The practice of surveillance pricing has raised alarms with the FTC, which has ordered multiple companies to provide information on their use of AI and consumer data.
Surveillance pricing involves setting prices based on a shopper's personal data, such as browsing history, rather than traditional supply and demand dynamics.
As retail media networks grow, marketers are increasingly eager to utilize first-party data, prompting scrutiny over how this data informs pricing strategies.
Retailers now have unprecedented access to consumer data, including demographics and location, allowing them to tailor pricing more granularly than ever before.
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