Instacart has officially discontinued its “item price tests” for retailers amid public criticism and scrutiny from federal regulators regarding its pricing practices. The decision follows reports from consumer advocacy groups revealing significant price variances—up to 23%—for identical items purchased by different customers at the same store. These inconsistencies were linked to Instacart’s use of Eversight AI technology for dynamic pricing. The Federal Trade Commission (FTC) also initiated an investigative demand concerning these practices, reflecting concerns over misleading tactics that included automatic subscription enrollments and unclear service fees. While retailers will retain control over their pricing strategies on the platform, Instacart aims to align online prices with in-store prices, ensuring customer transparency. In a statement, Instacart acknowledged consumer feedback, emphasizing the need for clarity in pricing as families seek to manage their grocery budgets effectively. The company has not admitted or denied allegations laid out by the FTC in related lawsuits.
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