A new study finds that half of U.S. dynamic pricing changes tracked in 2025 were decreases, challenging the assumption that algorithmic pricing only raises prices for consumers.
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01Summary
- 01Decodo tracked price changes across electronics, clothing and home improvement supplies in 2025 and found about half were decreases.
- 02Walmart CEO John Furner said digital price tags save workers' time and are not used to raise prices based on weather, time of day or individual shoppers.
- 03Lawmakers in at least 30 states have considered pricing bills in 2025, including measures on algorithmic and personalised pricing.
- 04The FTC has proposed an enforcement policy warning that failing to disclose use of personal data for personalised pricing could breach consumer protection law.
- 05Target agreed to a $5 million settlement and a ban on using geofencing technology to increase prices after a California lawsuit.
02Why it matters
This matters because it shows that while consumers fear dynamic pricing will only push costs higher, the reality is more nuanced, and lawmakers are increasingly stepping in to regulate how companies use personal data and algorithms to set prices.
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