Behavior-based personalized pricing: When firms can share customer information

• Asymmetric duopolists compete for two periods on a line interval. Information gathered in period 1 is used personalized pricing 2. They can agree to share customer information before the first period. sharing individually rational firms. worsens consumers welfare but improves total surplus. We study two-period model of behavior-based price discrimination where firms first-period competition begins, and be second-period competition. show that as it softens upfront when gathered, are worse off result, surplus increase thanks improved quality matching between consumers. These findings robust firm asymmetries varying discount factors