Fast Company recently interviewed Carly Fink, President of Provoke Insights, to discuss the growing use of digital price tags and the potential impact of dynamic pricing in retail. As more retailers adopt technology-driven pricing tools, the discussion around transparency and consumer trust becomes even more important.

Walmart has begun rolling out digital shelf labels in more than 2,300 stores, allowing price updates for over 100,000 items via mobile app. This move helps improve store efficiency and inventory tracking. While Walmart states that the technology won’t be used for real-time price changes, many shoppers remain concerned.

According to Provoke Insights’ Summer 2024 Trends Report, 63% of U.S. consumers are more budget-conscious than they were six months ago. With that in mind, any mention of dynamic pricing in retail raises red flags, especially among inflation-weary shoppers. People worry it could lead to unpredictable pricing, similar to surge pricing used by airlines and rideshares.

However, there are potential benefits. Proponents argue that dynamic pricing could lower prices during off-peak times. For example, shoppers who visit stores during slower periods may find better deals. Carly Fink emphasizes that while the model has potential, brands must ensure transparency to maintain consumer trust.

Many consumers still don’t fully understand how dynamic pricing works—particularly in a retail or grocery setting. Provoke Insights continues to research the public’s perception of these pricing shifts and how brands can implement them responsibly.

As dynamic pricing in retail becomes more common, retailers must find the right balance between innovation, fairness, and clear communication.

Check out our latest research that explore consumer trends and the impact of AI in our Summer 2025 Trends Research.

Provoke Insights explores customer perceptions and strategizes for effective ways to implement dynamic pricing in restaurants.

Modern Restaurant Management presents the market research findings of an April 2024 trends report by Provoke Insights. The article delves into the concept of dynamic pricing in the restaurant industry, discussing its potential benefits and pitfalls. It highlights the importance of implementing dynamic pricing strategies effectively to boost revenue without alienating customers. Initially met with skepticism, dynamic pricing gains favor when framed as discounts through membership programs for off-peak hours, with over half of consumers expressing keen interest in such initiatives.

What is dynamic pricing?

Learn more in the article about dynamic pricing and if consumers understand what it means.

Some noteworthy insights from the research study include:  

• Dynamic pricing refers to the practice of adjusting menu prices based on various factors such as demand, time of day, or level of patronage.
• Awareness of dynamic pricing is low among Americans, with urban dwellers and parents more likely to be familiar with the concept.
• Two-thirds of consumers are initially averse to dining at restaurants using dynamic pricing, however, interest in dynamic pricing increases significantly when presented as discounts offered through off-peak hour memberships
• Restaurants should emphasize the benefits and discounts of dynamic pricing rather than focusing on peak-hour price increases to improve consumer perception and engagement.

Check out Provoke Insights’ other industry market research trends studies here.