Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/273071 
Year of Publication: 
2023
Series/Report no.: 
WZB Discussion Paper No. SP II 2023-302
Publisher: 
Wissenschaftszentrum Berlin für Sozialforschung (WZB), Berlin
Abstract: 
Smartphone app designers often use behavioral design to influence users, increase sales, and boost advertising revenue. Behavioral design relies on elements ranging from app appearance to black-box algorithms and personalization. It commonly exploits behavioral biases, such as the lack of self-control. Consumers are seldom aware of such design and usually have no control over it. Aiming to protect consumers, the recently enacted European Digital Services Act requires app design to be more transparent and adjustable. In a framed field experiment, we document that behavioral design increases app usage time, especially in the case of vulnerable users. An app version that adds transparency and offers protection features helps to overcome temptation. The higher willingness to pay for the transparent version shows that the positive effects of app transparency and increased consumer protection might not only materialize on the demand side but may also challenge current practices on the supply side.
Subjects: 
smartphone app
filtering algorithm
transparency
consumer protection
field experiment
JEL: 
C93
O33
D83
L86
M38
D18
Document Type: 
Working Paper

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