Discounts Under Scrutiny: US Regulators Warn Retailers About Food-Benefit Misuse

A new federal directive tells grocery stores not to offer certain types of discounts or promotions to customers using government food assistance benefits. The measure aims to prevent retailers from indirectly boosting SNAP (Supplemental Nutrition Assistance Program) spending through targeted deals.

This ruling places supermarkets in a difficult position. Loyalty programmes, personalised coupons, and dynamic pricing have become central to marketing strategies. Now, retailers must ensure that these tools do not inadvertently violate benefit-use rules.

For supermarket chains heavily invested in personalised digital promotions, the ruling requires a reassessment of how discounts are triggered, displayed and redeemed.

Compliance departments are responding with new systems designed to separate benefit-eligible promotions from standard marketing offers, ensuring retailers avoid costly sanctions.


7. Retailers Confront Confusion as the United States Phases Out the Penny

The discontinuation of penny production has caused significant disruption across American retail. Without the smallest coin in circulation, cash transactions now require rounding, sparking concern among both shoppers and supermarkets.

Retailers are forced to implement new rounding policies, update payment systems and retrain staff. Some consumers worry that rounding may lead to systematic overcharging, while retailers fear regulatory complaints or class-action suits.

The shift also impacts self-checkout machines, coin-recycling units and cash-drawer configurations — all of which were built around a four-coin currency model.

For supermarkets, the challenge is balancing operational efficiency with customer trust. Transparency around rounding policies will be crucial in avoiding disputes.