Latest news with #AgustinReyna
Time of India
3 days ago
- Business
- Time of India
China's Shein faces same complaint in Europe that Indian government has gone after Flipkart, Amazon, Zomato and other online companies for
The pan-European consumer organization BEUC has reportedly lodged a complaint with the European Commission, accusing Chinas fast-fashion giant Shein of employing "dark patterns" to manipulate shoppers into spending more on its app and website. These deceptive user interface tactics, designed to mislead consumers into unintended purchases, mirror practices the Indian government has been urging its e-commerce sector to regulate. Incidentally, these are the same Dark patters that Indian government have been telling ecommerce players in the country to follow guidelines on. What are Dark Patterns in online shopping Dark patterns are deceptive user interface designs that mislead or manipulate consumers into making unintended choices. These practices erode consumer trust, distort fair market dynamics, and pose a serious threat to the integrity of digital commerce. What BEUC report says on Dark Patterns Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch vàng CFDs với sàn môi giới tin cậy IC Markets Tìm hiểu thêm According to a report by Reuters, Dark patterns, such as pop-ups pressuring users not to leave the app, countdown timers creating urgency to buy, and infinite scroll features, were highlighted in BEUC's report as "aggressive commercial practices." The organization also criticized Shein's use of frequent notifications, noting one phone received 12 alerts in a single day. These methods, BEUC argues, erode consumer trust and distort fair market dynamics. 'For fast fashion, volume is key, and these dark patterns are engineered to drive mass consumption,' said Agustin Reyna, BEUC's director general, in an interview. He questioned whether Shein would have sufficient incentive to eliminate these practices, given their impact on sales. Shein responded, stating it is 'working constructively with national consumer authorities and the EU Commission to demonstrate compliance with EU laws.' The company noted that BEUC declined its request for a meeting. Shein's gamification strategies, like the 'Puppy Keep' game, where users feed a virtual dog to earn points for discounts, further encourage frequent app engagement but risk penalizing users who don't log in daily. The complaint, backed by 25 BEUC member organizations across 21 countries, including France, Germany, and Spain, also called for broader investigations into other mass-market clothing retailers using similar tactics. Last month, the European Commission warned Shein of potential fines for breaching EU consumer laws, while EU tech regulators are scrutinizing its compliance with online content rules. Guidelines on Dark Patterns in India Meanwhile, in India, Union Minister for Consumer Affairs Pralhad Joshi recently addressed dark patterns at a high-level stakeholder meeting. The meeting included major e-commerce players like Amazon, Flipkart, Swiggy, Zomato, and Reliance Retail, among others, to discuss stronger measures against these manipulative practices. The Indian government has been pushing e-commerce platforms across sectors like food, travel, and retail to adhere to guidelines curbing dark patterns, signaling a global crackdown on such tactics. BEUC's action follows a similar complaint against Shein's rival, Temu, as both platforms gain popularity in Europe through apps offering discounts and gamified shopping experiences. The growing scrutiny underscores rising concerns about the integrity of digital commerce worldwide.
CTV News
3 days ago
- Business
- CTV News
Shein hit with complaint from EU consumer group over ‘dark patterns'
Pages from the Shein website, left, and from the Temu site, right, are shown in this photo, in New York, June 23, 2023. (AP Photo/Richard Drew) LONDON - Pan-European consumers organization BEUC filed a complaint with the European Commission on Thursday against online fast-fashion retailer Shein over its use of 'dark patterns,' tactics designed to make people buy more on its app and website. Pop-ups urging customers not to leave the app or risk losing promotions, countdown timers that create time pressure to complete a purchase, and the infinite scroll on its app are among the methods Shein uses that could be considered 'aggressive commercial practices,' BEUC said in a report also published on Thursday. The BEUC also detailed Shein's use of frequent notifications, with one phone receiving 12 notifications from the app in a single day. 'For fast fashion you need to have volume, you need to have mass consumption, and these dark patterns are designed to stimulate mass consumption,' Agustin Reyna, director general of BEUC, said in an interview. 'For us, to be satisfactory they need to get rid of these dark patterns, but the question is whether they will have enough incentive to do so, knowing the potential impact it can have on the volume of purchases.' In a statement, Shein said: 'We are already working constructively with national consumers authorities and the EU Commission to demonstrate our commitment to complying with EU laws and regulations.' It added that the BEUC had not accepted its request for a meeting. Shein and rival online discount platform Temu have surged in popularity in Europe, partly helped by apps that encourage shoppers to engage with games and stand to win discounts and free products. The BEUC has also previously targeted Temu in a complaint. Shein's use of gamification, drawing shoppers to use the app regularly, has helped drive its success. In the 'Puppy Keep' game on the app, users feed a virtual dog and collect points to win free items. They can gain more points by scrolling through the app, and by ordering items, but must log into the game every day or risk losing cumulative rewards. The BEUC noted that dark patterns are widely used by mass-market clothing retailers and called on the consumer protection network to include other retailers in its investigation. It said 25 of its member organizations in 21 countries, including France, Germany and Spain, joined in the grievance filed with the Commission and with the European consumer protection network. Late last month, the European Commission notified Shein of practices breaching EU consumer law and warned it would face fines if it failed to address the concerns. The company is also under scrutiny from EU tech regulators on how it complies with EU online content rules. By Helen Reid, Reuters
CBC
3 days ago
- Business
- CBC
Consumer group accuses Shein of manipulating shoppers with 'dark patterns'
Social Sharing A consumer organization filed a complaint with the European Commission on Thursday against online fast-fashion retailer Shein over its use of "dark patterns," which are tactics designed to make people buy more on its app and website. Pop-ups urging customers not to leave the app or risk losing promotions, countdown timers that create time pressure to complete a purchase and the infinite scroll on its app are among the methods Shein uses that could be considered "aggressive commercial practices," wrote BEUC, a pan-European consumer group, in a report. The BEUC also detailed Shein's use of frequent notifications, with one phone receiving 12 notifications from the app in a single day. "For fast fashion you need to have volume, you need to have mass consumption, and these dark patterns are designed to stimulate mass consumption," said Agustin Reyna, director general of BEUC, in an interview. "For us, to be satisfactory they need to get rid of these dark patterns, but the question is whether they will have enough incentive to do so, knowing the potential impact it can have on the volume of purchases." WATCH | How dark patterns are regulated by Canadian law: How dark patterns in web design are regulated under Canadian law 2 years ago Duration 2:09 A U.S. regulator sued Amazon last month for allegedly duping customers into buying Prime memberships using a web design trick called 'dark patterns.' Here's what Canada is doing about the practice. A Shein spokesperson said in a statement that the company is "already working constructively with national consumers authorities and the EU Commission to demonstrate our commitment to complying with EU laws and regulations." It added that the BEUC had not accepted its request for a meeting. Gameification used to drive shoppers to app The BEUC also targeted the online discount platform Temu, a Shein rival, in a previous complaint. Both platforms have surged in popularity in Europe, partly helped by apps that encourage shoppers to engage with games and stand to win discounts and free products. Shein's use of gameification, drawing shoppers to use the app regularly, has helped drive its success. In the "Puppy Keep" game on the app, users feed a virtual dog and collect points to win free items. They can gain more points by scrolling through the app, and by ordering items, but must log into the game every day or risk losing cumulative rewards. The BEUC noted that dark patterns are widely used by mass-market clothing retailers and called on the consumer protection network to include other retailers in its investigation. It said 25 of its member organizations in 21 countries, including France, Germany and Spain, joined in the grievance filed with the commission and with the European consumer protection network. Late last month, the European Commission notified Shein of practices breaching EU consumer law and warned it would face fines if it failed to address the concerns.
Time of India
3 days ago
- Business
- Time of India
Shein hit with complaint from EU consumer group over 'dark patterns'
HighlightsThe Pan-European consumers organization European Consumer Organisation (BEUC) has filed a complaint with the European Commission against fast-fashion retailer Shein for employing 'dark patterns' to increase consumer purchases on its app and website. Shein's tactics include aggressive methods such as pop-ups urging customers to stay on the app for promotions, countdown timers creating a sense of urgency, and frequent notifications that can bombard users with up to 12 alerts in one day. The European Commission has already warned Shein about practices that violate EU consumer law and has stated that the company could face fines if it does not rectify these issues. Pan-European consumers organisation BEUC filed a complaint with the European Commission on Thursday against online fast-fashion retailer Shein over its use of "dark patterns", tactics designed to make people buy more on its app and website. Pop-ups urging customers not to leave the app or risk losing promotions, countdown timers that create time pressure to complete a purchase, and the infinite scroll on its app are among the methods Shein uses that could be considered "aggressive commercial practices", BEUC said in a report also published on Thursday. The BEUC also detailed Shein's use of frequent notifications, with one phone receiving 12 notifications from the app in a single day. "For fast fashion you need to have volume, you need to have mass consumption, and these dark patterns are designed to stimulate mass consumption," Agustin Reyna, director general of BEUC, said in an interview. "For us, to be satisfactory they need to get rid of these dark patterns, but the question is whether they will have enough incentive to do so, knowing the potential impact it can have on the volume of purchases." In a statement, Shein said: "We are already working constructively with national consumers authorities and the EU Commission to demonstrate our commitment to complying with EU laws and regulations." It added that the BEUC had not accepted its request for a meeting. Shein and rival online discount platform Temu have surged in popularity in Europe, partly helped by apps that encourage shoppers to engage with games and stand to win discounts and free products. The BEUC has also previously targeted Temu in a complaint. Shein's use of gamification, drawing shoppers to use the app regularly, has helped drive its success. In the "Puppy Keep" game on the app, users feed a virtual dog and collect points to win free items. They can gain more points by scrolling through the app, and by ordering items, but must log into the game every day or risk losing cumulative rewards. The BEUC noted that dark patterns are widely used by mass-market clothing retailers and called on the consumer protection network to include other retailers in its investigation. It said 25 of its member organisations in 21 countries, including France, Germany and Spain, joined in the grievance filed with the Commission and with the European consumer protection network. Late last month, the European Commission notified Shein of practices breaching EU consumer law and warned it would face fines if it failed to address the concerns. The company is also under scrutiny from EU tech regulators on how it complies with EU online content rules.
Business of Fashion
3 days ago
- Business
- Business of Fashion
Shein Hit With Complaint From EU Consumer Group Over ‘Dark Patterns'
Pan-European consumers organisation BEUC filed a complaint with the European Commission on Thursday against online fast-fashion retailer Shein over its use of 'dark patterns', tactics designed to make people buy more on its app and website. Pop-ups urging customers not to leave the app or risk losing promotions, countdown timers that create time pressure to complete a purchase, and the infinite scroll on its app are among the methods Shein uses that could be considered 'aggressive commercial practices', BEUC said in a report also published on Thursday. The BEUC also detailed Shein's use of frequent notifications, with one phone receiving 12 notifications from the app in a single day. 'For fast fashion you need to have volume, you need to have mass consumption, and these dark patterns are designed to stimulate mass consumption,' Agustin Reyna, director general of BEUC, said in an interview. 'For us, to be satisfactory they need to get rid of these dark patterns, but the question is whether they will have enough incentive to do so, knowing the potential impact it can have on the volume of purchases.' In a statement, Shein said: 'We are already working constructively with national consumers authorities and the EU Commission to demonstrate our commitment to complying with EU laws and regulations.' It added that the BEUC had not accepted its request for a meeting. Shein and rival online discount platform Temu have surged in popularity in Europe, partly helped by apps that encourage shoppers to engage with games and stand to win discounts and free products. The BEUC has also previously targeted Temu in a complaint. Shein's use of gamification, drawing shoppers to use the app regularly, has helped drive its success. In the 'Puppy Keep' game on the app, users feed a virtual dog and collect points to win free items. They can gain more points by scrolling through the app, and by ordering items, but must log into the game every day or risk losing cumulative rewards. The BEUC noted that dark patterns are widely used by mass-market clothing retailers and called on the consumer protection network to include other retailers in its investigation. It said 25 of its member organisations in 21 countries, including France, Germany and Spain, joined in the grievance filed with the Commission and with the European consumer protection network. Late last month, the European Commission notified Shein of practices breaching EU consumer law and warned it would face fines if it failed to address the concerns. The company is also under scrutiny from EU tech regulators on how it complies with EU online content rules. By Helen Reid, Inti Landauro; Editor: Mark Heinrich Learn more: Shein to Increase Product Safety Testing After EU Probe After the EU warned of potential fines due to concerns about unsafe products, Shein announced plans to increase its product safety testing and compliance spending in 2025.
