The Federal Trade Commission (FTC) has announced its intention to gather public comments on an enforcement policy statement concerning personalized pricing. This pricing strategy involves using personal data to determine prices based on what a company believes a consumer is willing to pay.

FTC Chairman Andrew Ferguson emphasized that consumers expect to see the same price for a product or service, rather than a price influenced by their personal data. While the FTC cannot outright ban personalized pricing, businesses that do not disclose how personal data affects pricing may violate the FTC Act and other applicable laws.

This initiative is part of a broader effort by the Commission to combat misleading practices, such as hidden fees and surprise charges, particularly under the leadership of President Donald Trump. The statement highlights that consumers anticipate price fluctuations based on market conditions, not their online behavior.

Retailers that imply a static price while actually varying it based on individual data risk misleading their customers. The statement also warns that undisclosed use of personal data for pricing could be deemed unfair or deceptive under the FTC Act.

Once the statement is published in the Federal Register, the public will have a 30-day window to submit their comments electronically. The Commission's vote to authorize this notice was unanimous at 2-0.