FTC Orders Major Consumer Firms to Provide Information on Pricing Practices

By Andy Owen

On Wednesday, the Federal Trade Commission (FTC) announced that it is ordering nine major airlines, ride-sharing companies and food-delivery firms to provide detailed information that will allow the agency to study the use of personal data to set prices and compensation. The inquiry is a demonstration of federal regulators' increasing interest in digital pricing technologies and their direct impacts on consumers and prices for a range of goods and services.

“We expect that digital pricing is going to be an issue at the federal level for retailers in the coming months and years,” said Doug Kantor, NACS’ senior vice president of government relations and general counsel. “We have already seen some states enact new laws related to digital pricing technologies, and we expect proposals for additional such laws to surface during the state legislative sessions that will begin in early 2027.”

In FTC’s announcement, Chairman Andrew N. Ferguson outlined the agency’s concerns:

“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,” he said. “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.”

“One of our top concerns as an industry is discounting. Overly broad pricing policies could put retailers’ ability to discount at risk,” said Kantor. “Customers love discounts and loyalty rewards programs, and we want to ensure that retailers can continue to offer them.”

NACS has been monitoring the issue of digital pricing technology as policymakers’ scrutiny has grown in recent years. In September, NACS submitted comments on the FTC’s Proposed Enforcement Policy Statement Regarding Personalized Pricing. In the comments, NACS emphasized “the many ways that reward, promotional and other common discount programs benefit consumers and retailers alike.”

“Businesses competing for customers by offering them a discount is a good thing,” said NACS Director of Regulatory and Policy Brennan Duckett in September. “The FTC should celebrate discounts, not try to chill them. People are worried about how they can afford the things they need right now, and the FTC should take care not to make that problem worse.”

Digital pricing will be a priority issue for NACS in the foreseeable future, and NACS members can expect further updates as we continue to advocate for the retail industry’s needs.

You can review FTC's announcement here and a full copy of the FTC's orders here.