A coalition of New Jersey business groups, including the New Jersey Business and Industry Association, warned on May 7 that proposed legislation aimed at restricting ‘surveillance pricing’ could also threaten personalized discounts, loyalty rewards, and promotions that many shoppers use.
The group said the bills (A-4086/S-3612) are intended to ban surveillance pricing—the practice of using consumer data to secretly raise prices for certain individuals—but may be written so broadly that they would eliminate consumer-driven incentives. The coalition argued there is a difference between predatory pricing and rewards based on shopper preferences, such as sending coupons for baby wipes to customers who have previously used diaper or formula coupons.
According to the New Jersey Food Council, transparency, consumer choice, and impact are central issues in this debate. “Personalized incentives are visible to, chosen by, and beneficial to the consumer,” the Food Council said. In contrast, surveillance pricing involves hidden price changes with no choice for consumers and often results in higher costs.
Linda Doherty, president & CEO of the New Jersey Food Council said: “Modern pricing tools enhance the coupons, loyalty rewards, and personalized deals that millions of New Jerseyans rely on every day to stretch their household budgets. Protecting these tools truly matters for families, students, seniors, and shoppers on fixed incomes.”
Michele Siekerka—president & CEO of the New Jersey Business and Industry Association—said: “Instead of a generic coupon that may never apply to anything in a shopper’s cart, customers get personalized deals on the products they already buy.” The association serves as the nation’s largest statewide employer group representing private-sector employers throughout New Jersey while advancing competitive excellence among its members according to its official website.
The bills also address electronic shelf labels replacing paper tags in stores. Leslie G. Sarasin—president & CEO of FMI – The Food Industry Association—said: “Electronic shelf labels help grocers deliver accurate, transparent pricing while reducing material waste and improving the shopping experience…these systems are not used for surge pricing or to track customers—they simply ensure prices are consistent between the shelf and point-of-sale.” John Holub from the New Jersey Retail Merchants Association added: “Electronic shelf labels should not be conflated with surveillance. They’re a better, smarter price tag — full stop.”
Anthony Russo from Commerce and Industry Association of New Jersey stated: “Today’s shoppers have built their household budgets around these custom savings tools.What has changed is the delivery,” adding that technology has made discounts faster and more personal. Eric Blomgren from New Jersey Energy Marketers Group said: “Restricting these pricing tools would not produce fairer outcomes for consumers — it would produce fewer options and higher prices…Without data-driven pricing,businesses lose the ability to offer products at different price points. The likely result is one price for everyone: the highest one.”
The coalition includes organizations such as Chamber of Commerce Southern New Jersey; Consumer Brands Association; National Grocers Association; NFIB – National Federation of Independent Business; along with several others.
