NCSL committee rejects resolution targeting digital pricing technology

DENVER — The National Conference of State Legislatures (NCSL) has voted down a resolution to address digital pricing technology in grocery retail, a move welcomed by the National Association of Convenience Stores (NACS), which argued the proposal could have restricted retailers’ ability to offer discounts and adopt emerging technologies.

The resolution, titled Supporting Price Transparency, Consumer Privacy and Fairness in the Grocery Retail Marketplace, was considered on July 27 by NCSL’s Banking, Financial Services and Insurance Committee. Had it advanced, it could have paved the way for future legislation limiting the use of digital pricing technologies, such as electronic shelf labels, in retail.

NACS opposed the measure, contending it was based on the incorrect assumption that digital pricing technologies use consumers’ personal data to adjust prices. The association submitted a letter to the committee arguing that the resolution grouped a range of emerging retail technologies and inaccurately characterized them as privacy threats.

The organization also warned that the proposal’s call for federal intervention could have led to broad restrictions that would reduce retailers’ ability to offer discounts and ultimately hurt consumer affordability.

According to NACS, state convenience store associations and committee members played a key role in defeating the resolution, with industry advocates in Utah, Kentucky and Massachusetts helping to rally opposition. Although NACS is not a member of NCSL, the association worked alongside other retail organizations at the conference to oppose the measure.

The outcome marks a victory for convenience retailers and other merchants investing in digital pricing tools, such as electronic shelf labels, which are increasingly deployed to improve pricing accuracy, streamline operations, and support promotional flexibility.

NACS said it will continue working with retail partners to educate state policymakers about the capabilities and limitations of digital pricing technologies and other emerging retail innovations as legislative interest in the sector continues to grow.