Québec solidaire (QS) is asking the Quebec consumer protection agency, Office de la protection du consommateur (OPC,) to assess and regulate technologies that could be used to implement dynamic pricing in grocery stores.
Dynamic pricing, which already exists in the airline and hotel sectors, for example, could be facilitated in grocery stores thanks to new technologies such as artificial intelligence and electronic labels.
“These technologies, at this point, are not unfair practices. That being said, there are major risks that concern us, and I think concern most Quebecers, about whether this is leaving the door open to what is known as dynamic pricing,” said Alejandra Zaga Mendez, QS finance critic.
QS is particularly concerned about the recent agreement between Loblaw and OpenAI. The food giant announced in February that it would integrate its PC Express grocery delivery app with the ChatGPT chatbot.
Related:
The Verdun MNA argued that QS is first asking the OPC to assess the risks of introducing these technologies and how they will be used by large grocery stores.
“Subsequently, take the lead and legislate, regulate these practices before we end up with discriminatory or unfair practices, as is beginning to happen, for example, in the United States,” said Zaga Mendez.
She referred to an article in the New York Times published last December, which reported that consumers shopping on the Instacart platform were being charged different prices for the same product in the same store.
“I think we need to prevent this in Quebec, and now we have a chance to do so. I think the Office de la protection du consommateur (consumer protection agency) can take on this mandate,” said the QS MNA.
QS believes that dynamic pricing should be restricted in the food sector, where basic food items are found in grocery stores.
“It’s important to understand that large grocery chains now have more and more data on our consumption, and algorithms combined with artificial intelligence could open the door to what is known as customized pricing, either individually or by population,” said Zaga Mendez, referring to a “duty of vigilance.”
“People in Quebec are extremely concerned and vigilant about grocery prices because we know very well that it costs much more than before, and we are seeing an increase in food insecurity even among working people,” she added.
–This report by La Presse Canadienne was translated by CityNews
