HAMPTON, Va. — People are watching grocery store prices very closely. Not just the prices — but the labels.
Recently, News 3 received a message from Darlene Smith, a Hampton resident, asking about the growing use of electronic shelf labels in local stores and how they work.
Smith notices them because she visits the grocery store a couple of times a week.
"It's just my husband and I, but we buy things just in time," she said. "Like, fruits and vegetables — every week we're out there getting fruits and vegetables because you want them the freshest."
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She said she noticed electronic shelf labels in the aisles instead of the paper ones she's used to. That’s when she decided to reach out.
"So, I was just wondering if these are starting to come out more, how are they going to control the prices?" Smith asked. "For instance, if I pick up a piece of cheese... when I get up to the counter is that price going to be the same? How would I know if it's not?"
Smith isn’t alone in her curiosity. New research shows many consumers have the same questions.
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According to a 2025 study by researchers at the University of Texas at Austin, the University of California, San Diego, and Northwestern University “electronic shelf labels have not led to surge pricing in US grocery retail, despite regulator concerns.”
Electronic shelf labels (ESL) are digital price tags that allow retailers to update prices instantly on products rather than physically changing paper labels.
"[The research] occurred over several years, over 100 stores across thousands of products in that store, and there really wasn't evidence of price surging at all," Dr. Veronica Thomas, an associate professor of marketing at Old Dominion University’s Strome College of Business.
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She added that it wouldn’t make marketing sense for stores to change prices frequently to make quick profits.
"It's not that they're not engaging in this surge pricing because they just want the best for consumers," she said. "At the end of the day, it's about their bottom line."
Still, lawmakers have voiced concerns.
Below is the first page of the letter that Senators Elizabeth Warren (D-MA) and Robert Casey (D-PA) sent to Kroger’s then CEO, Rodney McMullen, warning against surge pricing (Click here to see the full text).
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From Congress to state legislature, other representatives have proposed bills that would ban digital pricing altogether.
"I don't think at this point we need to be concerned, but it is good," Thomas said. "It's on people's radar, and that it's on, you know, lawmakers who want to protect consumers’ radar."
And it’s now on Smith’s radar, too, as she heads back to the grocery store.
Looking forward, Walmart announced plans to roll out digital shelf labels in 2,300 stores by next year. Kroger has already expanded the technology to several hundred locations. According to PBS, Kohl’s has used digital labels since 2015.
This article was researched, reported, and written by a WTKR News 3 journalist. AI was used to minimize typos and ensure style continuity.
