Nova Scotia Loyal study reveals points programs were not tested

HALIFAX – The Houston government’s Nova Scotia Loyal program took three years and $6 million to develop, but it’s unclear if it will actually incentivize Nova Scotians to buy local products.

Under the Freedom of Information Act, the NSNDP obtained a 2022 report testing different incentive options for the program. Offering extra reward points was not tested during the research phase.

“This report was commissioned by the Houston government using public money, yet it didn’t even study the incentive program that was eventually settled on,” said NSNDP leader Claudia Chender. “We know that Nova Scotians want to buy local and support Nova Scotia farmers, but right now this rewards program does little to incentivize them to do that.”

The 2022 report found that offering a monetary incentive – such as a gift card with the purchase of local products – was by far the most effective way to influence consumers.

It also found that customers were more receptive to incentives offered in independent stores, compared to Sobeys. During the testing phase, Sobeys was the only big box store that was studied.

After a cabinet meeting last week, Premier Tim Houston told reporters he decided to go with a points system because research found that most Nova Scotians used an existing points program. In fact, while the report contained a survey about the usage of points programs, it did not study their impact on consumer behaviour. This survey also found the most popular points program was Optimum, which is not part of the Nova Scotia Loyal program.

Nova Scotia Loyal will offer shoppers Scene+ points and Air Miles on the purchase of local products at Sobeys and NSLC. The promotion is only available one week per month.

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