How AI and Loyalty Programs Enable Consumer Surveillance and Price Manipulation

Because consumers opt into these programs in the hopes of discounts and rewards, the programs are exempt from many state and federal laws about surveillance.

The Vanderbilt report's lead example is the McDonald's Monopoly game promotion, which has been around for decades but now incorporates sophisticated data tracking.

Companies use loyalty programs to hook consumers, creating a captive audience they can track.

AI enables more sophisticated tracking and price discrimination, raising concerns about consumer privacy and fairness.