As you browse online, do prices seem to fluctuate when searching from different locations or devices? This phenomenon is not just a coincidence; it’s the result of companies tracking your digital fingerprint. In this article, we’ll delve into what exactly happens and how CloakID can help protect against these practices.
When websites collect information about you through cookies, browser type, screen resolution, language preferences (and many more), they create an individualized profile known as a “digital footprint.” This unique identifier makes it easier for companies to tailor prices based on your behavior. Some examples include:
[1] Booking.com charging higher rates in Pakistan than the US
[2] Target’s app price increasing when you’re near one of their stores
These practices might seem innocuous, but they demonstrate how businesses use digital fingerprints as a formative part of personalizing services and setting prices.
Sources
[1] Ruhr-University Bochum, Germany and University of Twente, Enschede, The Netherlands An Empirical Study on Price Differentiation Based on System Fingerprints By Thomas Hupperich, Dennis Tatang Dec 8 2017 Full PDF or Summary via Semantics Scholar
[2] Harvard Business Review How Retailers Use Personalized Prices to Test What You’re Willing to Pay By Rafi Mohammed October 20, 2017
[3] Pro Publica The Tiger Mom Tax: Asians Are Nearly Twice as Likely to Get a Higher Price from Princeton Review By Julia Angwin, Surya Mattu and Jeff Larson Sept. 1, 2015