Grocery stores are increasingly acting as data brokers.

U.S. consumers' online presence is expanding daily through platforms such as Facebook, Instagram, and Amazon Prime.

Companies and data brokers are using a comprehensive data profile, which includes email addresses, phone numbers, shopping habits, birthdays, and more, to better understand the needs and wants of consumers. However, this is often done without the knowledge or informed consent of the consumers.

According to a study from the University of Pennsylvania, 79% of Americans believe they have limited control over the information marketers can gather about them. This phenomenon, known as "data fatigue," suggests that many consumers are aware of their data being collected but feel powerless to prevent it. The study also revealed that over half of respondents were unaware of the full extent of what companies could do with their data. With the shift in data acquisition models, the process is now taking place in the aisles of your local grocery store.

Today's retailers are actively seeking to gather as much information about customers as possible, as it represents a new source of revenue for them," stated R.J. Cross, director of Public Interest Research Group's Don't Sell My Data campaign. "The majority of companies you shop with today are involved in the sale of your data, treating you and your information as their latest product.

The data broker market was valued at $319 billion in 2021 and is projected to reach $545 billion by 2028. Historically, retailers relied on data brokers to gather insights on consumer trends. However, with the advent of technology, retailers are now collecting consumer data directly through various methods such as loyalty programs, location tracking, app usage, and digital receipts.

Mitul Jain, founder and CEO of Refive, stated that his face, behavior, and other data points provide valuable information about him, including his age, gender, and ethnicity. This information can be combined with other data points from his shopping journey to create a more comprehensive profile of him. Watch the video above to learn how retailers are collecting and using consumer data and why the U.S. government is now stepping in.