Shoppers Want Personalized Prices. Maryland Just Said No.

Retailers keep hearing the same thing from shoppers. Make it personal. A dunnhumby report found 92% of U.S. shoppers are willing to share their data in exchange for personalization. Even more striking, 64% say they are open to personalized pricing.

Maryland is not impressed.

The state just passed the Protection from Predatory Pricing Act, banning grocers and third-party delivery platforms from using personal data to set higher prices. The law applies to retailers with 15,000 square feet or more and covers tax-exempt food items. Loyalty discounts and promos are still fine. Charging different shoppers different prices based on their data is not.

The backdrop matters. Instacart agreed to pay $60 million in refunds to settle FTC allegations tied to tactics that raised grocery costs. More than two dozen states are now weighing similar bills.

Here is the tension. Consumers say they want relevance. They trust personalized ads more than generic ones. But when personalization crosses into surveillance pricing, trust evaporates fast.

For retailers, the takeaway is clear. Personalization that feels like service wins. Personalization that feels like a hidden tax invites regulators. The line between the two just got a lot more important.