Instacart has ceased using AI to experiment with variable pricing for the same items after reports revealed customers were paying different prices for identical products, with some experiencing up to 23% higher costs. The company acknowledged the issue and stated that shoppers will now see consistent prices for the same items within the same store, although prices may still vary across different stores. The pricing experiments, part of a revenue-maximization strategy involving AI, were criticized for potentially costing consumers up to $1,200 annually, leading Instacart to halt the practice.
The Federal Trade Commission has filed a lawsuit against Southern Glazer's Wine and Spirits, the largest U.S. distributor of wine and spirits, accusing it of illegal price discrimination. The FTC claims that Southern Glazer's offered significantly better prices to large chains like Costco and Kroger compared to smaller businesses, violating the Robinson-Patman Act. This alleged practice has reportedly harmed smaller retailers' ability to compete, leading to fewer choices and higher prices for consumers. The lawsuit aims to restore fair competition and enforce the law.
The Federal Trade Commission (FTC) has filed a lawsuit against Southern Glazer's Wine and Spirits, the largest U.S. distributor of wine and spirits, for allegedly violating the Robinson-Patman Act by engaging in illegal price discrimination. The FTC claims Southern Glazer's charged small, independent retailers significantly higher prices than large chains, harming competition and consumer choice. The lawsuit seeks to ensure fair pricing practices and restore competitive balance in the market, benefiting consumers with more choices and potentially lower prices.
