Binge Watching At A Cost? Survey Finds OTT Platforms Tricking Users With Hidden Charges, Forced Ads

(MENAFN- Live Mint) As streaming platforms gain ground across Indian households, a new survey reveals a troubling undercurrent that manipulative design practices, or“dark patterns,” are now rampant across major OTT (over-the-top) services.

According to a wide-ranging study by community platform LocalCircles, Indian consumers are increasingly falling prey to deceptive subscription tactics, hidden charges, forced app installs, and unexpected ad insertions on OTT platforms. These practices go against the spirit of fair digital services and consumer rights.

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The findings are based on over 95,000 responses from users in 353 districts, and come at a time when the Central Consumer Protection Authority (CCPA) has issued strong guidelines against such 'dark patterns .'

What are dark patterns, and why are they a problem?

'Dark patterns' are design elements intentionally embedded into digital interfaces to manipulate user behaviour, nudging them into purchases, subscriptions, or data sharing without informed consent. These can include misleading pricing, hidden cancellation options, or prompting unnecessary steps like installing apps or registering separately just to access content .

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India's CCPA formally recognised 13 such tactics in guidelines issued in November 2023, but the survey indicates OTT platforms continue to ignore or sidestep compliance.

Key findings from the survey

The report validates nine different dark patterns across OTT platforms in India. Here are the most commonly reported:

• Subscription Cancellation Maze:

50% of users said they struggled to cancel subscriptions because the option was either missing or deliberately hidden in the interface.

• Surprise Charges After Subscription (Bait & Switch):

53% reported they were not informed about additional rental fees for certain shows or movies even after paying for a full subscription.

• Drip Pricing:

47% encountered undisclosed charges like taxes and convenience fees only at the final checkout page.

• SaaS Billing Trap:

24% continued to be charged even after cancelling their subscription, a practice especially common in software-as-a-service billing models.

• Forced Actions:

77% reported being asked to install another app or provide unnecessary personal data just to access content.

• Interface Interference:

A whopping 86% of users noticed how buttons to decline offers or cancel services were either greyed out, hidden, or presented in smaller fonts compared to the more visible“Subscribe” or“Accept” buttons.

Industry complacency?

The survey shows widespread non-compliance despite the CCPA's three-month deadline (ending September 2025) for platforms to adhere to new dark pattern regulations. Many OTT services, the report notes, have brushed off the directive as“e-commerce specific,” continuing with the same practices.

OTT users now liken these platforms to“television 2.0”, but with ads, hidden rentals, and fewer user rights.

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“Consumers signed up expecting ad-free experiences. But midway through their subscriptions, they are being asked to pay more for ad-free plans or forced to watch ads. It's misleading and breeds distrust,” said Dr. Shikha Sharma, a digital rights advocate quoted in the report.

The Road Ahead: Regulation or Reform?

LocalCircles recommends stronger enforcement of existing guidelines and direct regulatory action if platforms fail to course-correct. The platform has also launched consumer education drives, urging users to report such practices.

If left unchecked, these manipulative designs could significantly erode user trust, posing a challenge to OTT platforms looking to sustain long-term subscriptions in a highly competitive digital market.

Survey Snapshot

For the survey, over 95,000 users responded from 353 districts across India. 63% were male and 37% female respondents from a mix of Tier 1, 2, and rural participation.

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