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In India’s rapidly expanding e-commerce landscape, the practices undermine consumer trust and pose significant risks to the sector; globally, regulatory bodies are acting against such practices; India’s initiatives are crucial steps in protecting consumers from unfair practices
In recent years, as the digital landscape continues to expand, websites and apps have become integral to daily lives. However, a troubling trend has emerged alongside this growth: Dark patterns. The deceptive design practices are used to manipulate users into making decisions they might not otherwise make, such as signing up for unwanted services or sharing personal information. By exploiting human psychology and clever design, dark patterns benefit companies at the expense of consumers.
This issue is particularly pressing within India’s rapidly-growing e-commerce sector, expected to reach a market size of 350 billion by 2030. The growth is driven by increased Internet and smartphone penetration, with about 936.16 million Internet subscribers and 350 million mature online users actively engaging in transactions.
As online shopping becomes more prevalent, dark patterns are increasingly used to manipulate user decisions, exploiting the surge in digital activity.
Common dark patterns include creating a false sense of urgency to rush users into making purchases, hiding subscription cancellations deep within websites, and using confusing language to mislead users. The tactics are unethical and undermine the integrity of the design process, leading to practices that prioritise manipulation over genuine long- term user engagement. The practices fall under ‘unfair trade practices’ category under Consumer Protection Act, 2019.
Recognising the gravity of the issue, the Department of Consumer Affairs, on November 30, 2023, issued ‘Guidelines for Prevention and Regulation of Dark Patterns, 2023’ under the Consumer Protection Act, 2019, identifying 13 common dark patterns prevalent in e-com applications and websites.
Beyond specific guidelines, there have been significant developments in the international space to regulate dark patterns. In the European Union, regulations such as the Digital Services Act (DSA), General Data Protection Regulation (GDPR) and the Unfair Commercial Practices Directive (UCPD) address the concerns. In the United States, various States have introduced legislation to combat dark patterns, including the California Privacy Rights Act, the Connecticut Data Privacy Act, and Colorado Privacy Act.
Dark patterns pose a significant ethical challenge by manipulating consumer behaviour, undermining transparency and user autonomy. The tactics exploit psychological tendencies, leading users to actions that benefit firms rather than fostering fairness. By using misleading information, hidden fees, or confusing navigation, dark patterns break the expectation of honest interactions, making it hard for users to make informed choices. This not only harms users but also risks damaging the reputation of businesses, leading to lower customer loyalty, higher turnover, and negative word-of-mouth, ultimately hurting the firm’s brand and competitiveness.
Moreover, regulatory bodies are increasingly focusing on dark patterns under consumer protection laws. Companies that continue to use these practices could face fines, legal actions, and damage to reputation, which could threaten market position.
Addressing this needs collective effort from stakeholders. Businesses need to adopt a user-first approach by regularly reviewing and improving interfaces to remove the patterns. This focus on transparency ensures clients can easily understand and use services with clear information on subscription terms, easy options to opt out and candid instructions for cancelling services.
Educating designers and developers on ethical design practices is essential for responsible innovation. By incorporating ethics into design training and professional development, we can ensure designers consider the broader impact of the work. This approach encourages the creation of interfaces that are clear and functional.
Regulators are essential in safeguarding consumers by establishing and enforcing guidelines that promote ethical design such as mandatory disclosures, penalties for non-compliance, and regular audits. User advocacy groups complement the efforts by educating consumers about their rights, helping identify and report dark patterns and collaborating with businesses to uphold best practices. Technological solutions like browser extensions and plug-ins further empower users by detecting and warning against potential dark patterns, thereby increasing consumer awareness and confidence in safely navigating digital platforms.
In India’s rapidly expanding e-commerce landscape, the practices undermine consumer trust and pose significant risks to the sector. Globally, regulatory bodies are acting against such practices. India’s initiatives, including the Consumer Protection (E-commerce) Rules, 2020, and new guidelines are crucial steps in protecting consumers from unfair practices. By enforcing strict regulations and promoting ethical design, India is positioning itself as a global leader in fostering fair digital practices.
This article first appeared in The Hindu on 12 September 2024.