FTC probes personalized pricing at Walmart, Target, Uber and DoorDash 

Walmart customer
The orders were issued to nine companies including Walmart. (Source: Walmart )

Walmart, Target, Uber, DoorDash, and several other companies have been ordered to provide information to the Federal Trade Commission (FTC) as part of a study into how personal data is used to set prices and compensation.

The orders were issued to nine companies including Delta, United, JetBlue, Lyft, Uber, DoorDash, Instacart, Target and Walmart. 

Each company is required to turn over information that will allow the FTC to assess whether the pricing for a ticket, ride share, food delivery or other product or service varies between customers based on factors such as participation in loyalty programs or analysis of personal data.

The agency will also look into whether the companies pay their workers shifting compensation offers based on opaque formulas.  

“We intend to scrutinize the opaque methodology that some companies in these industries may be using to determine how much consumers pay or how much gig workers are paid for the same product or service,” said FTC chairman Andrew Ferguson. 

“Consumers deserve to know whether companies use their web surfing habits or other personal data to estimate the highest price they can charge each consumer. Workers also deserve to know if their compensation is affected by how companies use their personal data.”  

If a company fails to turn over the required information, the Commission has the power to compel compliance in federal court. 

In August, the agency invited public comment on a proposed enforcement policy statement describing how the undisclosed use of personal information to set a price unique to a consumer could violate the FTC Act.   

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