The Federal Trade Commission (FTC) is investigating Instacart over its AI-driven pricing tools, which reportedly charge shoppers differing prices for identical items. A study by Consumer Reports, Groundwork Collaborative, and More Perfect Union revealed price variations could cost households an additional $1,200 annually while shopping on Instacart. The investigation found that up to 75% of surveyed items varied by 23% in price among shoppers. Instacart claims that its pricing strategies are controlled by retail partners and that its practices do not involve dynamic or surveillance pricing. Instead, they utilize A/B testing to fine-tune pricing strategies. The FTC has issued a civil investigative demand related to Instacart’s Eversight pricing tool, which aims to enhance retailer revenue by 1% to 3%. The growing concern over such AI applications raises potential repercussions for consumer pricing across various sectors as companies increasingly implement similar tools. Instacart’s parent company, Maplebear, has seen stock declines amid this scrutiny.
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