Newfoundland and Labrador (NL) introduced Canada’s first excise tax on sugar-sweetened beverages (SSBs) in 2022. Industry marketing practices in response to SSB taxation may affect public health impacts. We examined changes in posted beverage pricing and marketing of taxable and non-taxable beverages in NL before and after the SSB tax was implemented.

Pre-/post- observational study with in-store audits of beverage prices and marketing. Changes including pricing discounts and promotions were assessed the at the individual beverage level, for years pre/post-tax implementation.

80 food stores (grocery, convenience, drug, dollar) in NL, Canada.

There was no evidence of a change in posted shelf prices between pre/post years. There was a significant increase (+2.5%, χ2=9.693, p=0.002) in proportion of discounted taxable SSBs with no change in non-taxable beverages (p=0.350). There were no significant differences in change of number of promotions for taxable SSBs (+5.2 [-0.1, 10.5], F=3.789, p=0.053) nor non-taxable beverages (+3.4 [-1.0, 7.7], F=2.268, p=0.134).

The lack of change in posted prices of taxable SSBs indicate that the NL SSB tax was not communicated at the point of decision-making. While some marketing changes post-tax were observed, results should be interpreted cautiously as they cannot be attributed definitively to the tax. Existing literature implies that industry may adapt marketing conduct to counteract beverage taxes. Such changes were limited in NL, suggesting retailers may have opted not to display the tax rather than attempt to actively counteract it. Lack of transparency surrounding the tax may neutralize intended behavioral effects.