Online Deception: Hidden Fees, Data Misuse Found Across 97% Of E-Commerce Platforms In India
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About 75% consumers said they had faced hidden fees that appeared only at checkout, including platform charges, payment handling fees & CoD surcharges not disclosed during browsing
Another 48 per cent of respondents said they had experienced bait and switch, where product prices or offers change after login or during checkout. (Pixabay)
A whopping 97 per cent of the 290 major online platforms operating in India have dark patterns as reported by consumers, a recent survey has revealed.
The statistics come just a week after India’s consumer affairs minister Pralhad Joshi announced on X that his department has received complaints against e-commerce platforms charging extra for cash-on-delivery (CoD)—a practice classified as a dark pattern—and a detailed probe has been initiated to scrutinise the platforms. The minister also said “strict action will be taken against those violating consumer rights to ensure transparency and uphold fair practices in India’s e-commerce sector”.
Though Joshi’s statement of calling out charges for CoD being a dark pattern isn’t necessarily accurate, the CoD charges do become a dark pattern if they are imposed without intimating the consumer or are imposed in a hidden manner. However, the minister’s response is justified as a large number of consumers have been reporting experiencing drip pricing or hidden charges when transacting on e-commerce platforms in the last 12 months.
Drip pricing is defined as a dark pattern where elements of prices are not revealed upfront or are revealed surreptitiously within the user experience. In simpler terms, drip pricing refers to design or U/X practices where some components of the total price (e.g. taxes, fees, surcharges, additional mandatory costs) are withheld initially and revealed only later in the purchase process (e.g. at checkout or after confirmation).
A four-month national audit conducted by LocalCircles between June and September 2025 found that 97 per cent of India’s 290 major online platforms continue to use dark patterns despite the Central Consumer Protection Authority’s 2023 notification prohibiting them. The audit combined 77,000 consumer responses from 334 districts with LocalCircles’ AI-based dark pattern validation model and was re-verified on October 6.
Among e-commerce marketplaces, Amazon, Flipkart, Tata Neu, Jiomart and Myntra were found to use at least 2-4 recurring dark patterns each. Meesho was the only platform that cleared every check. Furthermore, the audit found that dark patterns are consistent across both national and regional platforms, regardless of company size or market presence.
About 75 per cent of consumers said they had faced hidden fees that appeared only at checkout. These included platform charges, payment handling fees and CoD surcharges that were not disclosed at the time of browsing.
Another 48 per cent of respondents said they had experienced bait and switch, where product prices or offers change after login or during checkout. Privacy zuckering was also common, with 44 per cent of users saying their personal data was used without consent to send targeted recommendations or reminders.
Forced action affected 29 per cent of users. This occurred when platforms processed orders on Cash-on-Delivery or Pay Later, even after cancellations. Additionally, 21 per cent of users said they encountered basket sneaking, where optional services such as installation or donations were automatically added to the cart.
The investigation began after users flagged that platforms such as Flipkart and Amazon were adding fees labelled as “offer handling”, “payment”, and “protect promise”. Flipkart recently introduced a Rs 5 handling fee on CoD orders, while Amazon continues to charge convenience fees on select transactions. However, many of these costs appear only during checkout, preventing consumers from knowing the full price upfront.
The latest LocalCircles audit makes it clear that dark patterns continue to dominate India’s e-commerce landscape. LocalCircles, a citizen engagement and policy feedback platform that gathers consumer insights across sectors, found that manipulative design practices have become deeply embedded in how online platforms operate. Despite official guidelines prohibiting such practices, these designs still shape how users make decisions and how e-commerce platforms drive revenue.
The News Desk is a team of passionate editors and writers who break and analyse the most important events unfolding in India and abroad. From live updates to exclusive reports to in-depth explainers, the Desk d…Read More
The News Desk is a team of passionate editors and writers who break and analyse the most important events unfolding in India and abroad. From live updates to exclusive reports to in-depth explainers, the Desk d… Read More
October 11, 2025, 15:29 IST
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