CCPA Imposes Rs. 10 Lakh Penalty on Rapido Over Misleading Tipping Prompts and Dark Patterns.
New Delhi:
The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs. 10 lakh on Roppen Transportation Services Private Limited, operator of the ride-hailing platform Rapido, for allegedly using misleading advertisements, unfair trade practices, unfair contract terms and dark patterns that encouraged riders to pay additional amounts before their rides were confirmed.
The action follows a sector-wide examination by the CCPA into advance-tipping and dynamic-pricing practices adopted by cab and bike-taxi aggregator platforms in India. The authority found that Rapido displayed prompts including “Higher the price, higher the chance of getting a ride” and “Captains aren’t accepting at ₹60. Try adding +10, +20, +30” while a booking was being processed.
CCPA Finds ‘Confirm Shaming’
According to the CCPA, the practice created an impression that consumers could improve their chances of securing a ride by paying more after the initial fare had already been quoted and the booking initiated.
The authority classified the practice as “Confirm Shaming”, a dark pattern recognised under the Guidelines for Prevention and Regulation of Dark Patterns, 2023. It held that the prompts created a sense of urgency and concern that the consumer could lose the ride unless an additional amount was paid.
Pricing Slider Also Under Scrutiny
The CCPA separately examined Rapido’s “Set your price” feature and concluded that its design influenced consumers towards increasing their offered fare.
According to the authority, higher prices were accompanied by a green indication suggesting a “higher chance of getting a ride”, while lower prices triggered red or orange warnings. The authority also observed that the slider provided greater scope for increasing than decreasing the price.
The CCPA classified this as “Interface Interference”, stating that the visual design itself could steer consumers towards paying more.
Advance Tipping Questioned
The authority also raised concerns over presenting additional payments as tips before a ride had begun. It noted that the fare shown during booking already factors in elements such as distance, travel time, traffic and tolls.
The CCPA observed that a tip is ordinarily voluntary and paid after a service has been rendered. It also referred to the Motor Vehicle Aggregator Guidelines, 2025, which require tipping facilities to be made available only after completion of the ride.
Rapido had maintained that tipping was voluntary and that its matching algorithm continued to function irrespective of whether riders offered additional money. The company also argued that the prompts reflected real-time negotiations similar to those that may occur between riders and drivers offline.
The CCPA rejected these submissions, observing that the timing and design of the prompts could place pressure on consumers at a stage when they were dependent on the platform. The authority further noted that Rapido had not provided data demonstrating that paying an additional amount actually increased the likelihood of securing a ride, and therefore considered the claim unsubstantiated and misleading.
Action Part of Wider Sectoral Scrutiny
The penalty is part of the CCPA’s broader examination of consumer practices across ride-hailing and bike-taxi platforms. The authority had earlier issued notices to Uber, Ola, Rapido and Namma Yatri regarding advance tipping and dark patterns, directing the platforms to comply with the 2023 guidelines and submit self-declarations on compliance.
The CCPA said its examination of Uber and Ola remains ongoing.
The authority reiterated its commitment to protecting consumers from misleading advertisements and unfair trade practices under the Consumer Protection Act, 2019.
Consumers can register complaints concerning misleading advertisements, unfair trade practices or dark patterns through the National Consumer Helpline at 1915 or by contacting the CCPA through its official email channel. The final order is available on the CCPA website.
