Image

Government Warns Against ‘Drip Pricing’ on E-Commerce Platforms

 

  • The Department of Consumer Affairs has issued a strong advisory cautioning shoppers against ‘Drip Pricing’—a deceptive online pricing tactic where hidden fees are revealed only at checkout. The warning comes during the festive shopping season, as digital sales and quick commerce transactions surge.

What is Drip Pricing?

  • ‘Drip Pricing’ involves displaying a low initial price to attract buyers while gradually adding undisclosed charges such as convenience, delivery, or service fees during payment. The practice misleads consumers and violates fair trade norms.

Industries Using Drip Pricing:

  • Hotels: Hidden resort or cleaning fees added at checkout.

  • Airlines: Low fares excluding baggage and seat selection charges.

  • Car Rentals: Extra fees for insurance or late returns.

  • E-Commerce: Added shipping or packaging costs.

  • Event Tickets: Extra service or processing fees before payment.

Government’s Advisory:

  • The Department, via its official handle @jagograhakjago , classified ‘Drip Pricing’ as a Dark Pattern under the Consumer Protection (E-commerce) Rules, 2020 . It urged consumers to review the final amount before payment and report any violations to the National Consumer Helpline (1915) .

Exam Facts:

  • ‘Drip Pricing’ is a Dark Pattern under consumer protection laws.

  • Report complaints via NCH helpline 1915 .

  • Hidden charges often include service, packaging, or convenience fees .

  • Awareness driven by the ‘Jago Grahak Jago’ campaign.

Festive Sales Context:
The alert comes amid record Diwali 2025 e-commerce growth , with order volumes up 24% and GMV rising 23% year-on-year, according to Unicommerce. Quick commerce platforms saw 120% growth , driven by Gen Z shoppers. The government urged consumers to remain vigilant and ensure price transparency in online purchases.

Month: 

Category: 

1