Japan’s high standards of service face ‘shrinkflation’

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Japan’s high standards of service face ‘shrinkflation’
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Waiting for pancakes in a Yokohama fast food outlet serves up a reminder of the labour shortage crisis

email rounding up the latestLast Sunday morning, at a large suburban restaurant, the Slow Food movement oozed its languid charms on the local breakfast crowd. Unhurried table service. A 22-minute wait for pancakes. A primeval pang of appreciation when they did turn up.

The problem, as Japan cannot yet quite admit to itself, is that the necessary staff probably won’t come and the interim solution — a tactic that might best be thought of as “service shrinkflation” — cannot fool customers forever. The variable these days is Japan’s chronic labour shortage — a slow-burning crisis of demographics and hesitancy about immigration which, as examples highlight almost daily, is making its mark across the economy. Last week, in a Kyodo survey of 114 of Japan’s largest companies, 49 per cent said they were short of staff. Tokyo Shoko Research, meanwhile, reported that in the first six months of this year, bankruptcies directly caused by staff shortages were 2.

The shrinkflation deception uses visual consistency in the packaging to anchor expectations while delivering less. It also postpones for as long as possible a fundamental change of relationship with customers.

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