Case Study
Dark UX Pattern in the Robinhood App
Fintech • B2B • SaaS

Robinhood revolutionized the online brokerage industry with its commission-free stock trading app, attracting over 10 million users. As of March 2024, the average age of Robinhood users is 31. This disruption forced established companies to overhaul their business models, culminating last fall when nearly every major online brokerage eliminated commissions for stock trades. This shift may have even influenced the merger between industry giants Charles Schwab and TD Ameritrade.
Overview
I identified a dark UX pattern in the Robinhood app related to fund transfers. The Call-to-Action (CTA) button is black, and after selecting between a free transfer and an instant transfer, users who choose the free transfer are prompted again to get their money faster, adding an unnecessary decision. This option essentially persuades users to choose the instant transfer for a small fee. The CTA highlights the instant transfer option, causing confusion and leading users to accidentally select it, resulting in frustration.
Understanding
the Users
The Robinhood app is popular amongst Gen-Z and Millennial who are often opt for the mobile version app. Users often are scrolling and switching between tasks on their phone, which leads to a shorter attention span and higher chances to make an error.
A usability test was conducted with five individuals, some familiar with the app and some not. Users were asked to go through a mock flow to transfer funds to their account for free and observed their choices.

Findings:
Accidental Selection
For users who correctly chose “no thanks” to the faster money option, one mentioned having to double-check their choice, as the button that seemed obvious was not the one yielding the desired result.
Confusion
2 out of 5 users accidentally selected the instant transfer option after initially attempting to choose the free transfer.
How might we…

Investigate the user flow for another iteration to reduce user confusion and improve the overall experience?
Current User Flow:
The current user journey prompts the user to select the instant transfer option again immediately after they have opted for a free transfer. This is indicative of a dark pattern, as the instant transfer option is prominently highlighted with a black CTA button. Usability testing revealed that 2 out of 5 participants unintentionally selected the instant transfer option when attempting to complete a free transfer.

Proposed User Flow:
Based on the usability test, the step which causing the most confusion and frustration can be omitted from the user flow without disrupting the task at hand. Another round of usability testing will help confirm whether this will help correct the dark pattern.

Validating the Changes
I ran another usability test to observe the percentage of users who would make an error during the transfer process. 100% of the 5 participants successfully transferred the funds without confusion.

Key takeaway:

As a designer, it is essential to advocate for the user while also meeting business objectives. With the updated flow, 100% of our users successfully achieved their goals.