Consumer protection authorities call for global ‘manipulative design’ crackdown

The calls follow a global investigation into 439 mobile and online games, which revealed the prevalence of design techniques such as ‘sneaking', ‘nagging’, and ‘obstruction’ that may aim to manipulate players as young as three into making decisions or purchases they would not otherwise make.

‘Sneaking’ refers to where information is intentionally withheld or hidden, such as the real-world price of virtual in-game currencies. ‘Nagging’ is the use of repeated, seemingly endless notifications or reminders, resulting in players agreeing to an action, such as making an in-app purchase out of frustration. ‘Obstruction’ refers to where a game is intentionally designed to block a player in a certain that frustrates them into making a decision or purchase to progress further.

Commenting on the report, Dublin-based regulatory compliance and consumer protection lawyer, Isabel Humburg of Pinsent Masons, said: “The investigation highlights concerns with game design that may disproportionately affect vulnerable users, particularly children. The apparently widespread use of manipulative techniques like ‘sneaking’ and ‘nagging’ in games rated for ages three and up underscores the urgent need for regulatory scrutiny. As the latest report highlights, these practices encourage behaviour that ‘is beneficial to the developer, but often harmful to players’.”

The CCPC, alongside twenty other national consumer authorities and the International Consumer Protection and Enforcement Network (ICPEN), carried out the investigation between 31 March and 11 April 2025 and identified several other potential consumer harms, including 'loot boxes' – in-game rewards which can be bought with real or virtual currency, or earned by watching in-game ads or spending time in the game – which allow developers to generate revenue.

In particular, the investigation found that only 30% of those games surveyed which contained such 'loot boxes' disclosed the presence of this monetisation tool at the download stage. Additionally, of those games that contained 'loot boxes', only 45% displayed the probabilities of winning items from them. The sweep also identified that 'loot boxes', in-game purchases and in-game advertisements were just as common in games rated ages three and up as they were in any other age group.

Conall Ennis, who specialises in corporate transactions in the gaming sector, said loot boxes have quickly evolved into a reliable revenue stream for interactive games. “The data driven nature of modern gaming allows for playing and spending habits to be effectively tracked, which in turn enables developers to build an accurate profile of the relevant players, which can then be financially exploited with the proper in-game incentives,” said Ennis. “The regulatory framework around this issue has yet to catch up and it poses a number of ethical issues, in particular where the players are children.” 

The CCPC said it will further assess the games for potential breaches of Irish and EU consumer protection laws, especially where misleading or pressure-based tactics have been used.

ICPEN is a network of member and partner authorities representing over 80 countries and includes the CCPC, Germany’s Federal Ministry of Justice and Consumer Protection and the Australian Competition & Consumer Commission.

Concluding its report (3 pages / 385KB) on the investigation, the organisation said: “Given the prevalence of these practices in video games and the worldwide reach of this entertainment industry, the participating members of the sweep recommend more action from the industry, regulatory bodies and legislators.”

This isn’t the first time that in-game ‘loot boxes’ have been examined by consumer protection authorities. Earlier this year, several European national consumer protection authorities, in conjunction with the European Commission, launched enforcement action concerning the use of in-game virtual currencies and published compliance guidance for the gaming sector.

Angelique Bret, competition law and consumer protection law expert at Pinsent Masons, said the latest global investigation signalled the growing “international focus among consumer law enforcers on the gaming industry.”

In the UK, the Competition and Markets Authority (CMA) has long focused on tackling misleading or aggressive practices linked to online choice architecture (OCA), covering in-game virtual currencies as well as other practices. It has also previously investigated consumer protection concerns involving online gaming in the gambling sector, which led to firms changing their practices and the CMA publishing guidance for businesses and consumers.

Bret added that from April 2025, the CMA has new direct enforcement consumer law powers, modelled on competition law, that allow it to determine consumer law breaches without court action and to fine businesses up to 10% of their annual global turnover. “Businesses marketing or selling goods, services or digital content to UK consumers – even if the businesses are based outside the UK – now face significantly higher non-compliance risk associated with misleading or manipulative OCA including in online or mobile games,” she said.