In Singapore, three prominent online retailers, namely Boarding Gate, Origin Sleep, and Light In The Box, have been implicated in deceptive practices aimed at manipulating consumers’ purchasing behaviors.
These retailers were found to be manipulating elements of their websites. They employed tactics often referred to as ‘dark patterns’, which included showcasing sham visitor counts, fraudulent countdown timers, and bogus discount claims. These tactics are used to generate an unnatural sense of urgency and product demand.
Deceptive Tactics
In the case of Boarding Gate, the company’s website was found to be displaying random figures that purportedly represented the number of viewers per product. This sly practice gives consumers the impression of high demand and real-time visitor activity, thereby pressuring them into making rapid purchasing decisions.
Origin Sleep, also, resorted to similar manipulative strategies. The company’s website featured countdown timers suggesting that purchases had to be finalized before the given time ran out, even though these timers held no actual significance. Moreover, Origin Sleep was found to be conducting a supposedly limited-time sales offer. However, this “flash sale” was discovered to have continued for nearly two years under various pseudonyms.
Light In The Box, on the other hand, displayed ‘Almost sold out’ notifications on items to suggest scarcity. In actuality, these labels were arbitrarily applied to create promotional effects. The company also provided misleading information about savings by comparing discounted prices with higher ‘original’ prices, which were never genuinely offered.
Alvin Koh, the CEO of the Competition and Consumer Commission of Singapore (CCS), said that “dark patterns are insidious as they are difficult to detect and erode consumer trust in the digital marketplace.” He vowed that the CCS would continue to act firmly to safeguard consumer trust and honest businesses from those who engage in unfair competition.
The three accused companies have since provided formal promises to the CCS. They have ceased their misleading actions and pledged to refrain from unjust trading practices in the future.
Previous Violations
In the previous year, Courts and Prism+, retailers of electronics and home appliances, were found to have contravened trading laws. They either charged consumers for products that were not selected or employed specific website features to create a false sense of urgency to purchase.
Questions & Answers
What are ‘dark patterns’?
Dark patterns refer to manipulative techniques used on websites to influence consumers’ purchasing decisions.
How have companies employed these ‘dark patterns’?
Companies have used bogus visitor counts, fraudulent countdown timers, and false discount claims to generate an unnatural sense of urgency and product demand.
What are the steps taken by the Competition and Consumer Commission of Singapore (CCS) to prevent such practices?
The CCS has been proactive in detecting and combating such unethical practices. The implicated companies have been made to cease their deceptive tactics and have pledged to refrain from unfair trade practices in the future.
