--Eric
 
https://www.washingtonpost.com/technology/2025/10/18/starbucks-loyalty-program-surveillance-pricing/
 
 


The hidden way using a rewards card can cost you more

Starbucks tracked my every purchase -- then gave me fewer deals. It’s called 
surveillance pricing.
 
 
Scanning a loyalty card might be costing you money.
 
Companies say they’re rewarding your devotion with points, discounts and perks. 
But behind the scenes, many are using these programs to monitor your behavior 
and build a profile — then charge you what they think you’ll pay...
 
Levine and Nguyen say loyalty programs are turning into engines for 
“surveillance pricing” — when companies use AI and personal data to set 
individualized prices, a.k.a. personalized markups...
 
“Personalized discounts can be a form of surveillance pricing because it means 
different prices for different customers based on their personal data,” Nguyen 
says...
 
What happens in travel is spreading everywhere else. “These industries have 
really become online casinos where you are constantly playing a game,” says 
Nguyen. Companies force you to download an app just to get free shipping on 
diapers you need same-day. “The price of buying even a gallon of milk now 
requires downloading an app, agreeing to weird subscriptions, being trapped 
into an infrastructure that you did not know existed.”
 
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