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POLICY POLICY · 2 MIN READ

Indian online marketplaces earn up to Rs 28,000 crore annually from dark patterns

Indian online marketplaces generate an estimated Rs 25,000-28,000 crore annually through dark patterns such as hidden fees, auto-subscriptions, and pre-sel…

Indian online marketplaces generate an estimated Rs 25,000-28,000 crore annually through dark patterns such as hidden fees, auto-subscriptions, and pre-selected add-ons, according to a report by Datum Intelligence. The study tracked 12 platforms including Nykaa, BigBasket, and Cleartrip, revealing widespread non-compliance with regulations issued by the Central Consumer Protection Authority (CCPA) in November 2023.

The CCPA's Guidelines for Prevention and Regulation of Dark Patterns prohibit deceptive design practices like false urgency, drip pricing, and basket sneaking. Despite this, all 12 platforms monitored by Datum Intelligence continue to use these tactics, only removing violations when specifically investigated. Enforcement remains reactive and case-by-case, with platforms often fixing one issue while other problematic practices persist. The report also found that 41% of consumers surveyed were unaware of the CCPA or dark patterns.

The report highlights significant gaps in India's regulatory framework for dark patterns, noting the absence of three key enforcement pillars: independent audits, effective penalties, and proactive monitoring. Platforms largely self-assess compliance, but 8 of 26 companies that declared compliance in 2025 were fined shortly after. Penalties are often less costly than addressing the issues, reducing the incentive for marketplaces to fully comply with the guidelines.

Datum Intelligence's findings underscore the challenges in curbing deceptive practices in India's online marketplace sector. The CCPA's guidelines remain the primary regulatory tool, but the next session of the authority is set for July 22, when further enforcement measures and audits may be discussed to strengthen compliance mechanisms.

Editorial standards. Reported and edited at Startupniti's news desk from the sources listed in the right rail. Every fact traces to a citation. If something looks wrong, write to corrections.
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