That's the ideal dream scenario, but in reality the market isn't that efficient. Lots of markets gouge their customers and due to power imbalances the customers can't really do anything about it. The free market solution to this is just generally to let people suffer.
I don't see why consumers wouldn't just pick the stores that have better prices for them. Why would they know/care/need to know what the prices are doing for other people?
> the market isn't that efficient
The grocery market is. Margins sit at 1-2%, there is absolutely no reason to believe dynamic pricing would change that. Grocery stores are one place where free markets have created incredible consumer surplus because competition is high.