Stealth Fees in travel & tourism: HERE are four emerging trends

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Didier Reynders, EU Consumer commissioner

Consumer groups have lobbied for governments to act on stealth fees. The big four trends in recent year have been:

  • Unbundling: Unbundling started with airlines extra fees for services that were previously included, like in-flight food or checked luggage. Today, airlines are expanding this practice to business-class tickets and even considering charging for basic amenities such as printed boarding passes or in-flight blankets.
  • Resort fees: Hotels, resorts, and ride-hailing apps have also adopted similar fee-based approaches, like check-in fees or safety fees.
  • Surge pricing: Surge pricing is another growing tactic, used by airlines and hotels to adjust prices according to seasonal demand. It has now spread to other industries. 
  • Tipping: Long a scourge for visitors to the USA, tipping has evolved from a gratuity for good service to a perceived entitlement and source of ancillary revenue, with service workers in the United States being heavily reliant on tips due to low wages. Recently an airline in the USA urged passengers to tip the cabin crew. The use of touchscreens, apps, and contactless payment systems has resulted in tipping prompts and automatic gratuity charges in various countries, causing confusion and dissatisfaction among customers.
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