Hotels raking in over 2bn a year in fees
US hotels are following the lead of airlines by raking in a whopping $2.25 billion in added fees, according to a new industry report.
The study by Bjorn Hanson, professor at New York University’s hospitality school says a multitude of services now carry an added fee which range from minibar and in-room safe usage, internet access, resort fees, welcome drinks, luggage storage and many more.
Hanson says it is often difficult to accurately budget for a stay prior to arrival and that some services are charged for even when not used by guests.
"The airlines have done a really nice job of making hotel fees and surcharges seem reasonable," says Hanson.
US hotels will this year take 6% more in fees than 2013 and almost double compared to a decade ago.
Hanson urges guests to be "extra-attentive" when reading the fine print as fewer and fewer services come for free.
The American Hotel and Lodging Association defended hotels’ fee policies saying it is common practice in the travel business and that its members disclose fees at the time of booking.
Hanson estimates that hotel mark-up on added fees is as much as 80%-90%.
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Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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