The practice of retailers changing prices based on consumer data is known by several names—surveillance pricing, dynamic pricing, personalized pricing—and is potentially on its way to being governed by a patchwork of laws. Concerns over the practice have been brewing for several years. Lawmakers raised issues with dynamic pricing in 2024 amid the growing adoption of electronic shelf labels, and the FTC followed with a since-paused inquiry into surveillance pricing in January 2025. Last December, an investigation into Instacart’s AI pricing tool reignited interest in the topic. Now, legislation is starting to take shape. Last month, Maryland became the first state to ban grocers and grocery delivery services from setting their prices based on consumers’ personal data. Plus, more than 70 bills targeting surveillance pricing have been introduced this year alone, according to Bloomberg Law, with proposed new legislation in New York City, New Jersey, and California that would force retailers to reevaluate or change their pricing practices. Cost pressures have intensified scrutiny, and this new legislation “adds a little bit more teeth,” to an issue that likely isn’t going away, Kwamina Williford, partner and co-chair of the consumer protection defense and compliance team at law firm Holland & Knight, told Retail Brew. And it could pose a challenge for retail compliance as each state develops their own rules. Keep reading here.—EC |