SINGAPORE: Consumers will soon have more clarity when shopping for groceries in Singapore as major supermarket chains join a new initiative to display unit prices for selected products. According to the latest Singapore Business Review report, this pilot programme, which aims to enhance transparency and promote smarter shopping, will launch later this year.
Empowering consumers to make smarter choices
In a bid to provide clearer pricing information and help consumers make better-informed purchasing decisions, several of Singapore’s largest supermarket chains, including NTUC FairPrice, Cold Storage, Giant, Sheng Siong, and Prime Supermarket, are set to introduce unit pricing. This move will see unit prices — such as cost per kilogram or per litre — displayed alongside the regular selling price for selected grocery items across various outlets on the island.
The pilot programme, spearheaded by the Consumers Association of Singapore (CASE) and the Competition and Consumer Commission of Singapore (CCCS), targets everyday grocery items, with key categories including rice, meat, eggs, cooking oils, fruits, and vegetables. By providing clearer comparisons between different brands and packaging sizes, the initiative aims to boost price transparency for consumers.
Tackling price confusion and ‘shrinkflation’
The initiative comes at a time when many consumers are grappling with rising food prices and shrinking product sizes — a phenomenon known as ‘shrinkflation’. CASE president Melvin Yong emphasised the importance of unit pricing in helping shoppers “see through pricing gimmicks quickly and easily”. Unit pricing can reveal hidden costs and encourage fairer competition among brands, ensuring that customers are getting the best value for their money.
“Unit pricing is a useful tool to address shrinkflation,” Yong added, highlighting how this simple approach can prevent businesses from reducing product sizes while keeping prices unchanged. With this new initiative, consumers will be able to evaluate whether they are truly getting their money’s worth.
Gaining insights to improve the system
During the pilot phase, CCCS will conduct a market survey to gather valuable consumer feedback on the clarity and usefulness of the unit price displays. These insights will play a crucial role in refining the system before it’s expanded to more products and outlets. Alvin Koh, CEO of CCCS, explained that the ultimate goal is to empower consumers to make better purchasing decisions while encouraging businesses to offer better value.
As supermarket chains expressed their support for the initiative, FairPrice Group CEO Vipul Chawla stated that the pilot would help customers make informed choices and get more value for their money. Sheng Siong CEO Lim Hock Chee echoed this sentiment, noting that unit pricing promotes transparency and helps customers make their dollars go further.
This innovative move is set to revolutionise the shopping experience for Singaporeans, making it easier for consumers to navigate price differences and make choices that align with their budget.