Privacy Incursions to Support Price Discrimination

An anonymous reader writes "BusinessWeek has an interesting interview with academic Andrew Odlyzko about how increased corporate spying will inevitably lead to targeted pricing and how this system can be abused." The paper (pdf) makes interesting reading. Very good insights into the reasons why businesses want to get to know you.

Comments

Ad fun

[mao che minh]

It won't be long until browsing the web is like walking through the city in "Minority Report".

You stop by CNN.com, and a pop-up flashes on screen: "Hello, Mr Thompson, you look like you could use a bigger penis!"

So... does this mean

[tinrobot]

That Bill Gates will get charged $1000 for a pack of gum?

If so, I'm all for it.

Re:US Legal Ramifications To Targeted Pricing

[mopslik]

Reality comes from above. God is calling. Don't most religions have "targeted pricing" schemes of their own?

Re:US Legal Ramifications To Targeted Pricing

[jot445]

Indeed they do. In Christianity, the price is free, but TCO can run quite high... ;)

Software Piracy

[Scalli0n]

So does this mean that all those people claiming that the software they steal isn't a loss because they wouldn't buy it anyway will get to buy it for $0.01? I mean, that's accurately priced for them...

Good! Now I wont get 'weight loss pills' spam

[civilengineer]

Instead I will start getting weight gaining tips and candy advertisements

Perhaps they were aware of the Jag's reputation

[Adam Rightmann]

and figured you were a masochist who enjoyed paying large sums of money for unreliable objects.

Obligatory Monty Python Reference

[murphyslawyer]

This has indeed already been put into place in many markets. Check out this article for one example of such.

Re:Price manipulation by consumers

[bricriu]

I don't see how you could do that whilst retaining the same credit card.

While you make a valid point, I think the simple amount of junk mail I get daily offering me NEW NEW CREDITCARDS AT LOW LOW RATES! makes this a wholly moot point.

Heck, I have a different email address for everything I sign up for online, why not have a different credit card for each merchant? :)

Re:Examples of Price Discrimination

[Abm0raz]

Just do what I do ... when they tell me 'Sir, you would have saved $15 on this purchase if you had used your discount card. Would you like me to give you one now that I'll use for this purchase.' I say 'sure.' They give you a temporary one that you then you are supposed to go over to the customer service desk to fill out the forms. I let her swipe it, then throw it in the trash below the register. Never use the same card twice ... and don't forget your tinfoil hat ... otherwise they'll scan your brain and know what you bought last time and put it all together.

-Ab.

Re:Examples of Price Discrimination

[razmaspaz]

Hmm..., 1)You value your privacy 2)You shop at Upscale Markets 3)You are easily angered 4)You will pay extra to protect your privacy Thats a lot of useful information you gave away there.

Re:bbb

[tarquin_fim_bim]

"banal"

You are so right.

Karma

[Waffle Iron]

Now, corporations can get together to create a national database on all consumers. With that information, they can compute a "sucker" karma score for each person. If you have a history of making impulse buys, buying extended warranties, getting stain guard protection on your furniture purchases, frequenting shops in touristy areas, getting dealer-applied pinstriping on your cars, etc., you will have an "excellent" sucker karma.

Your sucker rating will haunt you like your credit rating. Now is the time to start being shrewd, before you build up a reputation a big fat sucker.

Re:Examples of Price Discrimination

[H0NGK0NGPH00EY]

Or, you can go with this guy's formula. Heh.