Source

Economic Analysis of Hotel Resort Fees

official regulatory economic report Sullivan, Mary W. (2017), FTC Bureau of Economics Economic Issues Paper, January 2017

Claim this source supports

“Defines drip pricing as advertising part of a price and revealing additional charges later; concludes that separating mandatory fees without first disclosing the total likely harms consumers by raising search and cognitive costs.”

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The Fee Appears After You've Decided — video poster frame

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Business

The Fee Appears After You've Decided

Drip pricing works through timing: when fees are added late in a checkout flow, the time, effort, and comparison already spent on choosing make the decision feel made before the full price is ever seen, so a total that…