Grocery stores Kroger and Safeway are using information gathered from their loyalty card programs to decide who to give a discount to on items in the store. They are creating specific prices based on specific shopping habits of each customer, according to a New York Times article. Welcome to the world of individualized coupons!
From the article:
Hoping to improve razor-thin profit margins, they are creating specific offers and prices, based on shoppers’ behaviors, that could encourage them to spend more: a bigger box of Tide and bologna if the retailer’s data suggests a shopper has a large family, for example (and expensive bologna if the data indicates the shopper is not greatly price-conscious).
I’m not in love with this idea. I think that if bottled water is on sale for one person it should be on sale for another. Also, I worry that certain groups of people could be charged more overall by stores.
Let me know what you think! I could be over thinking this, but I like equal pricing for all. I’m one of those people who hates that it’s hard for certain groups to get the best deal on cars. Would this information make you more likely to use or NOT use loyalty card programs?