SAN DIEGO (KGTV) — Digital-only discounts at grocery stores will soon be a thing of the past in the City of San Diego, with City Councilmembers unanimously approving the Grocery Pricing Transparency Ordinance on Tuesday.
This follows the ordinance's passing in March, and becomes the first of its kind in the country. It will take effect in 90 days.
“It’s good for old people like me," said Blanca Alvarado, a shopper who spoke with ABC 10News Tuesday.
Alvarado is the exact person City Councilmembers had in mind when creating the ordinance.
“We just want to make sure senior citizens and low-income individuals, who don’t have cell phones, can get the same discounts as everybody else," said Councilmember Marni von Wilbert during Tuesday's meeting.
The ordinance bans grocery stores in the city from offering deals exclusively online or in an app.
In a statement sent to ABC 10News, Nate Rose, Vice President of Communications and Public Affairs for the California Grocers Association, reacted to the the ordinance's approval.
"San Diego’s grocery community is grateful for the Council’s commitment to address our concerns about the current grocery discount ordinance. We want to thank Councilmember von Wilpert, especially, for her leadership and partnership. California is home to the highest grocery prices in the country, despite being a leading food producer. It’s essential we avoid policies that increase costs for grocers and their customers," Rose said.
Tuesday's update was also welcome news to the shoppers.
“Have you ever ran into issues to access coupons only online?” ABC 10News asked Trisha Hernandez.
“You can’t download the app," she replied. "There’s no service, or it’s not listed when you go to get it and you buy it and last minute you have to download the app. It’s a pain.”
Alvarado added, “sometimes I use whatever they have. But I read, or I go with my groceries, and ‘Oh no it’s digital.’ So I feel upset.”
Not everyone is on board, though. Some raised concerns during Tuesday's City Council meeting, like Ryan Allain from the California Retailers Association, who believes this will have the opposite desired effect.
“Many retail grocery stores with loyalty programs will be unable to comply, and will therefore, as the safest option, are unlikely to offer any discounts and coupons within the city," Allain said. "This ordinance will also push consumers to stores outside the city limits in order to access discounts and will unfortunately have an impact on sales taxes within the city.”
Justine Murray, Executive Director of Public Affairs for the San Diego Regional Chamber of Commerce, also cautioned against implementing the ordinance in its current form.
“While we do support the goal of ensuring all San Diegans have access to discounts at grocery and retail locations, we continue to grow concern regarding proposals brought forward for consideration without outreach and engagement to the business community and affected parties. We’ve heard from many of our members over the past few weeks, from local small businesses to national chains, regarding growing concerns with this ordinance, many of which may result with this businesses operating outside of the City of San Diego, offering discounts outside of the City of San Diego, which would in turn hurt San Diegans," she said.
The ordinance takes effect in 90 days, and City Councilmembers said they are open to making amendments before that happens, like removing a physical coupon requirement and clarifying enforcement guidelines so stores are not subject to unnecessary litigation.
Shoppers like Hernandez see the bottom line.
“I think that everybody should have access to coupons regardless if they’re able to access the apps or online," she said.
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