Summary
Dynamic pricing and surge pricing mean that prices may change based on supply and demand. Some price changes happen at regular intervals, while others happen in real time. Black Friday is “the perfect storm for using dynamic pricing,” says Lisa Bolton, a professor of marketing at Pennsylvania State University.
Your browsing history and location are two data points retailers use to offer personalized deals. Don’t confuse this with traditional price-matching policies for shoppers. If you’ve searched for an item before — this could indicate how strong your preference is for a specific product.
When it comes to Black Friday, some retailers are offering members special discounts or early access to sales. Dynamic pricing means people who want to travel during peak times will pay extra.
Dynamic pricing “can hold consumers back at times,” Bolton says. Camelcamecamel is a free browser extension you can download to see how the price of an item has changed over time. For a wider selection of retailers, the PayPal Honey free browser Extension will do the trick.