PRESS RELEASE: Councilor Eric Zimmerman Seeks Public Input on Proposal to Regulate Surveillance & Personalized Algorithmic Pricing on Retail Goods, Preserve Consumer Discount[...]

(PORTLAND, ORE.) - Councilor Eric Zimmerman is developing legislation to protect Portland consumers from surveillance-based, algorithmic pricing practices on retail goods. The proposal is aimed at preventing personalized pricing, in which businesses use personally identifiable information and algorithms to charge some customers higher prices than others for the same product.

This proposal is currently in the discovery phase and is seeking public input. Registration opens August 7 for public testimony before the Portland City Council's City Life Committee on August 11 at 2:00 p.m.

Imagine two Portlanders shopping side by side, purchasing the exact same groceries at the same store, at the same time, but paying different prices because an algorithm determined one customer could pay more.

The proposal will establish clear expectations for when and how retail prices may change, limiting the frequency of price increases, and requiring retailers that are equipped to engage in dynamic pricing to clearly disclose that to consumers.

At the same time, the proposal is designed to protect consumers without limiting common business practices that benefit customers. It will not affect discounts offered through store loyalty or rewards programs, subscription memberships, coupons, sales, and other standard discounts to attract new customers.

"Affordability is top of mind for Portlanders right now," said Councilor Eric Zimmerman. "We're already seeing surveillance pricing when we shop online, book travel, and use rideshare apps. As this practice expands, we must establish reasonable consumer protections, preserve loyalty programs and discounts, and allow retailers to remain competitive while preventing exploitative pricing practices."

Help shape this proposal. Join the Portland City Council's City Life Committee on August 11 at 2:00 p.m. and share your experiences with personalized and algorithmic pricing. Registration for public testimony begins on August 7.

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