Despite years of regulatory scrutiny, dark patterns deployed by online platforms continue to mislead Indian customers and prevent them from making right choices. However, a new study has a bold proposal: Ensure all listed companies and those planning to list in India do not use dark patterns in their digital consumer journey and transactions.The intervention might prove to be effective given that over 95 per cent of publicly-listed companies involved in online consumer transactions are riddled with various dark patterns, according to the study published by LocalCircles on Tuesday, July 7. These dark patterns are deployed during the online selection, transaction, and returns or refund journey of consumers, the community social media platform said.The deceptive tactics primarily rely on manipulative interface designs through subscription renewals, forced cancellation processes, inaccurate pricing displays, consent mechanisms, personalised recommendations, gamified engagement, and behavioural nudges that influence consumer decisions, as per the study.The LocalCircles study was carried out by gathering consumer complaints on 300 platforms over the past 12 months and using a proprietary AI-powered dark pattern detection tool to screen the companies for dark patterns. While it is unclear which companies failed the test, the study declared a few listed firms such as Meesho, Jockey, Hamleys, Eco Mobility, and EasyMyTrip as “dark pattern-free”.Beyond publicly listed companies with online platforms, the study revealed that only seven companies out of the 23 which after self-audit, claimed themselves to be dark pattern-free and submitted a self-declaration to the (Central Consumer Protection Authority), were actually free of the deceptive manipulative practices.“Such practices have significant implications for consumer trust, corporate governance and long-term business conduct,” the study read. The findings of the study highlight the limits of the current self-audit framework and the need for a stronger verification mechanism to screen out online platforms with dark patterns.Hailing the Securities and Exchange Board of India’s (SEBI) proposed Common Advertisement Code (CAC) as a positive first step towards addressing such manipulative practices, the study called on the country’s markets regulator to ensure that all listed companies and those planning to list in India do not use dark patterns in their digital consumer journey and transactions. This comes weeks after SEBI proposed a Common Advertisement Code (CAC) 2026 in a consultation paper.Story continues below this adWhat is CAC?The draft code expressly prohibits the use of dark patterns such as false urgency, subscription traps, hidden charges, confirm shaming, misleading default settings, disguised advertisements, and other interface designs intended to influence investor decisions unfairly.It also bans promotional inducements such as cashback offers, trading vouchers and free subscriptions designed to encourage trading or app downloads, while tightening rules governing influencer endorsements and the use of performance ratings.Also Read | Indians lose up to Rs 28,000 crore per year to dark patterns; Nykaa, BigBasket among worst offendersIt also looks to incorporate the CCPA’s Guidelines for Prevention and Regulation of Dark Patterns, 2023, to ensure that ads and investor communications are transparent and free from manipulative design.If adopted, the CAC will be applicable across websites, mobile applications, advertisements, onboarding journeys, email campaigns, social media promotions and investor communications of brokers, mutual funds, investment advisers, portfolio managers, depositories, research analysts, and other SEBI-regulated entities.Story continues below this adOther key findingsAs part of its study, LocalCircles said it analysed over 310 platforms and tabulated the dark patterns used in different sectors. It also examined the platforms to understand which dark patterns are most prevalent in India.The following sectors reported seven or more types of dark patterns: Digital Lending, Edtech, Online Banking, eCommerce, OTT, App Taxis, eCommerce Inventory, Food Delivery, Online Grocery, Broadband, Recruitment/ Professional Networking, Travel, Information Services, Movie/ Event Ticketing, Online Payments, Home/Other Services, Online Gaming, Real Estate, Online Insurance, Foreign Currency, Apps & Software, Hotel/ Homestays.The study found four to six different types of dark patterns in the following sectors: Airlines, Train Ticketing, Mobile Telecom, Voice Assistants, Dining Services, Governance Services, Home Health Services, Others, Electric Scooters, Online Financial Trading, Car Resale, Pathology & Diagnostics, Cryptocurrency, Dating & Matrimonial, Quick Commerce, Digital Gold, Music Streaming, and Online Jewellery.The sectors with the least types of dark patterns used include Car Rental, Medicine & Health Services, and Mobile Devices.Story continues below this adAlso Read | Why IRDAI has brought in a statutory body to curb dark patterns in insuranceAs for which dark patterns are most common, Drip Pricing was found on 214 platforms (65 per cent); Interface Interference was found on 170 platforms (52 per cent),; Bait & Switch has been found on 171 platforms (52 per cent); Nagging was found on 118 platforms (36 per cent); Subscription Trap has been found on 110 platforms (33 per cent); and Privacy Zuckering was found on 68 platforms (21 per cent), among others.In response to SEBI’s invite for stakeholder comments on dark pattern governance, LocalCircles said it shared a dark pattern free ‘self declaration’ framework to be used by all listed companies and those wanting to list must submit the self-declaration to the regulator.