The Seattle City Council is set to vote Tuesday, Sept. 22, on legislation aimed at preventing large grocery companies from using customers’ personal data to set individualized prices and discounts.
The proposal, introduced by Mayor Katie Wilson and Councilmember Alexis Mercedes Rinck, would prohibit “surveillance pricing.” This is the use of algorithmic or automated systems to analyze information such as location, browsing history, demographics, estimated income, and shopping behavior to determine what individual customers would be willing to pay for items.
The ordinance would apply to grocery companies with more than 20 locations worldwide, as well as major delivery platforms and retailers such as Instacart, Amazon, Target and Costco. Small grocers, convenience stores and businesses with fewer than 20 locations would be exempt. The restrictions would cover groceries, diapers, hygiene products, and over-the-counter medications.
The practice of individualized pricing already exists in the world of online shopping. Supporters of the legislation warn of its imminent arrival at brick-and-mortar stores, pointing to the growing use of electronic shelf labels, which allow stores to change prices instantly. Under the proposal, prices for the same product could not vary between customers based on their personal information.
Concerns about individualized pricing have grown as retailers increasingly use data and algorithms to estimate consumers’ willingness to pay. A 2025 Consumer Reports study found that identical virtual Instacart baskets from a Seattle Safeway ranged in total price from $114 to $124. The researchers estimated that similar differences could potentially add up to $1,200 annually for a family of four.
Seattle’s proposal follows a failed statewide bill and similar laws enacted in Maryland, New Jersey and Connecticut. Portland and New York City are also considering related measures.
The Seattle ordinance would additionally require discounts to be based on equal criteria. Targeted discounts (such as for seniors or veterans) could remain, provided everyone meeting the criteria receives them.
Got questions or concerns about surveillance pricing or the proposed legislation? The mayor’s Community Relations team will host a Reddit AMA on Monday, Sept. 21, from 5–7 p.m. to discuss the proposal and public participation.
