consumer reactions are mixed. Seung-jin Moon (29), an office worker living in Jung-gu, Seoul, said, “I recently visited a favorite restaurant I’ve been going to since college, but the portion of stir-fried spicy pork wasn’t the same as before,” adding, “It was disappointing, but I understood that the owner had no choice if they wanted to keep the business going.” On the other hand, Yoon-ah Cho (23), a university student in Seoul, said, “I understand the owners’ situation, but as a consumer, I feel somewhat deceived,” adding, “Wouldn’t it be better to honestly raise food prices and inform consumers accordingly?”

This content was produced with the assistance of AI translation services.