WASHINGTON, D.C. — Today, EPIC and Consumer Federation of America published a resource highlighting how personal data affects pricing in the modern economy. The explainer guide defines key terms relevant to data-driven pricing practices, breaks down how surveillance pricing actually works, and compiles real-world examples of predatory pricing practices. 

Policymakers at the local, state, and federal levels are increasingly working to combat surveillance pricing and other predatory pricing practices. Maryland, Connecticut, and New Jersey have all enacted laws banning surveillance pricing so far this year, building upon a New York law from last year that required companies to disclose to consumers if they use surveillance pricing practices. Just yesterday, the Federal Trade Commission announced it will similarly require companies to disclose their use of surveillance pricing tactics to consumers.

This resource gives the people working to address these data-driven pricing practices a common vocabulary and understanding of the problem, which will help create more effective solutions. 

“We are excited to share this resource that provides clear definitions and concrete examples of harmful data-driven pricing practices,” said EPIC Counsel Tom McBrien. “We are seeing a nationwide, bipartisan movement to combat surveillance pricing and other harmful pricing practices, and this issue paper will contribute to effective regulation of these practices by helping advocates, journalists, policymakers, and regulators develop a shared understanding and terminology."

“We know corporations across the economy are using surveillance to hike our prices, but they’re also using confusing terms to describe those practices in order to evade accountability,” said Emily Peterson-Cassin, director of competition and market fairness at CFA. “In the midst of an affordability crisis, consumers are demanding fair prices. Regulators cannot protect consumers unless they understand how algorithmic pricing actually works.”  

Read the explainer here. 

Learn more about EPIC’s work on surveillance pricing here and about CFA’s work here.

Please contact press@epic.org or epetersoncassin@consumerfed.org with questions or requests for comment.  

ABOUT EPIC

The Electronic Privacy Information Center (EPIC) was established in 1994 to protect privacy, freedom of expression, and democratic values in the information age. Our mission is to secure the fundamental right to privacy in the digital age for all people through advocacy, research, and litigation.

ABOUT CFA

The Consumer Federation of America (CFA) is an association of non-profit consumer organizations that was established in 1968 to advance the consumer interest.