Government probe and public backlash mount against ride-hailing giants
Major ride-hailing platforms — Ola Cabs, Uber, and Rapido — are under fire from both the Indian government and users for introducing an “advance tipping” feature that allegedly promotes unfair practices. The feature, which prompts users to offer a tip before a ride is confirmed, is being scrutinized by the Central Consumer Protection Authority (CCPA) and has sparked outrage online.
The CCPA recently issued a notice to Uber, questioning the ethics of encouraging users to “add a tip for faster pickup.” Consumer Affairs Minister Pralhad Joshi called the feature “exploitative,” arguing that it turns tipping — traditionally a post-service gesture of appreciation — into a prerequisite for basic service.
“Coercing or nudging users to tip upfront in exchange for faster rides is an unfair trade practice. A tip should never be a condition for service,” Joshi stated.
The Rise of Advance Tipping
The controversial feature traces its origins to Namma Yatri, a Karnataka government-backed ride-hailing app, which introduced advance tipping in 2022. Rapido adopted the model in 2023, followed by Uber in April 2025. Ola has implemented a similar system, which nudges users to offer more money in exchange for better ride availability.
While companies insist the feature is optional, critics argue it creates a pay-to-ride environment. Rapido, for instance, says the tipping prompt only appears if no driver accepts a ride within 30 seconds. Namma Yatri has since reworded its prompt from “add a tip” to “add more (voluntary)” to emphasize user choice.
But in a competitive ecosystem where users fear losing out on rides to those who tip, the “voluntary” nature of the feature becomes questionable.
A Dark Pattern?
Experts believe the tipping model may be an example of dark patterns and drip pricing — deceptive design practices that manipulate user behavior.
Dark patterns refer to interface designs that subtly push users into making choices they wouldn’t otherwise make. In this case, suggesting that tipping improves ride chances preys on user anxiety. Drip pricing, on the other hand, involves displaying a low base fare and gradually adding hidden costs — a tactic already criticized in sectors like air travel.
A recent study by the Advertising Standards Council of India (ASCI) found that 52 of the 53 top apps in India employ some form of manipulative UI/UX, with health-tech, booking, and e-commerce platforms leading the pack. The study also flagged widespread use of deceptive tactics such as false urgency, privacy misdirection, and interface interference.
Users Outraged
Online sentiment toward advance tipping has been overwhelmingly negative. Social media platforms are flooded with posts criticizing the move as a “scam” and “digital haggling.”
“This ‘advance tip’ scheme started with Bengaluru autos and spread like a virus. It’s now daylight robbery on Uber and Rapido,” one user posted on X (formerly Twitter).
“Drivers refuse to accept rides unless you add a tip. Sometimes they wait till the tip reaches 60–80% of the fare,” another claimed.
“We switched to apps to avoid negotiating fares. Now we’re being forced to haggle again — just digitally,” a post read.
Some users have also questioned whether the tips truly go to drivers, or if platforms are taking a share in addition to their aggregator fees. Others pointed out that ride-hailing companies’ pricing models already fail to compensate drivers adequately for pickup distance, wait times, or wear and tear — and the new tipping system only worsens that imbalance.
What’s Next?
Minister Joshi urged all digital platforms to self-audit and remove deceptive practices, stating:
“Companies should not wait for CCPA action. Eliminating such tactics is not just about regulation — it’s about earning consumer trust.”
As investigations continue, Uber, Ola, and Rapido face mounting pressure to justify their practices or roll back the controversial feature. Until then, what was once hailed as a seamless, transparent alternative to traditional transport is starting to resemble the very chaos it was meant to eliminate.
