Hyderabad: According to a LocalCircles survey, music streaming platforms, while offering convenience and affordability, are increasingly employing dark patterns or manipulative design practices to influence user decisions in ways that primarily benefit service providers.

Such practices are aimed at boosting subscriptions, retaining users and increasing revenue.

For instance, auto-renewals, unclear pricing disclosures and complex cancellation processes often result in users incurring unexpected charges-an issue that is particularly harmful in a price-sensitive market like India.

Undermining user autonomy

From a behavioural perspective, these practices undermine user autonomy by nudging individuals into decisions they may not have made voluntarily.

This leads to frustration, erosion of trust and negative perceptions of digital platforms. Consumers with lower levels of digital literacy are especially vulnerable, highlighting the need for stronger consumer protection mechanisms.

Impact of dark patterns

India has formally recognised dark patterns as unfair trade practices under its consumer protection framework.

Regulatory bodies such as the Central Consumer Protection Authority (CCPA) have issued guidelines identifying and prohibiting 13 specific dark patterns, signalling increasing regulatory scrutiny of manipulative digital design practices.

The impact of dark patterns is significant given the rapid expansion of India's music streaming market over the past decade.

This growth has been driven by affordable smartphones, low-cost mobile data and widespread internet access, positioning India as one of the world's largest music streaming markets. Music streaming platforms recorded approximately 175-185 million active listeners in 2023, with daily streams reaching hundreds of millions.

Business of paid subscriptions

India now ranks second globally, after the United States, in terms of on-demand music streaming volume.

Paid subscriptions grew from around 7-8 million users in 2023 to nearly 10-11 million in 2024, with projections estimating over 20 million paid subscribers by 2027.

Digital revenues now constitute most of the music industry's income, with streaming revenues increasing from approximately $201 million in 2020 to $541 million in 2024. Streaming has also enhanced royalty collections and artist earnings, reflecting the broader monetisation of digital music consumption in India.

These concerns have gained fresh urgency amid recent industry developments.

On June 2, Amazon announced that Amazon Music-until now bundled free with a Prime membership-will begin serving advertisements to Prime members, while ad-free listening, offline downloads and premium audio quality are moved to a new paid tier, Amazon Music Unlimited (Rs 99 per month after a six-month trial). The change effectively converts a long-standing 'included' benefit into an upsell-a textbook Bait & Switch dynamic in which terms change after users are already committed.

Similar practices are visible globally.

Platforms giving self-declaration

Regulators are beginning to respond. In a recent LocalCircles audit, of 26 platforms that self-declared as 'dark pattern free' to the CCPA, 21 were found still deploying dark patterns, with drip pricing detected on 11-underscoring that voluntary compliance remains weak and that subscription-stage manipulation persists across the digital economy.

Overall, while India's music streaming ecosystem has expanded significantly in reach and economic contribution, the use of dark patterns in subscription flows and pricing transparency imposes tangible financial burdens on consumers, erodes trust, and invites heightened regulatory attention.

49% of users confirm they very frequently experienced the Subscription Trap dark patterns

Many users of music streaming platforms take subscriptions to avoid advertisements. However, when these people want to stop the subscription for varied reasons, it is a very difficult task.

The survey asked users of music streaming platforms, "How often have you experienced difficulty in cancelling or downgrading an yearly/ monthly/ weekly subscription for a music streaming platform such that cancellation or downgrade of subscription is much harder than signing up for the subscription?" Out of 20,441 music streaming platform users who responded to the question 49% indicated that they "very frequently" faced problems when trying to downgrade their subscription; 19% of respondents indicated that they "sometimes" faced problems; 19% of respondents indicated that they "rarely" faced problems; 7% of respondents indicated that they have "never" faced any problem; and 6% of respondents did not give a clear answer. To sum up, 49% of users of music streaming platforms surveyed confirm that they very frequently experienced the Subscription Trap dark patterns such that cancellation or downgrade of their subscription was made much more cumbersome than signing up for it.

19% of users confirm SAAS billing dark pattern

On music (and general OTT) streaming platforms, many find deceptive practices or SAAS billing dark patterns designed to trick users into recurring charges, often without clear consent or an easy way to cancel.

The next asked users of music streaming platforms, "How often have you experienced with a music streaming platform that despite the service/ subscription being discontinued by you, the platform continued to charge you periodically (SAAS billing dark pattern)?" Out of 26,995 who responded to the question 19% indicated that they have experienced SAAS billing dark patterns "very frequently"; 19% of respondents indicated "sometimes"; 13% of respondents indicated "rarely"; 18% of respondents indicated that they have "never" experienced it; 14% of respondents did not give a clear answer and 17% of respondents indicated that they "have not attempted to purchase paid services/ subscriptions of music streaming platforms". To sum up, 19% of users of music streaming platforms surveyed confirm that they very frequently experienced the SAAS billing dark pattern where, despite the service/subscription being discontinued by them, the platform continued to charge periodically.

44% of users confirm Bait & Switch dark pattern

Music and video streaming platforms often advertise a desirable service or price (e.g., ad-free streaming) but then deliver something less desirable or different (Bait & Switch), often by adding hidden costs or changing terms after the user is committed.

The survey asked users of music streaming platforms, "How often have you experienced that when purchasing a subscription of a music streaming platform you are not informed that higher charges will be levied automatically on your mode of payment post the initial period?" Out of 21,713 who responded to the question 44% indicated that they have experienced Bait & Switch dark patterns "very frequently"; 19% of respondents indicated that they have experienced it "sometimes"; 12% of respondents indicated that they have "rarely" experienced it; 12% of respondents indicated "never" and 13% of respondents did not give a clear answer. To sum up, 44% of users of music streaming platforms surveyed confirm that they very frequently experienced the Bait & Switch dark pattern where higher charges were levied without intimation post the initial period.

62% of users confirm the Interface Interference dark pattern

Interface interference in the music streaming platform often centres around the subscription process, by making it difficult for consumers to take certain actions, such as unsubscribing from a service, while steering them towards actions that benefit the business. The survey asked users of music streaming platforms, "How often have you experienced that when cancelling or downgrading an yearly/ monthly/ weekly subscription for a music streaming app, the cancellation option in the interface is discouraging to lean you towards somehow keeping the subscription?" Out of 24,530 who responded to the question 62% indicated that they have "very frequently" experienced Interface Interference dark patterns; 21% of respondents indicated "sometimes"; 4% of respondents indicated "rarely"; 7% of respondents indicated that they have "never" experienced it; and 6% of respondents did not give a clear answer. To sum up, 62% of users of music streaming platforms surveyed confirm that they very frequently experienced the interface interference dark pattern where the cancellation options were designed to encourage them to somehow continue the subscription.