Surveillance Pricing: The Hidden Cost of Your Personal Data
Have you ever noticed that prices seem to fluctuate depending on how and where you shop?
Maybe you’ve used Instacart or another grocery delivery app and found that the price of your favorite milk
online is higher than what you’d pay in-store. At first, these small discrepancies might seem like an
unavoidable part of online shopping. But what if I told you that businesses might be charging you more
based on who you are?
Surveillance pricing is a practice where companies use personal data—such as your age, gender, income level,
or even your location—to adjust the prices you see. Essentially, what you pay for everyday items could
depend on what retailers assume you can afford. A recent Federal Trade Commission (FTC) study revealed
how this type of pricing discrimination is becoming more common, with companies using advanced
algorithms to analyze consumer behavior and set prices accordingly.
For example, someone shopping in a lower-income neighborhood might see lower prices on essential goods,
while a shopper in a more affluent area might pay extra. Even your online shopping habits—like how often you
purchase a product or how you browse—can influence the price you’re shown.
While surveillance pricing might sound like something out of a dystopian novel, there are ways to protect yourself:
1. Clear Your Browser History: Retailers track your past purchases and browsing behavior.
Regularly clearing your cookies and history can help reduce personalized price targeting.
2. Shop in Incognito Mode: When you browse in private mode, companies have a harder time tracking
your activity, potentially preventing price manipulation.
3. Avoid Shopping on Apps: Many apps collect more personal data than websites.
Whenever possible, use a web browser instead.
The idea that two people could pay different prices for the same product based on factors they can’t control
raises ethical concerns. Should a person with a higher income be automatically charged more for the same
gallon of milk? Should companies be allowed to manipulate prices based on assumptions about your purchasing
power?
Have you ever compared prices with a friend and noticed a difference? Have you seen price shifts when
switching between an app and an in-store visit? We’d love to hear your thoughts!
Join the conversation and read more consumer insights at Queen Connect.
References:
How to avoid surveillance pricing scams that target you based on your data - CBS News
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