Walmart CEO John Furner is pushing back against growing concerns that the retailer’s digital shelf labels and artificial intelligence tools could eventually be used to charge customers different prices.
The retailer has been introducing digital shelf labels (DSLs) across its US stores since 2024, with plans to expand the technology to every location by the end of the year. The electronic tags allow stores to update product information and prices digitally rather than replacing traditional paper labels.
Walmart Says Prices Won’t Be Personalized
In a recent letter to customers and employees, Furner addressed questions about how Walmart is using the technology. He said the company does not set different prices based on a customer’s identity or the time of day and said it does not intend to do so.
Furner also addressed Walmart’s AI-powered shopping assistant, Sparky. He said the tool is designed to improve the shopping experience rather than use personal information to determine what an individual customer pays.
According to Furner, Walmart has never used its relationships with customers or store associates to charge people more, and the company does not plan to introduce such practices through AI.
He connected the commitment to Walmart’s long-running “Every Day Low Prices” strategy, saying personalized pricing would conflict with the principle that has shaped the retailer’s approach for more than five decades.
Concerns Around Dynamic Pricing
The growing use of digital shelf labels has nevertheless raised questions about whether retailers could use the technology to introduce dynamic pricing.
Dynamic pricing allows prices to change in response to factors such as demand, inventory levels, competitor prices and broader market conditions. The practice is already common in industries such as travel, hotels and ridesharing, where prices can change depending on demand and availability.
Digital shelf labels make frequent price changes easier for physical stores because updates can be made electronically without replacing individual paper tags.
Technology Designed for Efficiency
Walmart has previously highlighted the operational benefits of digital shelf labels. The company has said that many price changes can be approved outside shopping hours, helping ensure that prices remain stable and consistent throughout the day.
Furner said Walmart’s digital shopping tools will be held to the same pricing standards as its physical stores. He also stressed that customer information will be handled responsibly and that customers’ choices will be respected.
As retailers increasingly adopt AI and digital technologies, Walmart’s statements underline the importance the company is placing on maintaining customer confidence while modernising its stores.
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