Extra fees worked so well for airlines that now hotels are starting to do it.
Nancy Trejos at USA Today reported on just how well airlines have done adding fees to just about everything: "Airlines throughout the world reported making $22.6 billion in fees for add-ons such as extra services and frequent-flier programs in 2011, a $20 billion jump since 2007, according to a review by IdeaWorks Company, a consulting firm that specializes in so-called ancillary revenue, and Amadeus, which processes transactions for the travel industry. For some airlines, such as Spirit, that makes up more than 30 percent of their total revenue. U.S. airlines in the first half of this year collected $1.7 billion in baggage fees alone, according to the Transportation Department. Delta led the pack with $430 million. United followed with $351 million."
So in a down economy, hotels could smell the blood in the water.
(...)
Fodor's says to be careful of the mini-bar in the room as well: "No, it's not the insane prices charged for those goodies, it's the charges that are now added to your bill if you move something in the bar to make room for your own bottle of water, or even pick something up to look at it for a few seconds (sensors in the bar record your action and add the product's fee to your room bill.) Some travelers who've routinely asked for the mini-bar to be cleared out before their arrival have been surprised by $50 'unstocking' fees."
How are hotels doing with fees like this? Full story...
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Nancy Trejos at USA Today reported on just how well airlines have done adding fees to just about everything: "Airlines throughout the world reported making $22.6 billion in fees for add-ons such as extra services and frequent-flier programs in 2011, a $20 billion jump since 2007, according to a review by IdeaWorks Company, a consulting firm that specializes in so-called ancillary revenue, and Amadeus, which processes transactions for the travel industry. For some airlines, such as Spirit, that makes up more than 30 percent of their total revenue. U.S. airlines in the first half of this year collected $1.7 billion in baggage fees alone, according to the Transportation Department. Delta led the pack with $430 million. United followed with $351 million."
So in a down economy, hotels could smell the blood in the water.
(...)
Fodor's says to be careful of the mini-bar in the room as well: "No, it's not the insane prices charged for those goodies, it's the charges that are now added to your bill if you move something in the bar to make room for your own bottle of water, or even pick something up to look at it for a few seconds (sensors in the bar record your action and add the product's fee to your room bill.) Some travelers who've routinely asked for the mini-bar to be cleared out before their arrival have been surprised by $50 'unstocking' fees."
How are hotels doing with fees like this? Full story...
Related posts:
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