Nearly 13% of Americans use SNAP EBT benefits to buy food, and nearly 80% of SNAP redemptions are at supermarkets or superstores. Many independent grocers accept SNAP EBT in stores, but what about online? Five years ago, only eight states and four retailers (Wright’s Market, ShopRite, Amazon, and Walmart) were part of the SNAP online purchasing pilot program that originally launched in 2019. Today SNAP online purchasing has expanded to all 50 states, and independent grocers are the linchpin of this successful public-private partnership. With the help of the SNAP EBT Modernization Technical Assistance Center (SEMTAC), a cooperative grant project between USDA’s Food and Nutrition Service and the National Grocer’s Association Foundation,independents can successfully accept SNAP payments online and further level the playing field against large chain early adopters of SNAP online, while giving customers another reason to shop local. IGA CEO John Ross encourages grocers with eCommerce to start the process of accepting SNAP EBT benefits online, if they aren't already. "Once a shoppers starts using a retailer's eCommerce website, they are 10 times more likely to stay with that retailer," Ross said. Through a partnership with the USDA’s Food and Nutrition Service and the National Grocers Association Foundation, SEMTAC's team of industry experts offers free one-on-one support and other resources to grocers navigating the SNAP Online application process — from beginning to end. Keep reading for details on the onboarding process.
"A lot of IGA customers depend heavily on SNAP, so if we're not able to process SNAP dollars online, we risk permanently losing shoppers to those retailers who can."
Take the Survey
Are you a grocer authorized to accept SNAP Online, applying for authorization, or interested in learning more about the process? If so, please take SEMTAC’s five-minute survey by October 7, 2024.
Your survey responses will help improve the onboarding process for grocers like you. All results are anonymous unless you or your SNAP customers choose to share contact information.
SNAP EBT Online Onboarding
If your store does not yet accept SNAP EBT online, SEMTAC can help with that, too. You will need to go through the onboarding process, which is as follows:
1. Retailer submits LOI
Retailer sends a Letter of Intent (LOI) to the SNAP Online Purchasing mailbox (sm.fn.snaponline@usda.gov) in which they explain how they fulfill thebasic online purchasingand SNAPretailer eligibilityrequirements.
2. Food and Nutrition Service (FNS) sends notification letter
Upon receipt, if FNS has no additional questions, they will send a notification to the retailer indicating that their LOI is complete. This notification e-mail contains authorization materials that FNS requests the retailer complete.
3. FNS reviews retailer authorization materials
Retailer submits authorization materials to FNS for review.
4. FNS emails retailer welcome package
Once FNS successfully processes the authorization materials, the retailer will get a “Welcome Package” e-mail—which includes an inactive FNS Internet Retailer number, orientation materials, and instructions on next steps.
5. FNS requests business requirements document and demo
If needed, the retailer or eCommerce platform provider will be asked to submit a Business Requirements Document (BRD) and perform a website demo for FNS review. Generally, new eCommerce platform providers and retailers using their own eCommerce platform will be asked to submit a BRD and do a demo.
6. Retailer attends stakeholder kick-off call
Once steps 1 through 5, as applicable, have been completed, FNS will move into the testing phase. As part of this phase, the retailer and relevant stakeholders will be asked to attend a kick-off call to discuss testing logistics.
7. Retailer and FNS conduct separate end-to-end testing
The retailer will test their eCommerce platform to ensure it conforms to FNS requirements, and upon successful completion of this testing, FNS will then perform the same testing.
8. FNS confirms SNAP online purchasing launch details
Once testing is successfully concluded, FNS will communicate to the retailer as it relates to their plans in launching SNAP Online Purchasing (e.g.: launch date and roll-out plan).
9. Retailer launches SNAP online purchasing
Congratulations! SNAP online purchasing is now operational.
Expanding Service to More eCommerce Platforms
Retailers who already have a live SNAP online operation may want to expand their service by adding more eCommerce platforms. To start this process, the retailer should contact the FNS SNAP Online team at SM.fn.snaponline@usda.gov, indicating their intent to expand to a new/additional eCommerce platform. It is important that this notification to FNS comes from the retailer directly, and not from the eCommerce platform. However, SEMTAC can also assist if retailers have questions about expanding to additional eCommerce platforms.
For more information on expanding service, click here.
