Following the OFT initiative to better regulate in-app purchases, the European Union is now also taking action to safeguard consumers. Concerns have been raised all over Europe and the EU are currently working with narional agencies and major industry players to shape good practices moving forward.
Vice-President Viviane Reding, the EU's Justice Commissioner said: "Europe's app industry has enormous potential, both to generate jobs and growth, and to improve our daily lives through innovative technology. For the sector to deliver on its potential consumers must have confidence in new products. Misleading consumers is clearly the wrong business model and also goes against the spirit of EU rules on consumer protection. The European Commission will expect very concrete answers from the app industry to the concerns raised by citizens and national consumer organisations."
Commissioner Neven Mimica, responsible for Consumer Policy said: "Consumers and in particular children need better protection against unexpected costs from in-app purchases. National enforcement authorities and the European Commission are discussing with industry how to address this issue which not only causes financial harm to consumers but can also put at stake the credibility of this very promising market. Coming up with concrete solutions as soon as possible will be a win-win for all."
The four most important points identified by the EU are:
Games advertised as "free" should not mislead consumers about the true costs involved;
Games should not contain direct exhortations to children to buy items in a game or to persuade an adult to buy items for them;
Consumers should be adequately informed about the payment arrangements and purchases should not be debited through default settings without consumers' explicit consent;
Traders should provide an email address so that consumers can contact them in case of queries or complaints.