India's apex consumer protection body has imposed a significant financial penalty on a major quick commerce player for employing deceptive online design tactics. The Central Consumer Protection Authority (CCPA) has fined Zepto ₹700,000 for utilizing 'dark patterns' and misleading pricing strategies, which include drip pricing and basket sneaking, in clear violation of the Consumer Protection Act, 2019.
What Constituted the Violations?
The CCPA's order, issued on December 5, 2025, details that Zepto's platform was found guilty of drip pricing. This practice involves advertising a product at a lower initial price only to inflate the final cost at checkout by adding undisclosed mandatory charges like handling fees. In one specific reality test conducted by the CCPA on January 2, 2025, an item (Colossal Kajal) was shown as ₹170 initially, but the final cart price jumped to ₹177.44 after adding a handling charge and a Zepto Pass membership fee.
Furthermore, the authority identified basket sneaking on the platform. This occurs when optional items or services, such as a Zepto Pass subscription, are automatically added to a user's shopping cart without their explicit consent, forcing them to manually deselect the add-on. The CCPA stated that these charges were not disclosed at the beginning of the transaction, appearing only late in the purchase flow, which impaired the consumer's ability to make an informed decision.
Zepto's Defense and the Regulator's Rebuttal
During the final hearing, Zepto, represented by its Head of Litigation Ashutosh Shekhar Paarcha, argued that all fees were disclosed in the platform's terms of use and that additional charges were levied by individual sellers, not retained by Zepto. The company also stated it had modified its user interface to remove pre-selected features for better clarity.
However, the CCPA countered that these UI changes were implemented only after regulatory intervention and did not absolve the company of its prior violations. The regulator held that Zepto's practices breached the Guidelines for Prevention and Regulation of Dark Patterns, 2023, specifically the clauses prohibiting drip pricing (Para 4(12)) and basket sneaking (Para 4(1)). The authority also found violations of the Guidelines for Prevention of Misleading Advertisements, 2022, and Rule 6 of the Legal Metrology (Packaged Commodities) Rules, 2011, which mandate all-inclusive pricing.
Broader Regulatory Crackdown on Dark Patterns
This action against Zepto is part of a wider crackdown by Indian authorities on unfair digital trade practices. The CCPA had issued notices to 11 companies, including Zepto, Rapido, Uber, and Ola, in May, warning them against using dark patterns. Zepto is the second company to be penalized after Rapido, which was fined ₹1 million in August for misleading advertising.
Legal experts emphasize the significance of this order. "The CCPA’s action reinforces that dark patterns are not just unethical design choices but violations of statutory obligations," said Manish K Shubhay, partner at The Precept-Law Offices. He added that price transparency and consumer consent are legal requirements, not optional features for online platforms.
The government has identified 13 types of dark patterns, which are deceptive designs intended to trick users into actions they did not originally intend. These practices subvert consumer autonomy and choice. The CCPA, established in 2020, has been active in penalizing entities for misleading advertisements, with penalties exceeding ₹90 lakh imposed on 26 coaching institutes alone.
As of press time, queries sent to Zepto's co-founder and CEO Aadit Palicha, its spokesperson, and the Ministry of Consumer Affairs remained unanswered. It is unclear whether Zepto will pay the penalty or challenge the order before the National Consumer Disputes Redressal Commission (NCDRC) or a higher court.
The CCPA has directed Zepto to cease using dark patterns, ensure upfront disclosure of all mandatory charges, redesign its user interface for compliance, and submit a report within 15 days. This case underscores the growing regulatory scrutiny on India's booming online retail market, projected to grow from $75 billion in 2024 to $260 billion by 2030, with quick commerce expanding at 70-80% annually.
