The majority of Canadians are against algorithmic pricing, according to a new Abacus Data poll.
Conducted among nearly 2,000 Canadians earlier this month, the survey found that 52 per cent of respondents call for a ban of the practice, which the Competition Bureau defines as “the process of using automated algorithms to set or recommend prices for products or services, often in real time, based on a set of data inputs.” Further, 31 per cent of respondents said algorithmic pricing should be allowed but more strictly regulated.
For years now, companies have been employing algorithmic pricing in businesses like hospitality, concerts and ridesharing. This comes after Canada’s Competition Bureau solicited feedback on dynamic pricing from both consumers and stakeholders earlier this year, with many expressing concerns about issues like affordability, privacy and discrimination.
While most Abacus Data respondents admitted that they weren’t familiar with the term “algorithmic pricing,” most of them were clearly against the very notion of a computer determining the cost of a product or service. “Consumers are far more tolerant of price changes driven by market conditions than they are of price differences that feel personalized or discriminatory,” said the report.
Earlier this week, the Manitoba government introduced a bill that would prohibit companies from using personal data to increase prices for specific customers. It remains to be seen whether the bill will ultimately pass and if other provinces may follow suit.
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Via: Global News
