NYC surveillance pricing ban passes 44-5, with a $1,000 fine

What is surveillance pricing?

It means charging different people different prices for an identical product or service, based on what a company knows about them. The bill names browsing habits, shopping behaviour, demographics and social media activity. Menin told a crowd at City Hall that two people shopping for the same item at the same time could be shown different prices because of that data. She called it unfair to consumers.

The worry is that digital tracking and customer profiling could let a business estimate how much each shopper is willing to pay.

Which companies are affected, and what is the penalty?

The bill does not name targets, but Uber, Lyft, Target, Instacart and airlines have all faced criticism over claims of surveillance pricing. Several companies have denied doing it.

Companies that break the new rules could face a $1,000 fine, according to the bill. There are exceptions. Businesses can still offer eligible promotional prices through transparent loyalty programmes, and some discounts remain allowed.

The city says the aim is to set limits on data-driven price discrimination as more companies use algorithms and digital data to tailor what they charge.