Apr 12, 2017 – from Social Intelligence

A Special Price Just for You

Coupon code on phoneLast week, President Trump signed legislation killing Internet privacy rules that would have forced ISPs to gain affirmative consent before sharing consumer data. The move puts more personal information than ever in the hands of businesses—enabling retailers not just to differentially market their goods and services but to differentially price them as well.

Enter “personalized pricing,” a business method used by information-rich retailers to maximize revenue. Personalized pricing is today being practiced on an unprecedented scale—thanks to the proliferation of personal data, the refinement of Big Data algorithms, and the widespread decline in the competitiveness of retail markets. Yet this is happening without the knowledge of the general public, whose generally negative opinion of the prac­tice (especially among Boomers and Millennials) has yet to be heard.

The passage of the ISP-favoring legislation is the latest watershed moment for personalized pricing. As we’ve mentioned before (see: “Merchants Buy Into Person­alized Pricing”), retailers…

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