picture taken April 4, 2020. REUTERS/Cheney Orr/File Photo
(New York, NY) — The online grocery delivery company, Instacart is being accused charging some customers one price and others another. A study by Consumer Reports alleges Instacart uses AI-powered algorithms to experiment with individual customer pricing, charging different people different amounts for the exact same items at the same store. The researchers found that in some cases products varied as much as 23% from one customer to another.
Instacart fired back at the allegations saying the grocery stores they work with ultimately control the pricing.
The Consumer Reports allegations are not the only battle Instacart is fighting right now. They have just filed a lawsuit against New York City to block new local laws that mandate a minimum pay rate for app based delivery workers, and more tipping transparency. Instacart argues the new laws are flawed and will force them to restructure their business.
