Behavioural pricing gains pace
The new concept of “behavioural pricing” is set to see shops charging consumers more for products they have “liked” online.
Tech start-ups are already using social media details to “tweak” prices for individuals.
“This year will mark the end of static pricing. The use of your tweets, credit score and web history in eCommerce pricing is ultimately unavoidable,” web entrepreneur Alex Gannett says.
“Online marketers have dramatically increased the amount of behavioural data they have on consumers.”
“It comes from a complex network of web histories, demographic records, loyalty programs and, increasingly, social media profiles.”
“In the last few years, behavioural data has matured, and gained widespread acceptance and usage in online advertising.”
“Start-ups like Demdex allow advertisers to access ‘databanks’ of behavioural information on users, and target advertising to them.”
While Gannet describes the change as a “consumer’s worst nightmare”, it opens up opportunities for start-ups looking to set themselves apart with a bolder pricing model.