Negative option marketing: Difference between revisions
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'''Negative option marketing,''' or NOM, | '''Negative option marketing,''' or NOM, is a practice in which businesses proactively make changes that restrict users freedom in way that they may have once originally taken the users silence or inaction to be acceptance. | ||
==How it works== | ==How it works== | ||
A company like a gym may make it super easy to sign up online. But when it comes time to cancel your membership to change to a new gym the consumer later finds out that they have to certify mail the gym to cancel the same membership they signed up for online. While a company could implement a easy cancel option they proactively choose not to keep those who would just accept the cost outweighing the time spent to cancel. | A company like a gym may make it super easy to sign up online. But when it comes time to cancel your membership to change to a new gym the consumer later finds out that they have to certify mail the gym to cancel the same membership they signed up for online. While a company could implement a easy cancel option they proactively choose not to keep those who would just accept the cost outweighing the time spent to cancel.<ref>{{Cite web |last=FTC |title=Enforcement Policy Statement Regarding Negative Option Marketing - negative_option_policy_statement-10-22-2021-tobureau.pdf |url=https://www.ftc.gov/system/files/documents/public_statements/1598063/negative_option_policy_statement-10-22-2021-tobureau.pdf |url-status=live |access-date=2025-11-02 |website=FTC GOV}}</ref> | ||
==Why it is a problem== | ==Why it is a problem== | ||
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===Consumer Entrapment=== | ===Consumer Entrapment=== | ||
By making the process as easy as possible weather it be creating an account or subscribing to a service users should have a say on if there account should be deleted or a subscription canceled by not providing these options to consumers they are effectively trapped for what they signed up for | By making the process as easy as possible weather it be creating an account or subscribing to a service users should have a say on if there account should be deleted or a subscription canceled by not providing these options to consumers they are effectively trapped for what they signed up for | ||
=== Loss of ownership === | |||
Specific devices like cameras, watches, light bulbs etc... may require app activation to use something that should "just work" out of the box. But instead force you to download something you did not consent to when purchasing it | |||
===Privacy=== | ===Privacy=== | ||
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==Examples== | ==Examples== | ||
{{ | LA Fitness making it easy to sign up for a membership but requires first class mail to cancel a subscription<ref>{{Cite web |last=Rossmann |first=Louis |date=2023-08-24 |title=LA Fitness gym cancel scam - fight for the right to cancel! |url=https://www.youtube.com/watch?v=w6gF1z3WkWU |url-status=live |access-date=2025-11-02 |website=Youtube}}</ref> | ||
DND Beyond allowing you to make an account online but force request via '''email''' to have a chance of your account being deleted by them having to provide additional information that was not necessary on account signup<ref>{{Cite web |date=2022-01-09 |title=The Multi-Day Odyssey to Account Deletion (Ongoing) |url=https://www.reddit.com/r/dndbeyond/comments/10b9y9v/the_multiday_odyssey_to_account_deletion_ongoing/ |url-status=live |access-date=2025-11-02 |website=Reddit}}</ref> | |||
DJI cameras requiring an app registration to be able to use the product you paid for<ref>{{Cite web |last=Rossmann |first=Louis |date=2025-04-17 |title=I thought I bought a camera, but no! DJI sold me a LICENSE to use their camera 🤦♂️ |url=https://www.youtube.com/watch?v=aUOnQ_boqCw |url-status=live |access-date=2025-11-02 |website=Youtube}}</ref> | |||
==References== | ==References== | ||
Revision as of 17:24, 2 November 2025
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Negative option marketing, or NOM, is a practice in which businesses proactively make changes that restrict users freedom in way that they may have once originally taken the users silence or inaction to be acceptance.
How it works
A company like a gym may make it super easy to sign up online. But when it comes time to cancel your membership to change to a new gym the consumer later finds out that they have to certify mail the gym to cancel the same membership they signed up for online. While a company could implement a easy cancel option they proactively choose not to keep those who would just accept the cost outweighing the time spent to cancel.[1]
Why it is a problem
Consumer Entrapment
By making the process as easy as possible weather it be creating an account or subscribing to a service users should have a say on if there account should be deleted or a subscription canceled by not providing these options to consumers they are effectively trapped for what they signed up for
Loss of ownership
Specific devices like cameras, watches, light bulbs etc... may require app activation to use something that should "just work" out of the box. But instead force you to download something you did not consent to when purchasing it
Privacy
With relating to accounts since you are not able to remove or delete them those companies may be actively selling that information that you have provided to them to other companies or brokers without your knowledge even if you decided you no longer wish to use the product the info will persist without your consent
Examples
LA Fitness making it easy to sign up for a membership but requires first class mail to cancel a subscription[2]
DND Beyond allowing you to make an account online but force request via email to have a chance of your account being deleted by them having to provide additional information that was not necessary on account signup[3]
DJI cameras requiring an app registration to be able to use the product you paid for[4]
References
- ↑ FTC. "Enforcement Policy Statement Regarding Negative Option Marketing - negative_option_policy_statement-10-22-2021-tobureau.pdf" (PDF). FTC GOV. Retrieved 2025-11-02.
{{cite web}}: CS1 maint: url-status (link) - ↑ Rossmann, Louis (2023-08-24). "LA Fitness gym cancel scam - fight for the right to cancel!". Youtube. Retrieved 2025-11-02.
{{cite web}}: CS1 maint: url-status (link) - ↑ "The Multi-Day Odyssey to Account Deletion (Ongoing)". Reddit. 2022-01-09. Retrieved 2025-11-02.
{{cite web}}: CS1 maint: url-status (link) - ↑ Rossmann, Louis (2025-04-17). "I thought I bought a camera, but no! DJI sold me a LICENSE to use their camera 🤦♂️". Youtube. Retrieved 2025-11-02.
{{cite web}}: CS1 maint: url-status (link)