Participants in the Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps, are not allowed to directly convert their benefits to cash – according to the USDA, “benefits may only be used to purchase eligible food items at authorized retail food stores.”
But there’s nothing saying that those receiving government food benefits can’t accept a little cash back for their grocery purchases, if they’re savvy about seeking out savings.
The loyalty and promotions company Snipp Interactive has announced a partnership with Benny, an app that helps SNAP recipients manage their benefits and earn rewards. Snipp will provide item-level digital cash back offers to Benny users, “enabling them to stretch their grocery budgets further while enjoying added value on everyday purchases,” Snipp explained.
SNAP users are already able to activate cash back grocery offers on third-party apps like Ibotta. And Benny users can earn cash back in the form of a percentage of their total purchase price, for shopping at certain stores. The Snipp-Benny partnership will allow users to receive targeted, personalized offers for specific products, on an app they already use to keep track of their benefits.
Snipp already provides cash back in the form of card-linked offers available to users of credit and debit cards offered by Snipp partners. The new partnership will give Benny access to those same offers.
“By working with Snipp, we can bring more value-driven incentives to our members and help them make the most of their purchases,” Benny CEO Rishi Ahuja said in a statement. “This partnership represents a significant step forward in our mission to support households in need.”
The partnership is similar to one announced several years ago, when Quotient Technology teamed up with the SNAP benefits manager Propel to offer its digital coupons on Propel’s platform. But those were coupons that would lower the amount of money a SNAP user owed at the register. Snipp’s offers provide a little extra cash that can go directly into SNAP users’ pockets.
No matter the precise form of the offer, if either partnership gets SNAP recipients into the habit of seeking out and taking advantage of additional savings, that’s something advocates are likely to support. Several recent studies have pointed out that SNAP recipients tend not to use as many coupons as you might think, even though doing so would help stretch their benefits.
A measure in New York state, first introduced last year and recently revived in the current legislative session, would mandate that all grocery stores in the state apply all available coupons to eligible purchases made by SNAP recipients. “We are hoping to help those who use SNAP benefits, especially during times of food insecurities,” a legislative assistant to the bill’s sponsor told Coupons in the News.
So the Snipp and Quotient initiatives, and the New York legislative initiative, represent two different approaches to the same problem – how to get SNAP recipients to take advantage of available discounts that would make their benefits go further? Some New York lawmakers want to put the onus on retailers. The new Snipp-Benny partnership would place more savings at SNAP recipients’ own fingertips. And by making them easier to find, the hope is that those who most need to save money on their groceries, will find it easier than ever to do so.
Image source: Snipp Interactive
