IRI launches IRI CPG Inflation Tracker to track price changes amid COVID-19 and beyond
New online tool expands IRI's proprietary offerings to help companies navigate the volatile CPG landscape
IRI has announced the launch of the IRI CPG Inflation Tracker on its free, online COVID-19 Data Dashboard. The new tool provides a standard metric for tracking weekly price-per-unit changes for consumer packaged goods compared to the year-ago period across departments, including fixed and random weight products, grocery aisles and retail formats. This resource allows CPG manufacturers and retailers to assess in real time the way pricing is evolving due to the supply chain and economic impacts of the pandemic and quickly adapt their strategies.
“COVID-19 is severely impacting the supply chains of products throughout the store, resulting in large pricing fluctuations across categories and shopping channels week to week,” said Dr. Krishnakumar (KK) S. Davey, president of Strategic Analytics for IRI. “Price per unit inflation can be attributed to four factors: increases in price per volume due to price increases, prices rising due to reduced price promotions, trading up to higher priced products and finally, purchasing of larger packages which cost more as consumers stay at home and consume more. For example, the price per unit of milk in multi-outlets during the past few weeks has increased 9%, made up of a roughly 5-6% increase in price per volume and a 3% higher volume per unit, compared to the same period last year. Our new inflation tracker helps CPG manufacturers and retailers react more quickly to volatile pricing trends, enabling them to ensure their products are priced appropriately and anticipate consumer reactions to further changes in price.”