Online shopping alert: Zepto, BookMyShow, IndiGo among 9 big brands penalised over hidden online charges

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PTC Web Desk: The Central Consumer Protection Authority (CCPA) has taken action against nine digital platforms for using deceptive online practices, commonly known as "dark patterns", that can influence consumers into making purchases or accepting services they did not intend to choose.

The government informed the Rajya Sabha that penalties amounting to nearly Rs 20 lakh have been recovered from companies found violating the Guidelines for Prevention and Regulation of Dark Patterns, 2023.

Among the companies facing action are Zepto, BookMyShow, IndiGo, Physics Wallah, FirstCry, PharmEasy, McAfee, SpiceJet and coaching platform Anuj Jindal.

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What are dark patterns?

Dark patterns are website or app designs that can mislead users during online transactions. These practices may include hidden charges, pre-selected add-ons, forced subscriptions, misleading countdown timers or emotionally worded prompts that pressure users into making decisions they may not otherwise make.

The CCPA has identified 13 such deceptive practices under its 2023 guidelines, including drip pricing, basket sneaking, subscription traps, false urgency, confirm shaming and trick questions.

Zepto fined for hidden charges and automatic membership

Quick-commerce platform Zepto was fined Rs 7 lakh after the regulator found that customers were shown one price initially, but additional handling charges and membership fees were added during the checkout process.

According to the CCPA, the handling charges amounted to drip pricing, where the final payable amount is not fully disclosed at the beginning of the transaction.

The regulator also found that a membership option was automatically added to customers' carts without their explicit consent. This practice was categorised as basket sneaking.

Following the regulator's intervention, Zepto discontinued the practices that were flagged.

BookMyShow asked to remove pre-selected charity contribution

Movie ticketing platform BookMyShow was directed to remove a pre-ticked Re 1 donation linked to its BookASmile charitable initiative.

While the contribution itself was voluntary, the CCPA objected to the fact that it was automatically selected, requiring users to manually opt out. The regulator classified this as another case of basket sneaking, stating that even small pre-selected charges can result in consumers paying for services without consciously choosing them.

IndiGo changes app message after CCPA intervention

The CCPA also took action against airline IndiGo over the wording used while customers declined optional travel protection. Earlier, users who chose not to purchase the add-on were shown the message, "No I will take risk."

The regulator found this to be an example of confirm shaming, where consumers are made to feel guilty or irresponsible for rejecting an additional purchase. Following the intervention, IndiGo replaced the message with a neutral option reading, "No, I will not add to the trip."

Physics Wallah penalised over pre-selected donations

Edtech platform Physics Wallah was fined Rs 5 lakh after the CCPA found that a Rs 10 donation to the PW Foundation was automatically selected during transactions.

The regulator also objected to emotional messages encouraging users to keep the donation selected. Additionally, the company was questioned over requiring users to provide personal information before accessing certain free courses.

According to the government, Physics Wallah has deposited the penalty and discontinued the practices identified by the regulator.

Other companies also face action

Apart from these companies, the CCPA imposed penalties ranging from Rs 1 lakh to Rs 3 lakh on FirstCry, PharmEasy, McAfee, SpiceJet and coaching platform Anuj Jindal.

The violations included hidden fees, forced subscription renewals, misleading countdown timers and other interface designs that could influence consumer decisions.

Government tightens consumer protection online

The government said the enforcement drive is aimed at making online shopping and digital services more transparent for consumers.

Under the Guidelines for Prevention and Regulation of Dark Patterns, 2023, businesses are expected to clearly disclose charges, seek informed consent for optional services and avoid using interface designs that manipulate customer behaviour.

With nearly Rs 20 lakh recovered in penalties so far, the CCPA has indicated that it will continue monitoring digital platforms to ensure compliance with consumer protection rules.