Californians are already paying more for nearly everything. Yet instead of focusing on policies that help families keep more of what they earn, Sacramento is advancing legislation that could put at risk the discounts, rewards programs, digital coupons, and personalized savings opportunities consumers voluntarily use every day.
Get the Facts
The Hidden Cost of AB 2564: Fewer Discounts for Consumers
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Californians deserve protection from unfair pricing, but they shouldn't have to give up the discounts they voluntarily signed up to receive.
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Every day, millions of consumers save money through loyalty programs, digital coupons, rewards, and exclusive offers on groceries, gas, restaurants, clothing, and other everyday purchases. These programs help families stretch their budgets and lower the cost of living.
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As currently written, AB 2564 could make it more difficult for businesses to offer the discounts and rewards consumers have chosen to receive. Faced with legal uncertainty and the risk of costly lawsuits, some companies may decide it's simply safer to scale back or eliminate certain savings programs altogether.
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We proposed reasonable amendments to clarify that the bill targets unfair price increases, not voluntary discounts or rewards. Unfortunately, the bill's author rejected them. The unintended consequence? Consumers could lose access to valuable savings programs they rely on every day - not because they wanted to, but because businesses determine the legal risk is too great.
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California can protect consumers from unfair pricing practices without taking away the discounts and rewards they value most, but AB 2564 is the wrong solution.
California Families Can't Afford to Lose More Ways to Save
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Every day, millions of Californians rely on grocery loyalty programs, digital coupons, pharmacy rewards, restaurant offers, and personalized discounts to make their paychecks go further.
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AB 2564 creates new legal hurdles for businesses that offer many of these savings programs. If businesses determine that the costs and uncertainty are too great, some may reduce or eliminate certain discounts rather than risk getting it wrong.
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At a time when Californians are already paying more for nearly everything, the last thing families need is fewer opportunities to save.
When the Rules Are Unclear, Consumers Lose
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Businesses need clear rules, not confusion, to continue offering discounts, loyalty rewards, digital coupons, and personalized offers consumers rely on every day.
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AB 2564 creates a new legal framework that many businesses believe will be difficult to navigate. For large companies, that means higher compliance costs. For many small businesses, it could mean deciding it's simply not worth the risk to continue offering certain discount programs.
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The unintended consequence could be fewer discounts, fewer choices, and fewer opportunities for California families to save.
Don't Lose the Discounts You Chose
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Many retailers and restaurants reward customer loyalty with special discounts for birthdays, anniversaries, graduations, new babies, and other life milestones. These offers are possible because consumers voluntarily choose to share basic information, such as a birth date, when joining a loyalty or rewards program.
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Under the proposed legislation, many businesses may determine that the legal risk and compliance burden are simply too great to continue offering these personalized discounts.
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The birthday coupon, anniversary reward, or special celebration offer you've come to expect could disappear. Consumers could lose meaningful savings and personalized rewards they like to receive.
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Californians have made it clear they want Sacramento to focus on lowering the cost of living, not making it harder for families to save money. AB 2564 moves California in the wrong direction.