Decoy buttons, hidden fees: How subscription services are tricking you
A recent Federal Trade Commission (FTC) review has revealed that over 75% of websites and apps employ manipulative design techniques, or "dark patterns," to deceive consumers into compromising their privacy or buying unnecessary products. The annual audit, completed in February, scrutinized 642 global websites and subscription-based mobile apps, in partnership with authorities from 26 countries. The FTC found that 67% of these platforms used multiple potential dark patterns, while 76% utilized at least one.
FTC identifies two main types of dark patterns
The FTC audit identified two primary types of dark patterns: "sneaking practices" and "interface interference." Sneaking practices obscure or delay the sharing of information that could influence consumers' purchasing decisions. Interface interference involves tactics that hide crucial information or preselect choices, nudging consumers toward decisions beneficial to a company. However, the FTC did not establish whether these practices were illegal in the countries studied.
Penalties imposed on Epic Games for dark pattern usage
The FTC has been focusing on the impacts of dark patterns, and has levied substantial financial penalties on businesses that employ them. In March, Epic Games was fined $245 million after settling allegations of using dark patterns to trick players into making unwanted purchases. The FTC stated: "How much money can a company take in by selling virtual costumes, dance moves, and pinatas shaped like llamas? It won't surprise Fortnite fans to hear that the answer is billions."
International networks assisting in FTC audit
The audit was facilitated by the International Consumer Protection and Enforcement Network (ICPEN) and the Global Privacy Enforcement Network (GPEN), with GPEN deploying 80 privacy enforcement authorities to aid in the review. GPEN focused on websites and apps using dark patterns that could prompt individuals to share more personal information than they would prefer. The privacy-centric review also discovered that a majority of sites across various countries employed at least one privacy-related dark pattern.
FTC study discloses other types of dark patterns
The FTC's study also unveiled other types of dark patterns such as obstruction, nagging, forced action, and social proof. Obstruction complicates or prolongs the process for consumers to take certain actions, like canceling a subscription. Nagging involves repeatedly prompting the consumer to perform an action that benefits the business. Forced action necessitates the consumer to take a step to access specific functionality. Social proof leverages crowd influence to sway a consumer's decision, typically toward making a purchase.
