Drip pricing is a strategy where companies advertise a lower price initially to attract customers. Then, during the checkout process, they gradually add extra fees and charges, making the final price significantly higher than what was advertised. These additional charges can be for convenience fees, handling fees, taxes, or other miscellaneous costs.
Why is it a Problem?
Drip pricing is misleading because it creates the illusion of a cheaper product or service. Customers invest time and effort in the purchase process, filling out forms and entering information, only to find out the actual price is much higher at the last minute. This can be frustrating and make it difficult to compare prices effectively between different businesses.
What are Your Rights?
The Indian government, through the Ministry of Consumer Affairs, has declared drip pricing illegal. This means businesses are required to show the total price upfront, including all taxes, fees, and other charges.
What You Can Do
- If you encounter drip pricing, you can report it to the National Consumer Helpline by calling 1915.
- Look for businesses that are transparent about their pricing and show the final price upfront.
- Be aware of hidden fees and charges before making a purchase.
By understanding drip pricing and your rights as a customer, you can avoid being misled and make informed purchasing decisions.
The Ministry of Consumer Affairs in India specifically mentioned these resources for consumers who face drip pricing. It’s good to reiterate these options:
- National Consumer Helpline (NCH): 1915
- WhatsApp: 8800001915
By including these contact details, you can empower others to take action against drip pricing and ensure they get the transparent pricing they deserve.