Marketplace Tech How "surveillance pricing" charges one online customer more than another for the same item
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Jan 20, 2026 Kristen Schwab, a Marketplace reporter, sheds light on the concept of surveillance pricing—where retailers leverage personalized data to set unique prices for each customer. She contrasts this with dynamic pricing, which is based solely on demand. The conversation dives into the history of personalized sales, raising ethical concerns about legality. Schwab also shares surprising findings from experiments at Walmart, revealing how logged-in users often face higher prices. The discussion unveils a hidden world of targeted discounts and consumer data manipulation.
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Surveillance Pricing Is Personalized Dynamic Pricing
- Retailers now use detailed personal data to set different prices for different customers, a practice called surveillance pricing.
- This personalization builds on old merchant behaviors but now operates with instant, precise digital signals.
Data Replaces Shopkeeper Guesses
- Modern retailers track actions like adding prenatal vitamins and use that signal to tailor offers instantly.
- Joseph Turow notes the practice is legal but many consumers don't realize it's happening.
Discounts Blur Who Benefits
- Retailers often offer targeted discounts like membership coupons, blurring whether price differences help or hurt consumers.
- That makes it harder for shoppers to know if they're getting the best available price.
