Gabel Backs Affordability Bill Protecting Consumers from Hidden Price Increases

EVANSTON, Ill. — Pervasive online price targeting of consumers using big data, or “surveillance pricing,” is steadily increasing the cost of living, and state Rep. Robyn Gabel, D-Evanston, has put her support behind a new measure to crack down on the practice and make life more affordable for her community.

“The cost of living is already too high right now, and big corporations are exploiting our personal information to drive online prices higher. Modern mass data gathering can be used to target customers based on intimate details of their lives. From new parents buying priced-hiked baby food or college students paying extra for school supplies, people are being taken advantage of,” Gabel said. “Cracking down on marketplace exploitation with new transparency requirements and the option to opt out of these algorithmically adjusted prices is what’s right for Illinoisans.”

In a post-COVID world, people are spending more time and money online, which means they are sharing more personal information with private businesses. Gabel is putting her support behind House Bill 4248, or the Algorithmic Pricing Transparency Act, which requires online businesses and retailers to disclose their algorithm-based pricing practices for goods and services. Consumers will then have the option to opt out of the practice and pay a baseline price. Additionally, the bill prohibits the use of sensitive personal information, like race, religion and immigration status, to determine pricing.

“The people of Illinois deserve better than shady marketing tactics,” Gabel said. “I’ve been fighting to slash prices on essentials like prescription drugs, groceries, rent and utility bills. Putting an end to unfair price targeting in online retail is a great next step.”