As you watch a video online, have you been served a pop-up ad which you’re unable to skip or close as you cannot immediately see those options? Or, while placing an order on a food delivery app, has your total bill suddenly jumped even though the prices of the dishes were lower? Have you put a dress in your shopping cart from a fashion site just because it said “last two pieces left”?
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These and many such misleading marketing tactics that consumers face on digital platforms have been identified by the Advertising Standards Council of India (ASCI), the ad industry’s self-regulatory body, in its new guidelines to fight the “dark patterns” in online advertising. An umbrella term, “dark patterns” refers to a variety of practices commonly found in online user interfaces that lead consumers to make choices that are often not in their best interests.
ASCI guidelines for ‘Online Deceptive Design Patterns in Advertising’ were released last week to push for trust and transparency in the digital space. The ad council, which has proactively created advertising codes for new-age, online media businesses like gaming, influencer marketing etc, first called out “dark patterns” in a white paper in November 2022. After consultations with the government and the industry, it published new rules to safeguard consumers from deceitful and predatory strategies of digital platforms.
ASCI CEO Manisha Kapoor said all internet advertising falls under the existing ASCI code that requires ads to be honest and not mislead consumers. “However, the guidelines for deceptive design patterns are explicit in what constitutes misleading with no room for subjectivity,” Kapoor said.
The guidelines prohibit Drip Pricing which refers to the practice where elements of the price (of a product or service) are not revealed upfront. ASCI mandates that prices quoted in ads and on e-commerce sites should include all payable taxes, fees, duty, and other charges that apply.
Bait and Switch refers to an ad or an element in the ad directly or indirectly implying one outcome based on the consumer’s action, but instead serving an alternative outcome. False Urgency is self-explanatory and implies that a particular product (dress) or service (airline seats) available at a certain price is limited. Implying a false shortage nudges a consumer towards urgent purchase. Lastly, it prohibits Disguised Ads – that is, ads dressed up to look like editorial or organic content. The guidelines are applicable from September 1.
But Kapoor is not content with addressing deceptive digital ads alone. She said ASCI has been pressing upon the government to take up the dark patterns that go beyond advertising. “Department of Consumer Affairs has a much larger mandate on consumer protection whereas ASCI’s role is limited to ad content. Not all deceptive patterns are advertising related. For instance, our November report highlighted problems like e-commerce sites sneaking stuff in a consumer’s cart without her knowledge. Or, users finding themselves in online paid subscription traps, unable to extricate themselves,” Kapoor said.
“We are requesting the government to examine these issues and we will lend whatever support is needed from our end,” Kapoor said.
Monitoring online deceptive design patterns makes sense, given that India’s e-tailing industry reached $60 billion in Gross Merchandise Value in FY 2023, a report by Redseer Strategy Consultants said. Rahul Dayama, head of marketing at UK’s digital-only fashion brand Urbanic India, said calling out sinister dark patterns is a welcome step. “Though it is the job of a marketer to push consumers to shop more, it should not be a forced choice,” he said.
Dayama said Urbanic, which is revamping its app in India and launching its own website, has also changed its brand strategy and included a “no bargain” clause in its global guidelines for business. It has removed the discounts from its app which showed a cross on the higher price and gave a lower price next to it for any garment.
“We want people to focus on our products that are priced fairly and that we’re not bargaining them off. Our global teams have been told not to push customers to shop immediately. We need to build a communication which talks about the brand instead of pressing for instant sale,” Dayama said.
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