Core Viewpoint - Instacart's stock price fell by 6% following reports of an investigation by the Federal Trade Commission (FTC) into its AI pricing tool, Eversight, which has been criticized for significant price discrepancies among similar grocery items [1] Group 1: FTC Investigation - The FTC has issued a civil investigative demand to Instacart, seeking information about its Eversight pricing tool [1] - A study involving 437 shoppers across four cities found an average price difference of about 7% for the same grocery items on Instacart [1] - The FTC expressed concern over media reports regarding Instacart's alleged pricing practices, stating it does not comment on ongoing investigations [1] Group 2: Instacart's Response - Instacart stated that recent reports inaccurately conflate A/B price testing, dynamic pricing, and monitoring pricing, misrepresenting how its pricing tests operate [2] - The company clarified that it does not use personal information or demographic data to set prices on its platform, emphasizing that retail partners control the base prices [2] - Instacart addressed concerns related to Target, explaining that it uses publicly available price information as a starting point and adds a fee to cover operational costs, noting that it has ended certain pricing tests at Target stores [2]

Maplebear stock was dropping following a report that the FTC has sent Instacart a civil investigative demand over its use of AI-set pricing. ...

Core Insights - The Federal Trade Commission (FTC) is investigating Instacart's AI-powered pricing tool, Eversight, due to concerns over significant price discrepancies for identical groceries, with some customers paying up to 23% more than others [1][2] Group 1: Regulatory Scrutiny - The FTC has issued a civil investigative demand to Instacart regarding its pricing practices, indicating a formal inquiry into the company's pricing strategies [1] - The investigation is prompted by a study revealing that shoppers experience varying prices for the same products, raising questions about the fairness of these pricing mechanisms [2] Group 2: Pricing Strategies - Dynamic pricing, while common in various industries such as airlines and hotels, is under scrutiny in the grocery sector, where consumers may find it less acceptable due to the necessity of food [3][4] - Instacart claims that its price tests are randomized and not based on individual customer data, but the distinction may not alleviate consumer concerns in a challenging economic environment [2][4] Group 3: Market Context - The use of AI-driven pricing strategies is becoming increasingly prevalent, but the current economic climate, where consumers are feeling financial pressure, makes such practices particularly contentious [4]

Core Viewpoint - The Federal Trade Commission (FTC) is investigating Instacart due to concerns over its AI-driven pricing tool, Eversight, which has been criticized for offering different prices to different shoppers for the same groceries [1][2]. Group 1: Investigation Details - The FTC has issued a civil investigative demand to Instacart, seeking information regarding the Eversight pricing tool [1]. - The agency has expressed concern over the alleged pricing practices of Instacart, reflecting a broader unease among consumers [2]. Group 2: Eversight Pricing Tool - Instacart's Eversight pricing tool enables retailers to experiment with various pricing strategies using artificial intelligence [3]. - A recent study highlighted that shoppers on Instacart received varying prices for identical grocery items, raising ethical questions about the pricing model [2].

Core Viewpoint - Shares of grocery delivery service Instacart fell by 11% in after-hours trading due to an investigation by the U.S. Federal Trade Commission (FTC) into the company's pricing practices [1] Group 1 - The FTC has initiated a civil investigative demand against Instacart, as reported by Reuters [1] - Instacart and the FTC have not provided immediate comments regarding the investigation [1]

Group 1 - The U.S. Federal Trade Commission is investigating Instacart due to concerns regarding its artificial intelligence-driven pricing tool [1]

We talked about a new report claiming Instacart's AI technology can show different prices for different shoppers. The aforementioned Madison has already been introduced. She you've got the story. What do lawmakers want to do about it? >> They're looking to make this practice illegal. So senators Gillibrand, GGO, and Booker have introduced the One Fair Price Act. Gillibrand telling Fox telling Fox Business, quote, "No one should be charged more just because a company is digging into their background and expl ...

Core Insights - The pandemic significantly accelerated the growth of food and grocery delivery services, with online grocery shoppers in the U.S. expected to reach 148.4 million in 2023, up from 67 million in 2019 [1][2] Industry Trends - Ship-to-home grocery services saw a decline from 42% of online sales pre-pandemic to approximately 18% by March 2025, while delivery services increased from 26% to 43% [2] - Instacart, controlling about 68% of the U.S. third-party grocery delivery market in 2025, has enabled smaller grocers to compete with larger chains [3] Company Performance - Instacart reported 83.4 million orders in the latest year, with a Gross Transaction Volume (GTV) of $9.17 billion and total revenue of $939 million, all reflecting a 10% year-over-year increase [7] - The company's adjusted EBITDA rose 22% to $278 million in Q3 2025, indicating strong financial performance [13] Pricing Strategy Controversy - Instacart is facing scrutiny for using algorithmic pricing, with a report indicating that 74% of items had multiple price tiers simultaneously, leading to potential price variations of up to 23% for the same item [6][18] - The pricing strategy could result in an additional $1,200 per year for a typical four-person household, depending on the pricing variant assigned [8] Consumer Trust Issues - Experts warn that Instacart's pricing experiments may undermine consumer trust, exacerbating the grocery affordability crisis [14] - Instacart claims that retailers control pricing and denies using personalized pricing, but evidence suggests significant algorithmic influence on pricing [11][12]

Core Viewpoint - The Portnoy Law Firm has initiated an investigation into possible securities fraud involving Instacart, potentially leading to a class action lawsuit on behalf of investors [1][3]. Company Summary - Instacart's stock experienced a decline on December 10, 2025, following a report that accused the company of charging different prices for the same items, which could undermine customer trust [3]. - The report was conducted by Consumer Reports, Groundwork Collaborative, and More Perfect Union, highlighting significant concerns regarding pricing practices [3]. Legal Actions - Investors are encouraged to contact the Portnoy Law Firm to discuss their legal rights and options for pursuing claims to recover losses [2][4]. - The Portnoy Law Firm has a history of recovering over $5.5 billion for investors affected by corporate wrongdoing [4].

Core Insights - Instacart has been utilizing a practice known as surveillance pricing, which involves charging different prices for identical items based on customer data, a method that has roots in its 2022 acquisition of Eversight, an AI pricing company [1][6][8] - A recent investigation revealed that prices for the same grocery items on Instacart can vary by up to 23% between different customers, indicating a significant level of price discrimination [3][6][12] - The pricing strategy employed by Instacart is likened to dynamic pricing models used in other industries, raising concerns about the fairness and transparency of pricing for essential goods [2][16] Pricing Variability - Consumer Reports and Groundwork Collaborative found that 75% of products had different prices for each user, with an average shopping basket showing a price variation of about 7%, potentially costing families around $1,200 annually [1][6] - Personal experiences from users indicate that price fluctuations can be substantial, with items like bacon and butter showing price differences of 19% and 52% respectively [10][11] - Instacart's pricing changes are not always aligned with typical grocery inflation, which was reported at about 2.7% over the past year, suggesting that the variability is driven by algorithmic pricing rather than market conditions [12] Algorithmic Pricing Practices - Instacart's algorithms are designed to set individualized prices based on customer data, often without the customer's knowledge, leading to a lack of transparency in pricing [6][8] - Despite claims from Instacart that their pricing tests are randomized and not based on personal characteristics, disclosures in New York indicate that personal data is indeed used to calculate fees [8][9] - The company has faced scrutiny and has temporarily halted pricing experiments at certain retailers following the investigation, although it has not fully acknowledged the extent of its algorithmic pricing practices [7][8] Legislative Response - In response to the findings, lawmakers are considering legislation to ban surveillance pricing, with the "One Fair Price Act" introduced to prevent companies from charging different prices based on personal data [16][17] - Other states, including California, Colorado, and Pennsylvania, are also exploring similar measures to protect consumers from price discrimination practices [17]