Zepto fined Rs 7 lakh for misleading dark patterns and hidden fees
CCPA Slaps Rs 7 Lakh Fine on Zepto for Dark Patterns like Hidden Fees, Tricky Online Checkout Designs
The Central Consumer Protection Authority has imposed a penalty of Rs 7 lakh on quick commerce company Zepto for allegedly using dark patterns and misrepresenting prices on its platform. The fine comes after investigations into the company's pricing tactics and the use of 'dark patterns,' which are designed to manipulate users into making unwanted purchases.
Customers had repeatedly complained about hidden fees, sudden price hikes at checkout, and unclear discounts on the Zepto platform. The CCPA found that Zepto displayed lower prices initially but added undisclosed fees during checkout, a practice known as 'drip pricing.' The platform also engaged in 'basket sneaking,' auto-selecting add-on services without clear user consent.
Zepto must now implement full transparency in pricing and remove all dark patterns from its platform to comply with the CCPA's directives. The Rs 7 lakh fine serves as a warning to other firms using similar tactics, and further penalties may be imposed if violations continue.
Keywords: finance, business, data-and-cloud-computing, technology