That sounds ideal to me too, but you have the same data asymmetry in the supermarket example. Supermarkets are pioneering data aggregators, having the ability to observe foot traffic and having the final seller aggregations. They can and do have a bird's eye view that they actively use to choose what to do with Kirkland, Parent's Choice, etc.
I'd be very interested in what comprehensive reform in that area might look like and unintended consequences that might impact the consumer. I'm a big Trader Joe's fan, and they aggressively push out or white label third party brands. Only brands that are seemingly irreplacable, like Roquefort cheese or single malt Scotch-es, are spared the white label (and even then Trader Joe's constantly puts up 'Trader Joes blue', or 'Trader Joe's scotch' in an endless attempt to replicate). Should it be legal for Trader Joe's to do exactly that, but illegal for them to use sales data to optimize? I'm not sure I'd find that a happy outcome.
If Trader Joe’s were the only supermarket chain or they had an 80% market share, yes I’d have a problem, unless they had always been no frills label only and then decades later decided, you know what, we’ll bring in some independent brands in.
My problem is their using independent brand/seller data to undermine/undersell that brand by leveraging that morally dubious data.
I'd be very interested in what comprehensive reform in that area might look like and unintended consequences that might impact the consumer. I'm a big Trader Joe's fan, and they aggressively push out or white label third party brands. Only brands that are seemingly irreplacable, like Roquefort cheese or single malt Scotch-es, are spared the white label (and even then Trader Joe's constantly puts up 'Trader Joes blue', or 'Trader Joe's scotch' in an endless attempt to replicate). Should it be legal for Trader Joe's to do exactly that, but illegal for them to use sales data to optimize? I'm not sure I'd find that a happy outcome.