ACM: more tour operators present prices of package tours clearly now
Five major tour operators in the Netherlands present the prices of package tours clearly now. This means that they present a single price that includes all unavoidable costs or that they present the mandatory costs as a single amount below the price. They also made sure that prices do not change during the booking process. As a result, it is instantly clear to consumers what price they have to pay. This has been one of the conclusions of an assessment carried out by the Netherlands Authority for Consumers and Markets (ACM) as part of the investigation into price presentations in the travel industry. Of the major tour operators that ACM contacted earlier in 2023, the following operators fully comply with the rules now: ANWB, Corendon, Expedia, Stip Reizen, and Sunweb. Two other tour operators temporarily do not offer package tours online, until they have adjusted their price presentations. ACM continues its investigation into the other tour operators.
Basic principles regarding price transparency in the travel industry
Consumers are entitled to clear prices, so that they are able to compare different offers properly, and that they will not be confronted with unexpected costs later. Incorrect prices contribute to an unlevel playing field, and harm market participants that do present prices correctly.
Earlier in 2023, ACM reminded twelve major tour operators of the basic principles regarding clear prices of package tours. They had until the end of September to bring the prices of package tours in line with the basic principles. In the first assessment, Expedia already complied with the rules on clear price presentations with all mandatory costs included in the price. ANWB, Corendon, Stip reizen, and Sunweb now also present their prices with all mandatory costs included. ACM is in favor of this type of price presentation. This is the clearest to consumers. Two of the tour operators that were assessed temporarily do not offer package tours online until their price presentations have been brought in line with the statutory requirements. All tour operators must present their prices clearly, so that consumers have certainty and a level playing field is created. That is why ACM continues its investigation into market participants that do not comply with ACM’s principles.
The basic principle of ACM is that consumers must be able to have confidence that the first price that is presented is the price that they can book the trip for. The price including all unavoidable costs must be clear and immediately visible. In that context, ACM has set the following basic principles:
- If consumers have not entered any details yet (such as travel dates, trip length, or the number of people), the unavoidable additional costs (including those that are paid on site) cannot be hidden under the ‘i’-symbol. These costs are preferably included in the total price, but they must, in any case, be presented in a clearly visible manner with the total price, taking up no more than a single additional line and presented as a single amount. These costs can be presented in the same manner as the base price.
- When consumers have entered all of the trip’s details (which means all mandatory additional costs are known), all of the costs (including those that are paid on site) must be included in the total amount.
- When booking their trips, consumers must be presented the total amount, including all costs. A distinction can be made between the amount that has to be paid directly and the amount that is paid on site.
- The price that is presented to consumers inviting them to click on the offer must actually be available and bookable at that time.