Think you’re getting the best deal? 75% of online shoppers are being secretly overcharged, shows study

Dark patterns, deceptive design tactics that mislead or exploit consumers, continue to plague India’s major eCommerce marketplaces. A LocalCircles audit, based on 77,000 responses from 334 districts, found that 97% of leading platforms employ at least one dark pattern. Flipkart, Amazon, Tata Neu, Jiomart, and Myntra were flagged, while Meesho emerged as the only platform free of such manipulative designs.

The findings coincide with Consumer Affairs Minister Pralhad Joshi confirming an investigation into hidden Cash-on-Delivery (COD) charges, highlighting serious violations of transparency and fair-trade norms. The Ministry will assess whether extra charges were clearly disclosed and at what stage of the purchase process. Platforms found in violation of dark pattern guidelines could face penalties, mandatory design changes, and stricter disclosure rules, directly affecting millions of festive shoppers.

The LocalCircles audit, supported by an AI-based validation model, examined 290 platforms and identified ten types of dark patterns, with five being widespread: Drip Pricing, Bait & Switch, Privacy Zuckering, Forced Action, and Basket Sneaking. Drip Pricing, reported by 75% of users, involves revealing extra fees like handling or platform charges only at checkout. Bait & Switch and Privacy Zuckering, affecting over 40% of respondents, lure users with low prices that change post-login or manipulate personal data for upselling. Forced Action and Basket Sneaking were reported by 29% and 21% of users, respectively, involving auto-processing of canceled orders or adding unwanted services to carts.

Dark patterns are not limited to eCommerce. An Advertising Standards Council of India (ASCI) study last year found nearly all major retail, fintech, and gaming apps employ subtle manipulative designs. Earlier this year, the Ministry directed platforms to self-audit and certify their apps as dark-pattern-free. A joint working group with industry bodies and consumer organizations was established to monitor compliance and recommend design reforms.

The upcoming COD fee investigation will evaluate adherence to these standards, shaping India’s next phase of eCommerce regulation amid peak festive shopping in October and November. LocalCircles plans sector-specific audits next, covering travel, fintech, and food delivery apps, sharing results with the Central Consumer Protection Authority (CCPA).

“Drip Pricing remains the most widespread dark pattern, followed by Bait & Switch and Privacy Zuckering,” the report noted. “These tactics directly undermine consumer trust and loyalty — once lost, it is very difficult to regain.”