FTC Warns Retailers on Undisclosed Personalized Pricing
The Federal Trade Commission issued a warning on Wednesday that retailers using personal data to set individualized prices could be in violation of federal consumer-protection law if they do not disclose the practice to customers. The announcement targets the growing use of consumer data in pricing strategies, signaling that transparency is required when businesses tailor prices based on personal information.
Key facts
- The Federal Trade Commission made the announcement on Wednesday.
- The warning applies to retailers who use personal data to set individualized prices.
- Failure to disclose the practice to customers may trigger lawsuits.
- The action is based on federal consumer-protection law.
Entities
Institutions
- Federal Trade Commission
Sources
- Quartz —