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Many subscription services are using deceptive design tricks to manipulate consumers into paying up, according to a study sponsored by the US Federal Trade Commission.
The FTC's audit, which involved a group of international consumer protection agencies examining 642 websites and mobile apps that offer premium services, was looking for “dark patterns,” or a method of steering, deceiving, or coercing a user into paying for a product or service. Although subtle, dark patterns can be baked into the design of a website or app, particularly during the checkout process or when signing up for a free trial.
The audit found that 75.7% of the reviewed websites and apps “employed at least one dark pattern, and 66.8% of them employed two or more dark patterns,” according to the International Consumer Protection and Enforcement Network (ICPEN), of which the FTC is a member.
(Credit: ICPEN)The most frequent dark pattern used is "the inability of the consumer to turn off a subscription's auto-renewal within the purchase flow," the audit says.
“Other prevalent practices are the lack of information given on the steps to cancel during the enrollment process and not providing information on a date by which the consumer needs to cancel before being charged (again),” according to the report, which concludes "that dark patterns are widespread.”
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In addition, about a third of the apps and websites “made use of false hierarchy to more prominently place a subscription that is advantageous” to the merchant. “In the case of pre-selection, options more beneficial to the business, such as a more expensive subscription or a longer subscription period, are selected by default,” ICPEN said.
The audit doesn't name any of the subscription services, nor does it examine whether the apps and websites are breaking local laws.
The FTC didn’t immediately respond to a request for comment. But in September 2022, the agency released its own report about the rise of dark patterns and warned it could sue offenders for misleading consumers.
The audit is a reminder to be careful around subscription service and online retailers. Check out our guides on how to spot and avoid dark patterns and keep tabs on subscriptions.