FTC considers requiring disclosure of personalized pricing practices

On August 19, 2026, the U.S. Federal Trade Commission (FTC) voted 2-0 to release a draft enforcement policy statement targeting undisclosed personalized pricing. The proposal warns that using personal data like browsing history and location to set individualized prices without disclosure likely violates the FTC Act's prohibition on deceptive practices. While FTC Chairman Andrew Ferguson noted the agency lacks authority to ban the practice entirely, the policy would require clear disclosures, opening a 30-day public comment period.

FTC personalized pricing disclosure proposal

• ▪On August 19, 2026, the U.S. Federal Trade Commission voted 2-0 to release a draft enforcement policy statement requiring businesses to disclose their use of personalized pricing.
• ▪The U.S. Federal Trade Commission's proposed enforcement policy statement on personalized pricing will be open for public comment for 30 days.

Surveillance pricing data collection

• ▪Instacart ended price tests in December 2025 after a study showed some shoppers saw grocery prices up to 23% higher than others browsing the same items.
• ▪Surveillance pricing uses personal data, including browsing history, location, and shopping habits, to set individualized, algorithmic prices instead of standard, market-wide pricing.
• ▪A January 2025 preliminary report by the U.S. Federal Trade Commission found that grocers and clothing companies used third-party firms to individualize online prices.

Consumer price transparency expectations

• ▪U.S. Federal Trade Commission Chairman Andrew Ferguson stated that consumers expect listed prices to be uniform rather than a retailer's estimate of their willingness to pay.
• ▪The National Retail Federation advocated for protecting customer loyalty and rewards programs, which collect personal data to provide tailored discounts and incentives.

Deceptive pricing practices prohibition

• ▪Maryland, Connecticut, and New Jersey have passed laws prohibiting personalized pricing at grocery stores, while California and New York are considering similar legislation.
• ▪On August 19, 2026, the U.S. Federal Trade Commission and Connecticut secured a proposed $4 million settlement with Manchester City Nissan over unauthorized fees.
• ▪The U.S. Federal Trade Commission warned that using personal information for personalized pricing without disclosure could violate the Federal Trade Commission Act's prohibition on deceptive practices.

FTC enforcement authority limits

• ▪U.S. Federal Trade Commission Chairman Andrew Ferguson stated that the agency lacks the legal authority to ban personalized pricing in all circumstances.
• ▪The U.S. Federal Trade Commission stated it is not taking a position on whether some personalized pricing practices are unfair even when fully disclosed.