The Advertisement Board ("Board") in Turkey meets monthly to review and finalize decisions on commercial advertisements and practices. In their 349th meeting, they focused on deceptive practices in digital platforms, often referred to as "dark commercial patterns."
Background
In February 2022, a significant amendment was made to the Regulation on Commercial Advertising and Unfair Commercial Practices. This amendment targets deceptive online methods that negatively affect consumers' freedom to make informed decisions. Such methods include manipulative interface designs, confusing options, misleading expressions. These practices aim to influence consumer choices in favor of the seller or service provider, often leading consumers to make decisions they wouldn't normally make.
Based on this Regulation, the Board conducted inspections on commercial practices carried through digital platforms, including YouTube, Amazon Prime, Disney+, Spotify, Netflix, and others.
Board's Decision on Digital Platforms
The Board's evaluations are detailed as follows:
1. YouTube
- Commercial Practice: The "Individual" subscription plan was pre-selected during sign-up. Users had to share payment information for a "1-month free trial", which led to automatic subscription charges if not canceled.
- Board's Evaluation: Pre-selecting the individual plan influences consumer choice unfairly. Requiring payment information for a free trial that auto-renews misleads consumers and violates fair competition. Additionally, hiding the "X" to decline an offer affects users' freedom of choice.
2. Amazon Prime
- Commercial Practice: Users were required to share payment information for a "30-day free trial", leading to automatic subscription renewal.
- Board's Evaluation: The practice misleads consumers by initiating automatic subscriptions, violating fair competition principles.
3. Disney+
- Commercial Practice: The annual subscription plan was pre-selected during sign-up.
- Board's Evaluation: Pre-selecting the annual plan directs consumers toward a more extended commitment without active choice, unfairly influencing their decision.
4. Spotify
- Commercial Practice: Users were required to share payment information for a "1 month free trial", leading to automatic renewal. The cancellation and data deletion processes were complicated.
- Board's Evaluation: Automatic subscription renewal without clear consent and a difficult cancellation process misleads consumers and restrict their freedom of choice.
5. Netflix
- Commercial Practice: The "Special" plan was pre-selected and labeled as "most popular."
- Board's Evaluation: Pre-selecting a plan and using labels like "most popular" directs consumer choice unfairly.
6. Blu TV
- Commercial Practice: The "Continue" button for upgrading to an annual subscription was more prominent than the "X" to decline.
- Board's Evaluation: Consumers should have equal opportunity to accept or reject offers. Making the decline option less noticeable affects their decision-making freedom.
7. Mubi
- Commercial Practice: The monthly subscription was pre-selected, and users had to share payment information for a "7-day free trial" leading to automatic renewal.
- Board's Evaluation: Pre-selecting the monthly plan and initiating automatic subscriptions without clear consent mislead consumers.
8. Storytel
- Commercial Practice: The monthly plan was pre-selected, and the "Unlimited" plan was labeled as "most popular." A "7-day free trial" required payment information, leading to auto-renewal.
- Board's Evaluation: Pre-selection and promotional labels influence consumer choices unfairly. The free trial leading to automatic subscription without explicit consent misleads consumers.
9. TOD TV
- Commercial Practice: Extra services like "Smart TV" and "Apple TV 4K" were pre-selected. The "Super Full Package" was labeled as "best-seller," and the option to proceed without upgrades was hidden.
- Board's Evaluation: Pre-selecting extras and using promotional labels direct consumer choices. Hiding options restricts decision-making freedom of consumers.
10. Game+
- Commercial Practice: The "3-month premium package" was pre-selected during sign-up.
- Board's Evaluation: Pre-selecting a premium package directs consumers toward more expensive options without active choice.
11. Fintables
- Commercial Practice: The "Pro" package was highlighted with a "most preferred" label, and the annual subscription was pre-selected.
- Board's Evaluation: Highlighting and pre-selecting costlier options influence consumer choices unfairly.
As a result of these evaluations, the Advertisement Board decided to impose suspension penalties on the commercial practices of all the above-mentioned digital platforms.
Exception: Fizy
Among the reviewed platforms, Fizy was not subjected to any penalties. While it required users to share credit or debit card information for offers labeled "free for the first month", Fizy clearly informed consumers that they were entering into a subscription.
The Board determined that Fizy did not engage in unfair practices or deception since consumers were explicitly informed that a subscription process was being initiated. Additionally, there were no misleading terms or hidden hurdles in canceling the subscription.
Key Takeaways from the Board's Findings
- Pre-selection of Plans: Pre-selecting subscription plans (e.g., annual or premium options) unfairly influences consumer decisions by limiting their active choice.
- Automatic Subscription Renewal: Requiring payment information for free trials leading to auto-renewals without explicit consumer consent is misleading and violates fair competition principles.
- Prominent Promotional Labels: Labeling plans as "most popular" or "best-seller" directs consumers toward specific options, unfairly affecting their decision-making process.
- Imbalanced Decline Options: Making the option to decline or cancel less visible (e.g., hiding the "X" button) restricts consumers' decision-making autonomy.
- Complicated Cancellation Process: Difficult cancellation or subscription management processes limit consumers' freedom and mislead them into maintaining subscriptions involuntarily.
Conclusion
The Board has previously examined dark commercial patterns, however these recent decisions mark the first time it has addressed subscription services offered by international digital platforms widely used by consumers. The Board emphasized that as long as consumers receive accurate and complete information—without any misleading or deceptive statements—such commercial practices will not be deemed unfair.
This highlights the critical importance of transparency, fair competition, and consumer autonomy in the digital marketplace. Consumers should be able to make choices without undue influence, ensuring their decision-making process is respected.
The suspension penalties imposed by the Board serve as warnings. Repeated violations may lead to administrative fines. Therefore, digital platforms and advertisers are expected to promptly adjust their practices to comply with the regulations.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
