New Delhi: The government plans to crack down on “manipulative” marketing practices on e-commerce sites that violate consumer rights by nudging them into buying products that they didn’t intend to buy. Union Consumer Affairs Secretary Rohit Kumar Singh said on June 13 that guidelines would be drafted within two months to curb deceptive or dark patterns that manipulate consumer choices and impede their right to be well informed. According to the Consumer Protection Act 2019, these practices are unfair trade practices.
The ministry will develop a comprehensive framework to protect consumers in collaboration with the Advertising Standards Council of India (ASCI). Initially, these guidelines will be self-regulatory. Many manipulative practices fall under dark patterns, including drip pricing, disguised advertising, bait and click, choice manipulation, false urgency, and privacy concerns.
At a meeting with stakeholders, including e-commerce sites like Amazon, Flipkart, and Zomato on June 13, the ministry encouraged them to “self-regulate” and establish guidelines that discourage such practices. After interacting with stakeholders, he told that “encouraging responsible design practices and conducting independent audits can help identify and rectify dark pattern issues”.
In order to counter such manipulative and unfair trade practices, self-regulation measures have been discussed for multiple categories, including but not limited to online shopping, e-ticketing, restaurants, and travel.
“We are committed to working collaboratively with all stakeholders as we navigate through this evolving issue, and we hope that the industry self-regulates itself and addresses this issue. We look forward to providing all assistance to ASCI in examining this issue and building a comprehensive framework to protect consumers. Consumers must not be forced or directed towards unintended consequences without their express consent, and consent by deceit is not express consent. Consumers shall be aware of what they are signing up for, and also should be able to get out of the same,” Singh stated.
Furthermore, ASCI intends to address four critical practices through the expansion of its code: drip pricing, bait and switch, false urgency, and disguised advertising.
Manisha Kapoor, CEO and secretary general of ASCI, said, “With e-commerce and social commerce growing at breakneck speed, online consumer safety is at the top of ASCI’s agenda. Deceptive patterns in online advertising mislead consumers, ruin their online experience, and erode trust in brands and advertising. We have already gone through some extensive consultations on advertising-related dark patterns and have released a comprehensive discussion paper. We are grateful that the ministry is putting its weight behind this important issue, and together, we look forward to forming a strong set of guidelines and rules that help weed out deceptive online patterns.”
