On August 19, 2026, the Federal Trade Commission announced that it was seeking public comment on a proposed enforcement policy statement that signals its intent to aggressively combat deceptive and unfair personalized pricing practices under Section 5 of the FTC Act, which has long been applied to protect consumers’ data privacy. Once the statement is published in the Federal Register, the public will have 30 days to submit their comments electronically.
In the statement, the Commission expressed concern that modern data collection capabilities allow businesses to set individualized prices based on consumers’ personal data—including estimates of how much a person is willing to pay or whether they are likely to comparison shop—running contrary to consumers’ reasonable expectations that posted prices are uniform. While acknowledging that Congress has not granted the FTC authority to ban personalized pricing outright, the Commission made clear that it will pursue enforcement actions against companies that fail to adequately disclose that prices are personalized, the basis for that personalization, and the types of data used.
The statement highlights the importance of public awareness, noting that consumers who are unaware of personalized pricing cannot take steps to avoid higher prices, such as using private browsing, choosing a different retailer, or declining a transaction. The FTC also provides several illustrative scenarios that would raise Section 5 concerns, such as a food delivery company charging more based on data suggesting a consumer cannot easily leave home, a grocery chain raising prices based on household composition, a hotel increasing rates for a traveler attending a funeral, and a rideshare company charging more when a user lacks competitor apps on their phone. It also warns that businesses’ collection or use of personal data for pricing purposes without making adequate disclosures or obtaining consumer consent may also violate Section 5.
FTC Press Release | FTC’s Proposed Enforcement Policy Statement Regarding Personalized Pricing