Consumer Watchdog Alert Shows Need to Pass New Bill on Surveillance Pricing

LOS ANGELES, Feb. 20, 2025 /PRNewswire/ -- Today Consumer Watchdog released a Consumer Alert video addressing the practice of surveillance price gouging and called on the California state legislature to ban the practice by passing AB 446.

Surveillance pricing is when customers are charged different prices for the same product based on the tracking of their personal information. For example, one person could pay more for diapers than another because a seller thinks that person wants the diapers more, based on data such as expedited shipping. 

Watch the Consumer Alert here.

During a press conference today at the State Capitol, Assemblymember Chris Ward (D-San Diego) spoke about AB 446's ban on surveillance pricing.

"It is preventing a new form of digital exploitation," said Ward, who authored the bill. 

Consumer Watchdog, along with the United Food and Commercial Workers Local 135, is sponsoring the bellwether legislation. Under the bill, companies cannot use data tied to web browsing, purchase history, race, religion, residence, sexuality, political interests, financial circumstances, or consumer behaviors in setting prices. 

As the Consumer Alert states: 

"Companies really are trying to get inside your head thanks to mountains of personal data to predict your desires and prey on your impulses. And it has nothing to do with market forces like supply and demand," said Justin Kloczko, privacy advocate at Consumer Watchdog. "It's a practice that not only infringes upon individual privacy, but also leads to unfair and discriminatory pricing." 

Fox 11 ran a segment on Super Bowl Sunday covering the issue that can be viewed here.

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SOURCE Consumer Watchdog