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This conceptual paper defines and gives examples of biometrics, explains how biometric tracking is currently used (e.g. to predict IQ), and presents innovative future uses of biometric tracking (e.g. to customize the price of products in real time). Specifically, this paper outlines a novel biometric pricing technology (BPT) which uses facial tracking to set the price of products using a new participatory dynamic pricing (vs. static pricing) system. Based on the privacy paradox, this paper addresses the acceptance, concerns and usage of a new emerging technology by consumers and its potential applications. To explore this, we develop a typology of perceived benefits and perceived privacy to predict consumer reactions to biometric technology. In addition, we present a research agenda to guide future research on biometric pricing technology. This research agenda offers new insights on how biometric tracking and specifically biometric price setting could be explored from multiple angles, including the consumer experience, technology acceptance, online profiling, governance, public policy, regulation, ethical and future usage-based perspectives.
Australasian Marketing Journal – SAGE
Published: Nov 1, 2023
Keywords: biometrics; biometric tracking; technology acceptance; consumer decision process; public policy; ethics; research agenda; privacy paradox
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