According to an investigation by Consumer Reports’ Derek Kravitz with Groundwork Collaborative, Instacart’s (CART) AI-powered algorithmic pricing experiment appears to have priced identical products differently from one customer to the next, sometimes by as much as 23%. Such pricing experiments had occurred through the platform at several major grocery retailers in the U.S., including Alberstons (ACI), Costco (COST), Kroger (KR), Safeway, Sprouts (SFM), and Target (TGT), Kravitz says, noting that algorithmic pricing is typically invisible to consumers, who usually only see the prices and fees they’re offered.
TipRanks Cyber Monday Sale
- Claim 60% off TipRanks Premium for data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on CART:
- Cautious Outlook on Maplebear’s Growth Amid OpenAI Partnership and Product Limitations
- Morgan Stanley Explains Why Instacart Has an AI-Edge over Its Competitors
- Instacart management to meet with Citizens JMP
- Midday Fly By: Anthropic starts work on IPO, Marvell reports Q3 beat
- Instacart files lawsuit against NYC over worker pay, tipping laws, Reuters says
