FTC asks retailers to disclose when data shapes prices
The Federal Trade Commission wants retailers and other businesses to disclose when a shopper’s personal data helps determine the price, offer or promotion shown to that person.
The agency announced a proposed enforcement policy statement on August 19, 2026, after a 2-0 commission vote. The proposal is not a final rule, and it would not create an automatic nationwide ban on personalized pricing. Instead, it sets out the kinds of conduct the FTC may view as deceptive or unfair under Section 5 of the FTC Act and other laws the agency enforces.
What changed
The proposal was published in the Federal Register on August 18, 2026. The public-comment deadline is September 18, 2026. Consumers, businesses, advocacy groups and other interested parties can submit comments through the federal process.
The FTC says Congress has not given it authority to prohibit personalized pricing in every circumstance. Its proposed position is that undisclosed use of consumer data to shape prices or promotions could create consumer-protection problems, particularly when shoppers reasonably expect a posted price to be the same for other customers in the same market.
What the FTC means by personalized pricing
Under the proposal, personalized pricing generally involves using personal data or inferences about a consumer to help determine the price, offer or promotion presented to that consumer.
Potentially relevant information could include browsing history, location, demographic information, shopping behavior, purchase history, comparison-shopping signals and other first- or third-party data. Pricing intermediaries and data brokers may also supply or analyze information used by businesses.
The concept is different from ordinary supply-and-demand pricing, regional differences, taxes or other legally recognized reasons prices may vary. The FTC document also notes that insurance and credit prices necessarily depend on individualized characteristics because they reflect the risk of providing coverage or a loan.
The proposal does not establish that every retailer currently shows each shopper a different price.
What businesses may be expected to explain
The proposed statement says disclosures should be clear and conspicuous. They should tell consumers that a price is personalized, explain the basis for the personalization and identify the types of data used.
That could make checkout notices, loyalty-program terms and privacy disclosures more important. A discount tied to a clearly described rewards program would not automatically be prohibited. Consumers may still want to know whether a benefit is a disclosed loyalty reward or the result of a broader calculation based on personal data and inferred willingness to pay.
The proposal could also affect online promotions, targeted discounts, comparison-shopping systems and third-party vendors that help retailers set or personalize prices.
Why the FTC is focusing on data use
The proposal follows the FTC’s surveillance-pricing inquiry. In a 2025 study, the agency said pricing intermediaries may use a wide range of personal, behavioral and location information to help set individualized prices or offers.
The study included staff findings and hypothetical examples based in part on aggregated or anonymized material. It therefore illustrates the capabilities and potential risks of these systems, not proof that every business is charging every consumer differently or that universal consumer harm has been established.
What shoppers should expect next
Nothing changes automatically for shoppers on August 28, 2026. The FTC is asking for comments on a proposed enforcement position. After reviewing them, the agency could revise the statement, issue a final version, pursue enforcement under existing law or take no further action.
If the policy is adopted in its current form as an enforcement position, businesses may face greater pressure to explain when personal data influences a price or offer. The proposal does not require all consumers to receive the same price, and the FTC says it is not taking a blanket position on whether every fully disclosed personalized-pricing practice is fair or unfair.
For now, the clearest deadline is September 18, 2026, when comments on the proposal are due.
Sources
Look for updates to this story
Discover more from Interactive News
Subscribe to get the latest posts sent to your email.