SURVEILLANCE PRICING: THE NEW CONSUMER CHALLENGE

Keywords

pricing, surveillance pricing, legislation, consumer rights, algorithmic pricing, Instacart, market manipulation, historical pricing, value of service pricing, consumer surplus

Summary

In this episode of the Venture Step podcast, Dalton Anderson explores the evolution of pricing from historical negotiation practices to modern surveillance pricing driven by AI algorithms. He discusses the implications of these changes on consumer rights, the recent Instacart scandal, and the legislative responses aimed at regulating algorithmic pricing. The conversation highlights the moral and ethical considerations surrounding pricing strategies and the potential future of pricing legislation.

Takeaways

The AI algorithm is now determining consumer pricing based on data.

Surveillance pricing can lead to manipulation of consumers.

Historical pricing was based on negotiation and transparency.

Legislation like the Interstate Commerce Act was created to protect consumers.

Instacart's pricing practices led to a significant FTC fine.

Value of service pricing was a historical method of pricing based on consumer need.

New bills are being introduced to combat algorithmic pricing.

The impact of pricing algorithms can lead to significant consumer costs.

Legislative responses are evolving in reaction to pricing scandals.

The future of pricing legislation is uncertain but necessary.

Titles

The Future of Pricing: Algorithms vs. Ethics

Surveillance Pricing: The New Consumer Challenge

Sound bites

"That's manipulation, those are quite different."

"We don't care if it's a good or a service."

"This is unchristian. We're not doing this."

Chapters

00:00 The Evolution of Pricing: From Negotiation to Algorithms

06:09 Surveillance Pricing: The New Age of Consumer Manipulation

12:55 Value of Service Pricing: A Historical Perspective

19:51 Legislative Responses to Algorithmic Pricing

28:16 The Future of Pricing: Trends and Implications

Support

https://www.congress.gov/bill/119th-congress/senate-bill/232

https://www.congress.gov/bill/119th-congress/house-bill/4640

https://www.ftc.gov/news-events/news/press-releases/2025/12/instacart-pay-60-million-consumer-refunds-settle-ftc-lawsuit-over-allegations-it-engaged-deceptive

https://www.justice.gov/opa/pr/justice-department-requires-realpage-end-sharing-competitively-sensitive-information-and

https://www.consumerreports.org/money/questionable-business-practices/instacart-ai-pricing-experiment-inflating-grocery-bills-a1142182490/