> This is something Lyft and Uber do, but it's not really possible in retail.
It is possible for retail. For example, you can simply not display the price. You can display a price range. You can use EInk displays which auto-update based on who's approaching the item.
And of course it's infinitely possible in an online store.
One example of how this is being employed is McDonalds trying to push everyone to use the app. They'll give lower prices in app while raising prices on the menu giving a "not using app" tax. That enables them to have flexible per user prices within the app. A store could do the same thing.
How would that work? The barcode on the item doesn't get rewritten, the checkout counter can't distinguish who picked up which exact item. Even if they did assign unique barcodes to each item, what happens if you take the item off the shelf, and put it in someone else's cart? They'd be charged the wrong price for the item.
> the checkout counter can't distinguish who picked up which exact item.
Sure it can, cameras and facial recognition.
Identify a person when they enter the store. Track them with overhead cameras as they move throughout the store. Set the price for the individual when they get to checkout. It barely requires any extra infrastructure in most stores.
You don't need a unique barcode per item, you simply need to be able to identify the person purchasing the item at checkout.
Barcodes today don't contain price information (except for meat AFAIK. But then you'd mostly just need to change it to be weight instead of price).
The way McDonald's does this that they essentially offer discounts that you can only get by using the mobile app, and the mobile app can dynamically price your cart however they wish. All they (or any other business) has to do is to increase their non-mobile prices to squeeze out non-identifiable shopping.
The store could make it mandatory to swipe your fidelity care before calculating your prices. They already do something similar with specialized promotions.
If we're including promotions or membership discounts, then coupons fit this definition of price discrimination. And those have existed since the 90s at least.
The problems show up when different people don't have access to the same coupons published by the store. Most coupons are fine.
They haven't had the ability to do the significantly bad kinds of targeting until recently. This is a new problem even if it's similar to old practices at the surface level.
Your plan fails in a few ways.
Refreshing the content on an electronic shelf label (ESL) takes about 30 seconds, and multiple people can view a product simultaneously. Unless the store is giving everyone AR glasses, people will notice the price discrepancy.
This assumes you have sufficient data to actually recognize a shopper such as facial ID or some form of iBeacon for every single product for which you wish to implement price discrimination. Basic ESLs cost $3 to $12, depending on size and use very little energy. Adding a camera means more energy, so a bigger battery and more cost.
Using in-app discounts is the most likely way to implement this, which I am okay with. Shoppers are willingly trading their data privacy for a discount.
> Refreshing the content on an electronic shelf label (ESL) takes about 30 seconds
Today's, yes, but that's really not a technology limit. EInk displays have much faster refresh rates. The main limitation is the communication, but that's a solvable problem with a smart enough networking mesh.
> multiple people can view a product simultaneously
You track the people's position. If multiple people are crowded around the same product then you can pick a price for both customers. Might not work well for crowded stores, but in that case you probably can just maximize the prices anyways as a lot of people are currently shopping.
> This assumes you have sufficient data to actually recognize a shopper such as facial ID or some form of iBeacon for every single product.
No, you just need 1 customer ID on entrance to the store. Everything else can be done by tracking their position with overhead cameras. You don't need to put a camera on every product.
I think viewing it at as a discount is framing it wrong. It’s more a fee for not using the app, and if you use the app you’ll get charged the highest price McDonald’s has decided you will pay.
Should this be legal is a question you could argue both ways, but in my opinion society will be worse off with per customer pricing.
> Using in-app discounts is the most likely way to implement this, which I am okay with. Shoppers are willingly trading their data privacy for a discount.
I'm not OK with this. Simple reason, it leaves the wide masses with no other option than to sell their data to survive.
> Using in-app discounts is the most likely way to implement this, which I am okay with. Shoppers are willingly trading their data privacy for a discount.
Your mistake is assuming it's a discount, when it's not. For example, Safeway near me charges exorbitant prices for goods which are anywhere from 30-50% lower in the app. What they're doing is the same as your average dark pattern, you're only getting the real price using the app otherwise they charge a no-app fee. And even then you can't tell what the real price is supposed to be, because the app will tailor discounts to your shopping behavior.
Shoppers can and have noticed the price discrepancy [1] which is why this legislation is happening in the first place. If the price isn't the price then the whole basis of capitalism and consumer choice falls apart because there's no way to make a proper determination if Store A is cheaper than Store B.
[1] https://www.consumerreports.org/money/questionable-business-...
part of the reason I don't go there anymore. I noticed recently taco bell in my area no longer asks about their app, just takes my order.
I think McDonalds dynamic pricing is great. Every time I checkout the app there is some crazy deal. Sure its not always something I want but I'm not necessarily competing w/ the other items on the menu. If there's no deal on something I want, I check BK or similar chains.