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Consumer Affairs Secretary Rohit Singh said on Tuesday that the government has taken 'dark patterns' seriously and has requested e-commerce enterprises to build a self-regulatory framework to curb such practises.
The e-commerce industry contributes the most to dark patterns, and the framework will be developed in the next two months, Singh said reporters following a stakeholder conference here.
Dark patterns are practises that intentionally abuse customers on the internet, such as adding products to a shopping cart when a user has not requested it, adjusting the price of a product at the moment of checkout, or even generating a false sense of urgency to hasten a purchasing decision.
Singh, who attended the two-and-a-half-hour meeting here, stated that he has requested e-commerce companies like as Amazon, Flipkart, Swiggy, and Zomato, in collaboration with the Advertising Standards Council of India and several law firms, to develop a self-regulatory framework to assist curtail such practises.
He stated that education and awareness are critical since many times, the customer and seller on a marketplace such as an e-commerce platform are unaware of the methods used by intermediaries to maximise sales or make a deal happen.
If such practises continue even after raising awareness and establishing a self-regulatory framework, the government may consider enacting regulations, according to Singh, who added that the statutes governing consumer protection are currently very broad, and dark patterns do fall under unfair trade practises.
However, enforcing the law by taking action against errant companies may be counterproductive, thus attempts are currently being undertaken to take a step-by-step approach.
Manisha Kapoor, CEO of Asci, stated that the ad industry's self-regulatory group would provide recommendations on dark patterns very soon, but that it is a broader matter including areas other than advertising, such as purchases, subscriptions, and so on.
"Many (e-commerce firms) say we are marketplaces with limited controls, but I believe we will push back," she stated emphatically.
Singh also stated that the government has made it plain to e-commerce companies like as Amazon and Flipkart that consumers' faith in the brand is what drives them to purchase on their platform, and as a result, they cannot avoid duty and would have to share some blame if something goes wrong.
He did, however, distinguish between e-commerce players and the state-sponsored ONDC (open network for digital commerce), claiming that the latter is a protocol that includes all customers, sellers, and marketplaces like as Amazon and Flipkart.